If you’re considering investing in real estate in Portugal, you should know what you’re getting yourself into. When it comes to buying property here, you should consider a few things before taking the plunge. In this post, you will discover the huge advantages that come from purchasing property here, not only from a commercial perspective but from a lifestyle perspective as well.
In recent years, Portugal has been very attractive to foreign buyers. This is due to the low-interest rates and lower prices compared to other European countries. There are two excellent reasons for this: a lower cost of living compared to other European countries and a high standard of living in general. However, there are far more upsides to buying property in Portugal than you may think. For one, you will be living in Portugal with all of the subsequent benefits that come with that (great weather, delicious food, and an attractive culture). Another excellent reason to make this investment is the possibility of getting a golden visa if you invest sufficiently.
Possible Access To A Golden Visa
While this may not be a massive benefit to citizens of other EU nations, it can be a great way to gain access to the enormous single market of the European Union just by doing something you would like to do anyway. The Portuguese Golden Visa program is a fast-track residency program for people who invest more than 500,000 Euros in property or companies in Portugal. Once the visa is granted, the holder will be able to live in Portugal for five years with all benefits of citizenship except political rights (like voting). After five years, the person can apply for Portuguese citizenship, which will give you access to all of the benefits afforded to other Portuguese and EU citizens.
Portugal is a popular choice for many people who are looking to move abroad. The country is known for its scenic coastline, sunny climate, rich cultural heritage, and affordable lifestyle. Portugal has one of the best healthcare systems in Europe, which makes it an excellent place to retire. Portugal is also known for its extensive history and culture, with UNESCO-protected World Heritage Sites to explore all over the country. The country offers diverse landscapes that offer activities for all kinds of travelers. Whether you like surfing or hiking (or both), there’s plenty here to keep you busy!
Portugal Has An Easy Rental Market
Rental properties are in high demand so that you can make your initial investment back over time. This can be renting out to other Portuguese people or taking advantage of the lucrative tourism market and placing it on a site like Airbnb. Whatever you decide, the market is there and ready to be taken advantage of. As long as you are charging the right price for the area, you should find yourself inundated with people looking to enjoy the fruits that Portugal has to offer. Nonetheless, you should remember that location will dictate the turn on your investment just like everywhere else.
For example, property in Lisbon will provide the highest return but will also cost the most to buy. Additionally, some locations in the Algarve will benefit significantly once tourism returns to normal. However, if you do your research, you may be able to find properties in up-and-coming areas or suburbs in the next few years.
Great NHR (Non-Habitual Resident) Tax Benefits
The Portuguese government created the NHR status for residents who are not their permanent addresses in 2009. Expatriates who move to Portugal can qualify for a 20% tax reduction or be wholly exempted from income taxation for a period of 10 years (depending on circumstance). Over 20,000 people have benefited from this program. The process of becoming a resident of Portugal is one of the conditions for acquiring the NHR status in this country, which coincidentally can be achieved via the golden visa scheme.
Great Transportation Links
Portugal has a well-developed transportation infrastructure, with a modern road system and an international airport. The country has a high-speed rail network that spans the entire country, connecting the major cities. There are also connections to European countries like France and Spain. Portugal is also home to one of the largest port systems in Europe, which means that goods can be shipped in and out of Portugal efficiently (ideal if you plan to move there indefinitely).
Portugal is an excellent investment because of the low cost of real estate and the high returns on property investments. Portugal’s property market has a high demand for property and a low supply of property. IN addition to the fiscal benefits, you will also gain access to a location that offers a very high quality of life.