Portugal Property Rights

The legal steps you will have to take to become a property owner in Portugal are few and simple, even for foreign investors.

Buying a house in Portugal is a dream for many people and more and more foreigners are making the move in search of a better quality of life, business opportunities as well as extremely competitive tax advantages.

The legal steps necessary to become a property owner in Portugal include registering yourself at your local Finance Department to be assigned a Tax Identification Number (NIF - Número de Identificação Fiscal).

You will also need to provide your lawyer's address as your postal address if you do not already have a residence in Portugal. If you are a non-EU citizen, you will also need to appoint a tax representative in the country.

Property ownership in Portugal

Portuguese law does not impose restrictions on buying property in Portugal, and anyone can buy a property anywhere in the country, with nothing less than transparent issues experienced in many other countries.
Foreigners are free to own private property in Portugal without exclusion save for the laws governing the source of funds, defined in the money laundering legislation. There is furthermore no limitation to the value and number of properties that foreigners may own in Portugal.

Electronic Land Registry

The process of registering a property title in Portugal is probably one of the most transparent in the world. Portuguese properties have their title recorded on an official electronic land registry allowing buyers and their legal representatives to easily inspect details of ownership.

Although it is not uncommon for Portuguese citizens to attend to the purchase and sale of property directly themselves, we recommend that our foreign clients appoint a Portuguese solicitor who is legally qualified to represent their interests.

Planning Laws and controlled development

Portugal has one of the strictest planning laws in Europe, which has been instrumental in preventing areas such as the Silver Coast from suffering the same fate as other overdeveloped European hotspots. Planning laws have allowed Portugal to not only preserve its traditional feel and atmosphere, as well as implement several environmental protection measures that have maintained natural habitats and the landscape in its natural state of beauty.

Protecting Portugal’s future

The Portuguese people take a lot of pride in their country and the manner in which they have been able to protect it both culturally and environmentally. There is a deep-seated desire in most Portuguese people to pass Portugal over to the next generation in a better condition than it was received. It is this respect for both culture and the environment that will guarantee that the quality of life we enjoy in Portugal today will continue for generations.

1. PDM - Plano Diretor Municipal

Portugal has what is essentially a master plan controlling construction and habitation, referred to as the PDM (Plano Director Municipal). This document sets out in detail the occupational density allowed in each municipality throughout Portugal, it defines the urbanised areas namely the local villages and parishes determining the density of construction, even at a very localised level.

2. Environmental guidelines

The PDM also defines, at a municipal level, the zones allocated to agriculture and protected green areas such as forestry, natural parks and coastal reserves. There have been revisions to each PDM which take place every five years or so, allowing for adjustments to deal with local realities and amendments for specific regions.
In the Algarve there is special reference to the PROT Algarve (Plano Regional de Ordenamento do Território do Algarve) which defines the level and type of accommodation allowed to be developed. The PROT Algarve is focussed essentially on the Algarve coast, limiting the beach and waterfront locations to tourism, promoting residential occupation further inland.

3. Private beaches

There are no private beaches in Portugal, beaches in Portugal are public throughout the country guaranteeing free public access to all people.

4. Buying a New Build Property in Portugal

Buying a New Build Property, which is also referred to as buying ‘off-plan’, simply means that the construction of your house or apartment hasn’t started yet. However, the building plans are drawn up and the planning permission is granted.
In Portugal, purchasing new build properties is extremely popular not only because of the advantages but also because it is a very safe process for both the contractor and the buyer, as every stage of the build is secured by contracts and bank guarantees that safeguard the interests of each party involved.

Meet Luis, our After-Sales specialist....

If you're searching for a New Build property, Luis Cardoso, Operations Director at Leisure Launch, will be at your side from start to finish, with an after-sales service tailored to meet your needs.

It’s not just about choosing materials and colours. It's about finding solutions and delivering personalized support in a wide range of areas where clients need assistance. And most importantly, keeping things simple!

Our team of highly qualified professionals offers experience and specialization in different areas. Contact us to know more about our services or how we can help you maximize your investments in Portugal.