How to buy property in Portugal as a UK resident

Coast & Country Homes, Lda

Do you ever find yourself longing for sun when the British weather throws, yet another curveball your way? Could a property in Portugal be the answer to all your problems?

If so, you’ve come to the right place. Let’s get the basics out of the way first…


Can you buy in Portugal as a UK resident?

Absolutely! Brexit has in no way, shape or form affected your rights as a British citizen to buy in Portugal. In fact, nothing is stopping you. It’s only when you want to stay in the country for over 90 days, it becomes confusing. However, it’s not impossible! It’s actually completely doable, or so the hundreds of clients we’ve helped buy property in Portugal tell us.

What’s the 90-day rule again?

Since the UK officially left the EU in 2020, UK residents have to abide by the 90-day rule – the standard limit for non-EU citizens visiting the Schengen zone without a visa. It states that your total stay in the Schengen area must not exceed more than 90 days in every 180. It doesn’t matter how many countries you visit as it’s a rolling time period.

For example, if you travel from the UK to Portugal and pass through other Schengen countries, France and Spain on your way to Portugal, then the 90-day countdown starts when you first enter France, a Schengen country.

Should you wish to exceed 90 days in every 180, then we recommend you apply for a long-stay visa.

What visas are available for Brits looking to stay in Portugal?

As previously mentioned, long-stay visas are an option for those looking to make a permanent move to Portugal or for those buying a holiday home they wish to spend longer than 90 days in every 180. 

For non-EU residents, there are two visa types available:

  1. The D7 and D7 residence permit

Also known as the passive income visa, the D7 visa allows any non-EU citizen to apply for residency in Portugal. The passive income can be from pensions, transferrable equities, real estate, intellectual property or financial investment. The minimum required value is a yearly income of €8,460 plus 50% for a spouse and 30% for a dependent.

  1. Non-habitual residence scheme

The NHR scheme allows most foreign income to be exempt from Portuguese taxation for 10 years. To qualify for the scheme, you must have not been a resident in Portugal within the last five years.

Foreign exchange for your Portuguese home

As you’ll be buying a property in euros, it’s important to understand the basics of foreign exchange and your options for getting the best deal.

We recommend using a currency specialist to send your funds overseas and we recommend Smart Currency. They are able to transfer large payments internationally safely and securely and specialize in assisting overseas home buyers, just like you.

Once registered with Smart Currency, you’ll be assigned a Personal Trader, who will be able to help you set a budget, provide advice on specialist contracts and alert you when the pound-to-euro rate is at its most favourable.

Since Smart Currency specializes in assisting overseas property buyers, they offer a range of services that can be extremely beneficial for those buying property. The first option is a Forward Contract. This allows you to lock-in a preferrable exchange rate for up to 12 months and is popular among overseas buyers as it provides protection against the currency rate fluctuating and the price of your dream Portuguese home changing with it.

Sign up with Smart Currency to get started or get a free quote today


Written by Your Overseas Home for CCHomes