While there is no question that the housing slump of late 2007 is well behind us in Portugal, if you are looking to sell property in Portugal, you should be aware that it is still a buyer’s market out there. It won’t be easy to get rid of your Portuguese property for sale at short notice.
That’s why it is so important that you price your Portuguese property for sale at the right price, no more than 5% over the average that comparable properties in your area are selling for. The big advantage of selling property in Portugal is that residences in the country are very much prized by rich Chinese and Russian buyers, looking for second homes or vacation homes.
This is because Portugal is one of the most beautiful countries in Europe, has exquisite weather all through the year and is also considered to be one of the safest countries in Europe – perfectly safe for expats and foreign tourists. Also, Portugal has one of the lowest property transaction costs in Europe – which is a huge advantage for a home buyer.
That is why, because of the influx of foreign buyers from fast growing economies such as China, Russia, India, etc., we are witnessing a comeback in the Portuguese property market. But, of course, we are still a long way away from the highs of late-2007, and so it is best to exercise patience while looking to sell property in Portugal, and as said earlier, set a conservative price for it.
There are a few other things to be kept in mind while putting up your Portuguese property for sale.
Marketing of the Portuguese Property for Sale
Nothing ever happens in Portugal instantaneously. The best way to hire a real estate agent here is through referrals from fellow expats. You should be aware that some agents are really quite lazy and have to be avoided. You can take matters into your own hands by actively marketing your Portuguese property for sale on Facebook groups, blogs, online forums or real estate portals visited by expats, or visitors from China and Russia.
Dressing Up Your Portuguese Property for Sale
Try to create a terrific first impression. Get professional photographs take of your Portuguese property for sale, and get extensive renovations done. Hire gardeners, electricians, plumbers, painters, do everything in your power to make the house look as great as possible while not going beyond a fixed budget. You will have to be very smart here – get maximum renovations done without spending too much money.
How to Interact With Prospective Home Buyers?
You must be very polite with prospective home buyers during their visits and make yourself available to them at any point of time. This is important because most foreign home buyers are likely to have tight schedules. Explain your reasons for selling the house, don’t look too eager to get rid of it, just be calm and reasonable.
Getting Legal Help
Once a buyer has been found, hire a reputable local solicitor to take care of the negotiations and contractual agreements. Any solicitor hired by you has to be comfortable in both Portuguese and should have enough experience in the Portuguese real estate market. Your solicitor should help with your documents and ensure that the property transaction goes smoothly, according to plan.
What You Should Know about Capital Gains Tax
It is always advisable to be a Portuguese tax resident if looking to sell property in Portugal, as that would get you a 50% exemption on capital gains tax. Non tax-residents, however, are charged a very punitive fixed rate of 25% on all capital gains. Do consult a Portuguese accountant to find out more about this.
Contact Worldwide Group to sell your property in Portugal.