Houses and property for sale in Portugal: buy off-plan or resale

Off-plan

Off-plan property in Portugal

Off-plan purchases in Portugal are usually made through a promissory purchase contract (contrato-promessa de compra e venda, CPCV) with a deposit (sinal), followed by payments tied to construction milestones. Unlike Spain, Portugal has no single compulsory statutory scheme guaranteeing off-plan deposits, so protection depends on what is written into the contract.

• A deposit of 10% to 30% at the CPCV is common, with 10% the usual expectation in many transactions.
• Under Article 442 of the Civil Code, if the seller definitively fails to perform the buyer may claim double the deposit, and if the buyer defaults the seller keeps it, unless the contract provides otherwise.
• Recovering a deposit from an insolvent developer is a separate risk, which is why a bank guarantee or escrow is worth negotiating into the CPCV.
• Before paying any instalment, verify the developer's title, building license, staged-payment structure, guarantees and refund and termination rights.
• Residential transfers are, as a rule, exempt from VAT, so a new home pays IMT plus 0.8% stamp duty like a resale one.
• The reduced 6% VAT on housing construction from 1 July 2026 is a cost to the developer, not a tax charged to the buyer.

Secondary market

Resale property in Portugal

A resale purchase usually runs from offer and reservation through due diligence, a CPCV with deposit and any mortgage approval, to the public deed (escritura) before a notary or at a Casa Pronta office, then registration at the Land Registry (Conservatoria do Registo Predial).

• Your lawyer should obtain the certidao permanente, the land registry extract showing ownership, mortgages and charges.
• Check the caderneta predial (tax record) and the licenca de utilizacao (use license), which should match each other and the physical property.
• An energy certificate is mandatory for the sale.
• IMT and stamp duty must be paid by the buyer before the deed is executed.
• Non-residents should budget for the flat 7.5% IMT since late May 2026 unless they expect to meet the refund conditions.

Buying costs in Portugal

IMT, non-resident buyers

Flat 7.5% on urban residential property since late May 2026 (Decree-Law 97/2026), with a refund of the difference if the residency or moderate-rent conditions are met.

IMT, resident buyers (not own permanent residence)

2026 mainland scale: 1% up to EUR 106,346, marginal bands of 2%, 5%, 7% and 8% up to EUR 633,931, a flat 6% from EUR 633,931 to EUR 1,150,853, and a flat 7.5% above EUR 1,150,853.

IMT, resident buyers (own permanent residence)

0% up to EUR 106,346, then 2% to 8% bands, a flat 6% from EUR 660,982 and a flat 7.5% above EUR 1,150,853.

Stamp duty (Imposto do Selo)

Flat 0.8% of the price, payable before the deed.

Annual property taxes

IMI at 0.3% to 0.45% of tax value, set by each municipality, plus AIMI for individuals on residential holdings above EUR 600,000 (0.7% up to EUR 1 million, 1% to EUR 2 million, 1.5% above).

Notary, registry and legal fees

Notary or Casa Pronta and registry fees typically run to several hundred euros, plus legal fees.

Entities in listed tax havens

10% IMT with no exemptions.

IMT bands shown are for mainland Portugal; confirm the tables for Madeira and the Azores with your lawyer.

Residency through property in Portugal

Buying property in Portugal no longer leads to residence. Real estate was removed as a qualifying golden visa investment by Law 56/2023 (Mais Habitacao), in force from October 2023. The golden visa continues through other routes, such as qualifying investment funds, research, cultural heritage, company capitalization or job creation.

The revised Nationality Law (Organic Law 1/2026), in force from 19 May 2026, lengthens the residence period before naturalization to 10 years for most non-EU nationals (7 years for EU and CPLP nationals), which also affects golden visa holders.