Mortgages in Portugal

Levels of Borrowing

How much can you borrow?

This varies enormously from lender to lender. Some lenders will be extremely cautious with their lending, where others will take mitigating factors nto consideration, or will lend a greater percentage of the value.

This is why you should consider using a mortgage broker.

The basic elements in all mortgage applications

Use our currency and mortgage calculators as a guide. If you feel that the mortgage is affordable then talk to us.

When calculating your budget, always add around 8% of the property purchase price, for costs. This will most probably be required for legal fees, property taxes, property registration fees, valuation and loan application fees. In addition to this, you ma need to allow for the cost of furnishing the property, or shipping your existing furniture. 

Resident mortgages

Our brokers have mortgage schemes available for Portuguese residents. In some cases, we can arrange loans of 100% of the home value, but in most cases 90% is more realistic. Most Portuguese banks determine the levels of borrowing on the valuation of the property, rather than the purchase price.

The mortgage is unlikely to ever be higher than the declared purchase price. However, in certain circumstances, a separate loan can be arranged.

Non-Resident  mortgages

Generally, non-residents can expect to borrow a little less than residents, usually 80% of the value of the property. However, recently, certain lenders have been known to offer similar mortgage deals to the ones available for residents.

Levels of borrowing are always based on the valuation of the property, rather than the purchase price. The mortgage is unlikely to ever be higher than the decalared purchase price. However, in certain circumstances, a separate loan can be arranged.

Do you qualify for a mortgage in Portugal?

Determining factors include:

  • Proof of your financial strength, based on your income, employment history, debt and credit history
  • The property value, assessed by an independent surveyor
  • Level of your existing mortgage

To contact a mortgage broker to discover how we can help to make the whole proces easier and cheaper for you, please use the contact form here, or call us.

Read more on:

Mortgage options in Portugal

What information will you need to supply

The steps to getting a mortgage in Portugal

Get the best currency rates through a specialist fx dealer

Mortgages in Portugal
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