Extra costs during purchasing a house in Portugal are usually higher than in other European countries. Keep this in mind while estimating a budget en choosing a property. The major part of the costs will be calculated based on the established value of the property (valor tributável). Additional costs, besides the purchase cost, are:
- Notary costs
- Lawyer costs. Getting an independent lawyer can prevent a lot higher costs and is strongly recommended.
- Mortgage costs
- Costs for the real estate agent.
- Buying a newly built property, you'll have to take into account costs for utilities.
- Costs for registration of the purchase document.
- A confirmed translation of your documents for applying for a mortgage. Read more on what you have to do to apply to a mortgage on this page.
Also various taxes are required when purchasing a property:
- IMT. This is a transfer tax that has to be paid by the selling of property. The percentage depends on matters like type of property, rural or urban and use of the property.
- Taxes on added value for new property.
- Stamp duty. This percentage is set on 0,8% of the established value.
We've summarized the amounts that should be taken into account by both the selling and buying party. When you buy a property in Portugal, we would recommend you to take 10% of the selling price into consideration.
|Costs||Percentage of selling price|
|Paid for by the seller||3.7% - 7%|
|Paid for by the buyer||2.4% - 10.5%|
You can find more information about these taxes on this website (only in Portugese).