Once you have found the property you would like to buy, and your agent has successfully negotiated a deal on your behalf, a professional agent will prepare a 'letter of intent'. This document clearly states the agreed price, exchange and completion dates, and what is to be included. At the same time, we recommend that you instruct a local lawyer to represent you in the purchase. Your signed letter of intent will be sent to your legal representative as a reference to the agreed terms.

Once you have found the property you would like to buy, and your agent has successfully negotiated a deal on your behalf, a professional agent will prepare a 'letter of intent'. This document clearly states the agreed price, exchange and completion dates, and what is to be included. At the same time, we recommend that you instruct a local lawyer to represent you in the purchase. Your signed letter of intent will be sent to your legal representative as a reference to the agreed terms. Once instructed, your lawyer will begin all the necessary legal searches on the property. These include ensuring the seller has clear title to sell and that there are no outstanding charges on the property. They will then prepare the Promissory Contract (Contrato Promessa de Compra e Venda) which is a legally binding contract between buyer and vendor and is signed by both parties in the presence of a notary/lawyer. The Promissory Contract will state the buyer's and the vendor's details, as well as those of the property, the schedule of payments, completion date and any special terms agreed by both parties. Upon signature, it is normal procedure for the buyer to pay the vendor a 10% deposit, usually via the lawyer's client account. Under Portuguese law, if the vendor does not fulfil his contractual obligations, he is liable to refund the deposit in double to the buyer. If the buyer is in breach of contract, the deposit is non-refundable.

The Final Deed (Escritura) is the official deed of transfer of ownership from the vendor to the buyer. It will be signed on the agreed date at the notary's office, either by you or by your lawyer if you have opted to give them power of attorney. The balance of the purchase price is now paid, and the notary records the transaction in the official record. Once the deed and all other associated transactions are completed, you are then registered as the new owner by your lawyer in the Land Registry (Registo Predial). Buyers should have a copy of this registration.

To purchase a property in Portugal you will need a Portuguese fiscal number. This fiscal number will be for you as a non-resident and therefore has no tax implications in Portugal. Your lawyer will normally advise and help to obtain one.