Updated: June 7, 2024

 

modern-apartment-portugal-property-sea-viewOver the years, Portugal has become an increasingly popular destination for tourists, expats, and investors. With around 300 days of sunshine each year, a welcoming culture, rich history, and a diverse landscape of sandy beaches, mountains, forests, and historical ruins, it’s easy to see why so many expats flock to this inviting country.

If you’re eager to experience this for yourself, why not find an apartment for sale in Portugal and make this dream a reality?

In this article, we’ll delve into how much you can expect to pay for an apartment in Portugal, how to find an apartment, plus key locations to consider so you are best prepared to snap up your ideal apartment in the country.

Why Portugal?

There’s no better place to buy an apartment than in Portugal. In recent years, the country has seen a steady increase in expats buying property as an investment, a new home, or a holiday home. Portugal apartments for sale come in many different styles and sizes. Apartments range in size from studio to five or more bedrooms, meaning you’re sure to find one that caters to your specific needs, whether you’re a young professional, digital nomad, or family.

Now that you’re aware of the variety of apartments on offer – whether it’s a modern studio apartment or a family-sized abode – let’s talk about the top locations to choose from.

 

There are many beautiful areas in Portugal where you can buy an apartment, but the perfect area for you will depend on your preferences. Consider not only what you need from the area – proximity to restaurants or schools, tranquil atmosphere, vibrant nightlife, access to beautiful beaches or hiking trails – but also your budget, as some areas are more expensive than others.

How much does an apartment cost in Portugal?

apartment-for-sale-in-portugalIn Portugal, apartment prices vary depending on factors such as location, size, and amenities. To provide you an overview, the average asking price for an apartment in the Lisbon Metropolitan Area in 2023 was €4,146, while in the Porto Metropolitan Area, this was €3,472.

In the Algarve, the average asking price for an apartment stood at €3,944, while in the Alentejo region, the price was €3,317. Prices stood at €1,972 and €2,206  in the North and Center, respectively. This cost will vary from area to area and based on the amenities offered, such as swimming pools or beach access. Therefore, it is important to do your research and choose wisely.

Note that these are the asking prices and sales prices can be considerably lower than this, as the seller may want to sell by a specific date. On the other hand, prices can also be higher, although this is far less common.

Lisbon, Faro, Porto, Leiria, and Setúbal are among the most expensive districts to purchase property. The most affordable districts include Castelo Branco, Portalegre, Guarda, Beja, and Santarém.

To learn more, visit our article: Portugal Real Estate: Your Complete Guide.

Investment Opportunities

Portugal has long been a tourist hotspot, and this continues to be the case, particularly in popular locations such as Lisbon, Porto, and the Algarve. However, while short-term rentals can provide you with a nice profit, changing demographics in the country have presented another top opportunity for investors. Digital nomads and young professionals are increasingly heading to Portugal, meaning that mid-term and long-term rentals are becoming a very attractive option. With less management required than short-term rentals due to less frequent tenant turnover, longer-term rentals are now on the radar of prospective investors.

Rental yields stood at 6.7 percent in the Lisbon Metropolitan Area in the third quarter of 2023, while in Porto, rental yields stood at around 6 percent. You can also secure a nice return on your investment in the Algarve, with yields standing at 5.6 percent.

Types of Apartments Available

 

As mentioned above, apartments in Portugal are available in different sizes. Ultimately, the home you decide on will be determined by the needs and extent of your family, so it’s essential to understand how apartments are listed in Portugal.

When conducting your Portugal search, you’ll find apartments listed on property websites using the following terminology: T0, T1, T2, etc. These numbers correspond to the number of rooms within the apartment. You can use these and more filters to streamline your search and find the perfect apartment.

T0 apartment

Also known as a studio apartment, a T1 apartment consists of a single large room that serves as your bedroom and living room, with a separate bathroom.

T1 apartment

A T1 apartment is a one-bedroom apartment with a separate bathroom and kitchen.

T2 apartment

A T2 apartment is a two-bedroom apartment with a separate kitchen and bathroom. If you see a +1 beside the number, for example, T2+1, the apartment has an extra room with no windows.

The beauty of buying an apartment or any other property type for sale in Portugal is that the country’s real estate market caters to different needs. If you want a sea view, an apartment along the Lisbon Coast, the Silver Coast (on the west coast), or the Algarve (on the south coast) would be perfect. If you want to wake up and dip your toes in the ocean, a beachfront apartment will suit you well.

Sintra and Lagos provide a more laidback lifestyle than the bustling cities of Lisbon or Porto, while in Cascais, the Algarve’s Golden Triangle, Setúbal, Troia, Comporta (the so-called “Hamptons of Portugal”), and Melides, you’ll find a selection of beautiful luxury properties.

Property types and features

You’ll find an array of housing types in Portugal, from condos, villas, duplexes, penthouses, and townhouses. The first step to finding the perfect property for you is to determine what you are after. Would you like a balcony? A sea view? A swimming pool? Also, consider whether you would like to live in a modern apartment or have eco-friendly installations, such as solar panels or energy-saving appliances. Each of these are key considerations that you will need to bear in mind.

How to Buy an Apartment in Portugal

apartment-for-sale-in-PortugalThe process of buying property in Portugal as a foreigner can be tricky if you are unfamiliar with the process and requirements. As such, you may find it beneficial to work through a real estate agent or buyer’s agent. They are experts in the Portuguese real estate market with access to the latest listings and specialized knowledge of what to do and how to do it.

Below is a brief guide to the process of purchasing property for sale in Portugal:

  1. Research: The first step is to research properties in the area you want to live in and find one you like. You can use real estate websites to do this, but we highly recommend working with seasoned professionals who will be able to provide you with key insights.
  2. Viewing: If possible, viewing the property in person is the best way, but many real estate professionals offer to visit on your behalf, which can be a good way to narrow down your shortlist. It is a good idea to visit as many properties as possible.
  3. Make an offer: The real estate market in Portugal can be competitive, so make your offer once you have determined that you are happy with the property. There is sometimes room to negotiate the property’s price, so don’t hesitate to ask. A buyer’s agent will be able to assist you with the negotiation process, ensuring that you secure the best deal possible. 
  4. Payment: Once the price is confirmed, you will often need to pay a deposit to reserve the property. For non-residents, this is about 10 percent of the property’s price.
  5. Signing: The next step is to sign a contrato-promessa de compra e venda (CPCV). This is not mandatory but is advisable as it provides both parties with some guarantee until the deed can be signed. Once signed, the property deed must be notarized.

Taking out a mortgage loan is a popular financing option, and there are many lending options for foreign buyers. You can learn more about this in our article: How to Get a Mortgage in Portugal as a Foreigner.

Buying an apartment in Portugal is a big step towards living a high-quality life in a European country with a low cost of living. Its location within the Iberian Peninsula means you’ll never be short of stunning views, while the rich culture, mouthwatering cuisine, and welcoming locals will help you feel right at home. Living in Portugal also means being able to use its excellent transport system to travel within the country. Plus, there are three international airports, in Lisbon, Porto, and the Algarve, to get around easily.

Best Locations to Find an Apartment in Portugal

In this section, we’ll provide you with information on key locations to consider when looking for apartments in Portugal and a few bullet points on each to help you narrow down the perfect spot for you. Note that the perfect place for you will depend on your personal situation.

Algarve

  • The Algarve needs no introduction and is renowned for its stunning beaches, vibrant coastal towns like Albufeira and Lagos, and high quality of life. With plenty of water sports activities, world-class golf courses, and incredible seafood, this is an ideal spot for retirees and expats looking for a high quality of life by the ocean.
  • The Algarve offers a diverse range of apartments, from modern complexes to traditional villas.
  • Popular areas include properties close to Praia da Rocha in Portimão for beachfront properties and Lagos for its historic charm and modern apartments.
  • Praia do Tavira and the Eastern Algarve offer a quieter coastal lifestyle, ideal for those seeking to enjoy an authentic part of the Algarve region.

Lisbon and the Lisbon Coast:

  • Lisbon, Portugal’s capital, offers a mix of historic and contemporary living. You’ll be able to find luxury properties or quaint historic townhouses.
  • Cascais and Estoril on the Lisbon Coast boast luxurious apartments with ocean views and high-quality living, perfect for lifestyle buyers.
  • Lisbon is the perfect blend of modernity and tradition. As the cosmopolitan capital of Portugal, you’ll find incredible gastronomy, an array of cultural events, and close proximity to stunning beaches.:

Porto

  • Porto is known for its picturesque riverside views, Porto wine, and winding streets, where you can meander around the city, delighting in boutique shops and handicraft stores.
  • Portugal’s second-largest city offers a range of apartments, from quaint old town residences to modern riverfront developments. You’ll also find plenty of large, modern apartments in Foz do Douro by the coast.
  • Popular Porto neighborhoods include the city center and riverside districts like Ribeira.

Madeira

  • The autonomous island of Madeira has a unique island lifestyle with stunning landscapes and sweeping ocean views.
  • Funchal, the cosmopolitan capital, provides a combination of modern apartments, including upscale complexes and traditional homes. You’ll also find an array of spacious apartments available outside the capital.
  • Madeira’s climate and natural beauty make it an attractive destination for property and lifestyle buyers.

Silver Coast

  • You’ll find quaint coastal towns like Peniche and Nazaré and an authentic side of Portugal.
  • For surfers, there is no better location than the Silver Coast, with surfers from across the globe testing their mettle here.
  • The Silver Coast is a mix of apartments, from beachfront properties to countryside retreats.
  • The Silver Coast is ideal for those seeking a quieter lifestyle away from more bustling areas, such as the Algarve.

Alentejo

  • The Alentejo is known for its rolling plains, vineyards, and historic towns like Évora, perfect for those looking for quiet escapism.
  • You will also come across luxury properties on the coast, in towns such as Comporta and Melides.
  • Ideal for nature lovers, food lovers, and those looking for a slower pace of life, the Alentejo is known as the breadbasket of Portugal. The local produce here is second to none, and the fruity Alentejo wines are some of the best in the world.

Each of these areas has its own unique appeal, showcasing Portugal to offer something for everyone. Speaking with an experienced real estate professional will help you narrow down your search.

When buying a property in Portugal, seek guidance from a Portuguese real estate lawyer. They will be able to assist with contracts and ensure you will face no legal issues during or after the process, including carrying out due diligence on both the seller and the property.

Before you begin the buying process, you should also consider your budget. Will you finance the buy privately, or will you need to secure a mortgage in Portugal? You will want to determine your financing options as early as possible. Rest assured, however, that a wide array of banks offer mortgages to foreigners, and you will simply need to determine the best deal suited to your personal circumstances.

Working with a Buyer's Agent versus a Real Estate Agent

When scouting for an apartment for sale in Portugal, we highly recommend seeking the help of a real estate professional who can assist you with the purchase. A buyer’s agent is, in many ways, the best option, as they work on behalf of the buyer. Real estate agents in Portugal work on behalf of the seller, and therefore, there is a conflict of interest, as they will secure a higher commission for a higher sale.

Check out our complete guide to buying property in Portugal

Click here Arrow Icon

Goldcrest: How We Can Help You 

Goldcrest is a buyer’s agent that is based in Lisbon. We provide expert, impartial advice on real estate investments and how to buy property in Portugal. From scouting out the perfect property through to property acquisition, we have you covered throughout the process.

If you are looking to purchase property in Portugal, don’t hesitate to get in touch. Our team of skilled experts is available to solve all your real estate doubts, helping you with the property search and offering insightful expertise and strategic advice.

Why choose Goldcrest?

  • Local knowledge: With offices located across Portugal, our presence nationwide allows us to assist you personally across the country.
  • Independent service: As an independent buying agent, we do not represent any development or project. Our service is entirely tailored toward each individual client, providing you with everything you need to secure the perfect property at the best possible price. As an impartial advisor on the market, we work solely on behalf of our client and provide a service tailored to your needs and requirements.
  • Streamlined process: Our real estate agents speak English and Portuguese, and our service is completely focused on providing you with a hassle-free buying experience, saving you time.
  • Experienced team: Our expert real estate team has a vast local knowledge of the Portuguese property market. We have cutting-edge technology and metasearch tools at your disposal to provide full market coverage, ensuring the best investment choices and negotiated prices.
  • Network of partners: Lawyers, property management services, builders, architects, designers, and landscape gardeners, again saving you time and hassle by providing you with trusted experts in their field of work.

Frequently Asked Questions about Portugal Apartments for Sale

In Portugal, apartment prices vary depending on factors such as location, size, and amenities. To provide you with some examples, the average asking price for an apartment in the Lisbon Metropolitan Area in 2023 was €4,146, while in the Porto Metropolitan Area, this was €3,472. In the Algarve, the average asking price for an apartment was €3,944. Prices stood at €1,972, €2,206, and €3,317 in the North, Center and Alentejo region, respectively.

Yes, foreigners are welcome to buy apartments in Portugal. The process is straightforward and foreign buyers enjoy the same property rights as Portuguese citizens. Whether you’re looking for a holiday home, investment property, or permanent residence, Portugal offers a welcoming environment for foreign buyers.

Lisbon, Porto, and the Algarve region are among the most popular areas in Portugal for buying apartments. Lisbon, the vibrant capital, offers a mix of historic charm and modern amenities. Porto is known for its picturesque riverside setting and rich cultural heritage. The Algarve, with its stunning coastline and sunny weather, is a favorite among expats and retirees.

The process for buying an apartment in Portugal involves several steps, including finding a property, making an offer, signing a promissory contract, and completing the final deed of sale at a notary office. It’s advisable to work with a reputable real estate agent and a lawyer who specializes in property transactions to navigate the process smoothly.

Yes, there are property taxes and fees to consider when buying an apartment in Portugal. These include property transfer tax, municipality property tax, stamp duty notary fees, and registration fees. It’s important to factor these costs into your budget when planning your property purchase.

Portugal offers a wide range of apartments for sale, including studio apartments, one-bedroom, two-bedroom, and larger units. You can find apartments in modern high-rise buildings, traditional townhouses, and quaint coastal villages. Whether you prefer urban living or a tranquil retreat, there’s something to suit every taste and budget.

Research the real estate market in Portugal to get to grips with the apartment types available and to get acquainted with property prices. Following this, get in touch with a buyer’s agent, such as Goldcrest, who will be able to discuss your needs and guide you through the process, including assisting you with the negotiation process.

As a foreigner, you will need to obtain a Portuguese tax identification number (NIF) and we recommend opening a bank account in Portugal. You may also need to appoint a fiscal representative if you are a non-EU citizen. If you would like to live in the country, you will also need to secure Portuguese residency. Working with a knowledgeable lawyer can help ensure compliance with all legal requirements and that you have all the required documents.

No, it is no longer possible to purchase an apartment and secure residency in Portugal, following the changes to the Portugal Golden Visa program. Other options to secure residency in Portugal include the D7 Visa or the Digital Nomad Visa.

Before buying an apartment in Portugal, consider factors such as your budget, preferred location, property type, and legal obligations. Take the time to research the local real estate market, understand the buying process, and seek professional advice. Additionally, consider your long-term goals and whether the property meets your lifestyle and investment objectives