Overseas appetite for Portugal property is back with a bite.
29 July 2014
International property experts report Portugal’s property market is on the increase, with mortgage enquiries up 58% year on year. Rock bottom prices and lower interest rates are increasing buyer affordability, causing an upward trend of overseas property investments.
The overseas mortgage specialist, Conti, has recently reported that the number of enquiries regarding mortgages in Portugal from UK purchasers has increased by 38% in Q2 2014 compared to the same period last year. Over the January to June period, enquiries have increased by a massive 58%.
With good prices, low mortgage interest rates and improving lending conditions, more international purchasers are returning to the country. The current strength of the euro is also an encouraging indication – with the pound rising to a 22-month high of €1.26.
Marcella Spee Horta e Costa from Abloom Properties in Almancil said:
"The phrase 'end of the crisis' is no longer wishful thinking or a shallow phrase used by politicians. It is actually proven with facts/results instead."
Many also believe that the Golden Visa Scheme has given the Portuguese property market a clear competitive advantage. Portugal has seen a 30% increase in sales over the past year which is mainly due to the London property bubble, tax breaks offered under Portugal's non-habitual resident scheme as well as the Golden Visa scheme.
Kerstin Buechner, director of Quinta Properties said of the Golden Visa Scheme:
"It is very popular. It is the best European programme and the only one which offers a passport at the end of it."
We are confident that a combination of increased demand and readjustment of pricing has created a momentum in Portugal’s property market.
If you’re interested in purchasing a property in Portugal, whether it may be as a holiday home, or as part of the Golden Visa Scheme, we’re pleased to offer affordable properties across the country in popular locations.