VAT (IVA) in construction

Construction works for certain types of properties may be entitled to a reduction in tax rate (6% in mainland Portugal, 4% in the Azores and Madeira).   This rate applies to the improvement, remodelling, renovation, restoration, repair and conservation of properties or individual parts of these allocated to residential purposes. Cleaning work, maintenance of green … Read More

Promissory agreement

This is the document that obligates the parties to carry out the property purchase/sale transaction under a given set of terms and conditions, in accordance with their respective interests, needs and requirements.   It must be adapted to each separate transaction. Any breach of the promissory agreement will result in penalties.   The parties must … Read More

Fees and other expenses

When buying a new property, in addition to the price negotiated with the seller and taxes (Real Estate Transfer Tax [IMT] and Stamp Duty), you will have to pay some additional costs involving the warranty deed, notary public and registries.   If you are taking out a loan, you may be charged for your credit … Read More

General Information about Buying a House in Portugal

Buying a house in Portugal involves a series of legal procedures and tax obligations. You should go to your local tax office and learn about the property’s financial and tax status. You must find out whether the property is free of any liens or encumbrances (mortgages, attachments, usufruct, rental agreements, etc.). This information is available … Read More