Mortgages in Portugal
As is the case throughout most of the countries in the European Union it is possible to obtain a Mortgage in Portugal. There are a large number of companies who specialise in overseas property mortgages.
The other option is of course to obtain your mortgage in Portugal; if you have good earnings it is possible to obtain a property without a deposit. This would depend on the valuation of the property. The bank will usually lend up to 80% of the property value. This means that providing you can agree a price with the owner that is 80% of the valuation given by the banks valuator, you do not need a deposit.
It is important to note that the Bank will be interested largely in your disposable income so you will need to provide evidence that you can afford the repayments. Disposable income is the amount of money you have left when all of your bills have gone out, they include any loans that you have at the moment, but do not include what you spend on food or leisure.
Of course you will have to apply for the mortgage and there will be charges associated with that. There are of course a variety of mortgage types on the market with fixed and variable repayment options, the vast majority of mortgages in Portugal however are repayment type mortgages.
Because of the way that property is evaluated by the banks in Portugal the typical rustic property in Portugal can be difficult to get a good evaluation on. The Portuguese system puts a lot of value on the property being on a road, bus route, close to schools etc. However this is also the reason why rustic property in Portugal has so far remained relatively cheap.
You can have a mortgage in Portugal for up to 40 years but your age may not exceed seventy two by the end of the mortgage term.
We at P.P.Property have many contacts both in Portugal and abroad, we will be very happy to match you with the correct company as regards a mortgage in Portugal.
Please email admin@ppproperty.com for more information or telephone on
Tel: 00351 236 656 024
