MOVING TO PORTUGAL
Moving to Portugal can be an exciting new chapter in your life but you might be wondering about all of the different steps you need to take and the logistics of it all!
With HOMZ Portugal on your side you have nothing to be worried about – we can guide you and cover the different requirements for your relocation to Portugal: from how to ship your belongings to getting your visa, from finding the perfect home to opening your bank account or applying for healthcare.
The bureaucracy in Portugal can often be challenging but nothing that cannot be resolved with a little patience and help.
Portugal is an amazing country to live in with its amazing beaches, great weather, friendly people, booming cities and quality of life!
Of course that other benefits such as free healthcare or the possibility to become a citizen and easily travel across Europe might be specially appealing if you are coming from outside the EU!
With such a diverse and rich country you have plenty of location options to live in Portugal but Lisbon, Cascais and the Algarve are still the most sought after places in the country.
Regardless of your location preference, HOMZ Portugal is ready to find you the perfect property and assist you along the way.
WHY PORTUGAL
Portugal is located in the most western point of Europe, facing the Atlantic Ocean along all of it’s coast.
Half of the country is actually facing the Ocean with over 550 KM of coastline making it a country with beautiful views, many great beaches and amazing seafood!
One of the reasons many expats chose Portugal as their relocating destination is the very low crime rate, the warm sunny climate and the very reasonable cost of living.
With it’s Golden Visa and D7 Visa Programs, Portugal becomes a very attractive place for anyone who wishes to travel freely across the European Union
CHOOSING A LOCATION
If you’re planning on moving to Portugal but aren’t sure where exactly to relocate then you need to get to know a little about each area.
Portugal might be a small country but the lifestyle and experience can vary greatly depending on where you want to settle.
If you like an urban experience, Lisbon or Porto are the best options since they are large enough to provide all the best a European city has to offer, with trendy restaurants and shops, modern museums, great nightlife and cultural experiences.
If you want a quiet area but still want to be close to a city, Cascais and Estoril are the way to go. These are lavish by-the-sea towns about 30 minutes from Lisbon and have luxury properties, private condos and villas, beaches, golf, commerce, a thriving cultural scene and great gastronomy,
If you want to buy property in a area where you can relax and enjoy the sunny climate and some of the best beaches in the world then the Algarve is the perfect region for you.
For those seeking beautiful minimalist landscapes and tranquility the Alentejo region is also popular with expats.
FINDING THE RIGHT PROPERTY
The real estate market in Portugal is very fragmented and it can be difficult to navigate through all the cluttered data.
Luckily we are on your side and will relentlessly scout the market for you until we find the listing of your dreams!
Get in touch with HOMZ Portugal today and let us know more about what you are looking for, your requirements and needs and we will get started immediately and send you properties that match your criteria!
OPENING A BANK ACCOUNT
One of the first things you will need to do when moving to Portugal will be to open a bank account. It will definitely be very convenient in order to apply for certain services and mandatory if you are buying property.
Portugal has dozens of commercial banks, all very modern, providing various services and cutting edge online banking platforms.
The open a bank account you will need to get a NIF (Fiscal Identification Number) and deliver the following documentation in your chosen bank:
- Proof Of Identification – Passport is enough
- Proof of Address
- Proof of Income/Employment
- Portuguese Phone Number
- Portuguese NIF
- A Cash deposit ( varies by bank, it can range from €50 to €300)
GETTING YOUR NIF
If you’re planning on moving to Portugal you will soon find that you will need to apply for a NIF, which will be required in many situations such as opening a bank account, getting health insurance, buying a house or a car, setting up a TV/Internet contract and many other scenarios.
How do you get your NIF? There are several options:
- Apply for a NIF by going directly to a local Finanças Department (not the best option since non-EU citizens need to bring a tax representative with them and queues can go on for hours)
- Pay a company to get you a NIF (you can do this online by giving power of attorney to a company or professional)
- Ask someone to be your tax representative and handle that for you ( also possible online and should be done with someone you trust.)
- Apply for a NIF by e-mail (only for EU citizens)
Of course that HOMZ Portugal can guide you throughout this process as well if you need any assistance!
STEPS WHEN BUYING A PROPERTY
STEP 1 – FINDING THE PERFECT LISTING
Get in touch today and let us know what you are looking for and we will immediately start searching the market for properties and advice you on the best opportunities. We can schedule visits and make all the necessary arrangements with the owners and agents.
STEP 2 – MAKING AN OFFER
After getting your NIF and opening your bank account you can now start thinking about making an offer on your dream Portugal house, but first its very important that you verify that all the paperwork is in order!
We always recommend that you have a legal representative at your side to make sure that your interests are protected and we can assist you with that as well.
You will need to carefully review the following property documents:
- Certidão do Registo Predial (it’s like the ID card for the property, it contains all the critical details like address, square meters, location, etc)
- Certidão Permanente ( this document will show if the property has any debt for example)
- Certificado Energético ( Energy Certificate that shows detailed information about the property’s energetic performance eg: thermal, acoustic, materials, etc)
STEP 3 – THE “CPCV” CONTRACT
If all the above documents are in order you can proceed to sign a CPCV ( Contrato Promessa Compra e Venda). This is an “intent to buy” contract and offers guarantee to both parties involved that the deal will be completed.
Typically an advance ranging from 5%-20% of the agreed price is transferred at the signature of the CPCV.
After the CPCV is signed and if you are buying a property in some areas like Lisbon, you will need to communicate to the City Hall that you intend to buy that specific property.
Legally the city of Lisbon has a preference right to buy virtually any property in the city. From the moment you make this communication (you can do it online) the City has 10 days to trigger its preference right – this means the deed date always needs to be scheduled taking that into account.
Please note that the CPCV contract is not a mandatory step and sometimes you can skip it and move directly to the Deed signing.
STEP 4 – THE DEED
When you sign the CPCV you will also agree on a deadline for the final step : the Deed. The timeline can vary depending on negotiations but allowing 3 months ( from the day you sign the CPCV) to schedule a deed date is not uncommon – specially if the buyer requires financing and bank approval; or if the seller requires time to organize affairs and move out of the property.
WHAT HAPPENS IF THE DEAL IS NOT COMPLETED IN THE AGREED TIMELINE?
If you sign a CPCV and the deed is not completed by the agreed timeline on buyer’s fault then the seller will be entitled to keep the advance; if on the other hand the deal is not completed on seller’s fault then the buyer is entitled to receive 2x the advanced amount.
PROPERTY TAXES ( IMT + Imposto de Selo)
Like in most countries, buying a property means spending more than the listing price. There are several bigger and smaller costs associated with buying real estate in Portugal.
The biggest cost is IMT (Imposto Municipal Sobre Transmissões), which is a property transfer tax that varies from 4% to 6% depending on property price and the purpose of your purchase ( if you are buying a house for permanent residency or a secondary residence).
You also have the Imposto de Selo tax which is a much smaller tax (just 0,8% of the property value)
You can simulate the value of these taxes at this website
https://apemip.pt/simulador-de-imt-e-is/
OTHER FEES:
Lastly please note that in Portugal the buyer is responsible for paying notary, deed and land registration.
Those fees can go up to 2000€ depending on what type of service you use (a public notary, lawyer services, etc)
One of the advantages of using HOMZ Portugal services is that we will help you navigate this entire process and get legal support.
CAN I BECOME A CITIZEN?
You can request Portuguese citizenship in the following cases
- you are born in Portugal
- you have Portuguese parents or grandparents
- you are married to a Portuguese citizen
- You have been legally residing in Portugal for 5 years or more
In order to legally reside in Portugal you have 2 popular options:
Golden Visa – If you make a financial or real estate investment you can get a VISA for you and your family. You can apply for permanent residency after 5 years and citizenship after 6 years.
Learn more about the Portugal Golden Visa here.
D7 Visa – Any foreign person living off a stable income can apply for a D7 Visa. That means income coming from real estate, pensions, intellectual property and financial investments, among others. If you provide evidence you can live off that income you can be awarded the D7 Visa.
Learn more about the D7 Visa here.
APPLYING FOR HEALTHCARE
Portugal rank at 12th place in Healthcare System efficiency among all WHO member states.
Portugal has a public national healthcare system much like the UK’s NHS and it’s virtually free, the overall healthcare system includes the public system as well as private healthcare options.
The public healthcare system covers all essential and non essential procedures except for dental and cosmetic surgery.
For essential procedures and emergencies you are in great hands since medical doctors and professionals are extremely qualified and hospitals are very modern with state-of-the-art equipment.
However for regular care and non essential services you will be best served by a private healthcare option -> public healthcare system is sometimes understaffed and queues and waiting times for basic services can be a issue depending on your location.
Public healthcare is accessible to all legal residents, nationals and EU citizens so if you’re planning to live in Portugal and do not fall in any of these categories, it is preferable to apply for a private health insurance until your legal status changes.
Private Health Insurance in Portugal is fairly cheap (between €20-€100) a month and you can cover a wide range of expenses and pre-existing conditions.
SHIPPING YOUR BELONGINGS
If you are moving to Portugal, chances are you need to move your belongings (furniture, personal objects, clothes, books, etc) along with you. You should consider this cost when you determine your overall budget for the process.
It can seem like a complicated task but with the right approach you can make it quite simple.
There are many companies that provide full service, from picking up your belongings to transporting them by boat or air and then delivering right to your door in Portugal
The cost and time of moving your belongings will depend on your country of origin of course or the extent of the service you need (whether you need the company to pack your belongings or if you do it yourself).
You may also consider purchasing a shipping insurance with the company you chose. It is best to be protected in any hazardous event, specially if you are shipping valuable and/or objects that are very important to you
MINGLING WITH THE LOCALS
Portuguese people are welcoming, enjoy talking with foreign people, helping in any way they can and also sharing a bit of their culture.
Showing interest in the local culture, customs and traditions will facilitate your integration in the country and will surely help making you feel at home.
Portuguese people are very proud of their gastronomy, they love to eat and talk about food all the time, so that’s a part of their culture that is very alive in all parts of the country and can be a great starting point for you.
People are usually very friendly and the mood in most places is chilled, lively and relaxed. However this sometimes means that time schedules are not followed very strictly.
For someone coming from a different country it can be a bit frustrating at times, but worry not, its is part of the culture and in the end things get done any way!
NEED HELP MOVING TO PORTUGAL & FINDING A HOME?
If you are looking for guidance and support throughout your process of moving to Portugal and finding the right property please contact HOMZ Portugal today and we will get started immediately! Our consultation is FREE and we can help you make your experience truly hassle-free and rewarding!
