Caxton recently chat to one of our partners, Clover Homes, to shine a light on the exciting prospects of purchasing property in Portugal. Mike Oldham, Head of Partnerships at Caxton and Kai Hayes, a founder of Clover Homes, delve into the essentials UK residents need to know before making this significant investment.
Kai Hayes, a buyer’s agent based in the Algarve, passionately explains why Portugal is an excellent choice for UK property buyers. According to Hayes, "Portugal offers a great combination of climate, friendly people, low cost of living, great healthcare, and education, together with an ever-growing economy." He emphasises that these factors make Portugal not only a fantastic place to live but also a promising investment destination.
In the video, Mike from Caxton underscores the importance of understanding the property market dynamics, especially in the Algarve region. Hayes shares that the Algarve, known for its scenic beauty and vibrant expat community, has seen a surge in demand. "The demand for properties in the Algarve has skyrocketed," Hayes notes. This increasing interest has led to rising property prices, making it essential for buyers to act wisely and promptly.
Hayes highlights the unique role Clover Homes plays in the property buying process. "As a buyer's agent, we take you from A to Z, ensuring every step is taken care of, from finding the right property to handling all legalities," he explains. This comprehensive approach ensures that buyers have a seamless experience without any unexpected hurdles.
Understanding legal and financial requirements is crucial for a smooth transaction. Hayes advises prospective buyers to obtain a Portuguese Fiscal Number (NIF) and hire a reputable lawyer. He also breaks down the costs involved, including the IMT transfer tax and stamp duty, which together amount to approximately 8-10% of the property value.
Post-Brexit, UK buyers face additional challenges, particularly regarding residency visas. Hayes mentions the D7 visa for those with passive income and the D8 digital nomad visa as viable options. "It's important to know what qualifications you need to get the visas for you and your family to come over to Portugal," he advises.
Caxton supports property transactions through efficient currency transfer services. Mike stresses the importance of having reliable partners to handle the financial aspects of buying property abroad. "Currency transfer is a critical component, and Caxton ensures that our clients can manage this seamlessly," Mike states.
For UK residents dreaming of a second home in Portugal, understanding the market, securing the right legal and financial advice, and having dedicated support from experts like Clover Homes and Caxton can make the process smooth and rewarding.
If you're considering this exciting step, take inspiration from these insights, watch the video, and start planning your journey towards owning a beautiful property in Portugal.