Investing remotely

Geographical distance stops being a barrier to investment

The Portuguese real estate sector is wildly popular globally with investment procedures similar to other European countries. Knight Frank’s “The Wealth Report 2021” research highlighted Lisbon as one of the few cities out of 22 worldwide that would see a rise in price of an average of 4%.

Investing remotely is fairly straightforward however Quintela + Penalva | Knight Frank recommend you engage the services of a reputable agent, lawyer and notary when buying a property. Contact us for any research, advice or referrals you might need. The first steps to follow are:

Fiscal Number for non-residents

A NIF (Número de Identificação Fiscal) is your fiscal ID and will be required when buying a property in Portugal. European residents can apply at any local tax office with a proof of address in Europe for the prior 6 months, whereas non-European residents might need a fiscal representative.

Bank account

You need to have a Portuguese bank account to purchase a property through the Golden Visa or Non-Habitual Resident programmes. When opening an account you will be asked to provide documents, including your identity documents and tax number.

Bank loan

When you borrow money from the bank to purchase a property, the bank will assess the property value, which, as a rule, will be lower than the market value.

Close the deal

Once the purchase price has been agreed with the seller, the purchase and sale process begins, overseen by the real estate agent and lawyer.

Important note:

In Portugal, it is usually the property owner – the seller – who pays the estate agent’s commission.


A reservation document will normally be accompanied by a deposit of €5,000-€10,000 to ensure the property is taken off the market.

Due Diligence

The lawyers involved in the process will review all the legal documents and prepare a draft Promissory Contract of Sale and Purchase.

CPCV / Promissory agreement

The Promissory Purchaser and Promissory Seller will then agree to the conditions contained therein and sign the Promissory Contract of Sale and Purchase. At this stage the Promissory Purchaser will make an initial payment of 10% or 20% of the purchase price.

Final public deed

This document transfers the ownership title of the property from seller to buyer and must be signed in the presence of a notary. The deed usually takes place between 15 days to 2 months after the signing of the CPCV. The buyer is also liable to pay the remaining balance of the agreed purchase price upon signing, taking formal ownership and receiving keys.


Once the deed is signed, you must register your property at the Land Registry Office as well as the Tax Office. This is usually done at the time of the public deed by the notary.

Purchase costs are itemised once the property has been reserved.

Property acquisition one-off costs

IMT (Municipal transaction / Purchase tax):
Up to 7,5% of the sale price

Stamp Duty (“Imposto de Selo”):
0,8% of the purchase value as confirmed on the public deed

Land registry fee:
0,5% of the purchase value as confirmed

Property acquisition recurring costs

IMI (Municipal tax on immovable property):
0,3-0,45% of the tax equity

Condominium costs:
€1-2 m² per month

Property sale one-off costs

Tax on profit / capital gains (“Mais valias” -conditional if reinvested within 3 years)

Inheritance tax:

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