Portugal

Do you know which country lies at the end of Europe? Or which one features something European and something South American with an African waft and Mediterranean atmosphere?
No, we are not talking about several countries but only about one - Portugal. Despite its small size and the fact that it is often compared to Spain due to the common history and culture and to Brazil due to the exuberant citizens and the common language, Portugal is still perceived as a slightly different and mystical country and yet as an extremely hospitable one.
Some of the most popular tourist sites are the capital of Lisbon, the second largest city of Porto as well as Coimbra, the Azorean islands and Madeira, both located in the Atlantic ocean, the southern coasts around the region of Algarve with the most prominent city of Faro and the famous resorts of Vilamoura, Albufeira and Lagos.
Portugal is also one of the most geographically varied European countries, starting with the mountain chains and valleys to the North and finishing with the plains and hills to the South. There are also long beaches and dense forests plus four large rivers.
Portugal is a tiny country with just 92,000 sq km of land and is entirely encircled by the Atlantic Ocean and its neighbor, Spain. Still, the must-visit places here are numerous and there is everything for everyone - whether it is the history hidden in the remains of former colonial estates, the walks and long conversations with the local radiant people or even the glass of port wine at dawn.
Portugal is an extraordinary country with plenty of natural beauties and exotic resorts in the southern parts, which captivate every visitor. But it is also true that every person perceives the country in their own special way. Portugal is famous for its gastronomical offer, abundant and delicious cuisine and popular wine tours.

What to visit:
- Lisbon - the capital of Portugal is a magnificent city with promenades covered in black and white mosaics, open-air squares where chestnuts are sold; there are labyrinths of cobblestone roads and steep streets. The places that deserve the attention of visitors are countless: the Saint George Castle with splendid views of the city, the Geronimo Monastery, Klaus Gulbenkian Museum and its unique collection of works of art, San Just Tower. And if you want to spend your day properly don't miss out the sea dainties at some of the numerous restaurants located close to the marina.
- Porto - port wine, bridges and cruises along the Dorou River are all good enough reasons to visit the city. But the old parts of it, which are under the auspices of UNESCO, deserve attention too: the cathedral built in the 17th century, the Bolsa Palace and the Don Luis Bridge, designed by Gustave Eiffel, the most attractive one among a total pf six crossing the Dorou River. And remember to try a bottle of port wine produced only on the territory near the Dorou River.
- Coimbra - the city of fado, home to one of the oldest universities in the world, a historical city. If you are keen on cultural attractions you should visit the Church of San Tiago and see its façade, which dates back to the 17th century, the Santa Cruz Monastery that accommodates the tombs of two kings, the National Museum Machado de Castro collecting sculptures from 14th and 16th centuries.
- Algarve - a hundred kilometers long beach, blue lagoon, unique resorts, delicious food, a variety of entertainment options are just some of the prominent attractions here. All the towns in the area offer lovely golf courses, sports facilities, cruises, theme parks, casinos.

Investment and real estate market in Portugal
According to a recently published report by British real estate agent Knight Frank and City Private Bank, Portugal’s real estate market is yet to develop. Forecasts of PricewaterhouseCoopers show that A place in the Sun, the a popular British second homes magazine, ranks Portugal at the top of the ranking for best countries to invest in with expected returns of 360% from residential purchases in the 10 years to follow.
Good real estate quality, approximately 5% annual price growth and high quality of living are some of the reasons that make Portugal an attractive second home destination. In addition, the country is a year-round tourist destination with mild climate and sunny weather. Portugal’s GDP is expected to grow by healthy 2.1% this year.
Real estate prices in Portugal rise slowly and steady. This trend is observed mostly in provincial regions where demand is not very strong. Property prices are usually valued based on size, quality, additional land and location. The closer to large cities and beaches a property is, the more expensive it becomes. A two-bedroom beachfront apartment for instance costs twice to three times as much as its equivalent in the city center of Lisbon or Porto. The cheapest properties are found in more remote locations.
The southern region of Algarve is among those hot spots, which characterize the country best. The region is very popular among golfers with its famous resorts of Quinta do Lago, Vale do Lobo and Vila Sol. The destination is rich in villas priced over EUR 1m but there are also apartments available for as much as between EUR 70,000 and EUR 90,000 for those unable to afford the seven-digit-euro bracket.
The Silver Coast in the central parts of the country is still developing but it attracts investors from all around Europe. The region between Lisbon and Porto boasts marvelous beaches and secluded spots. Strict laws guarantee that the place will not be overdeveloped in the next several years to come. One could also buy an old house for slightly more than EUR 25,000 in old towns like Obidos, Leiria and Coimbra. Still, luxury villas are at hand too but they are priced in the range between EUR 150,000 and 240,000.
Another spot, which is worth looking at, is the so called Green Coast, the region from Porto to the Spanish border, which includes resorts like Nazare, Fugueira da Foz and Sao Martinho do Porto.

Purchasing property
If you have already chosen a property the next step should be the employment of a notary or a governmental official who will make sure that all the necessary taxes are paid and that the registry process is properly done. The task of this person involves the control and supervision of the purchasing process.
The process of buying and selling properties in Portugal is comparatively fast and easy. There are two major steps: preliminary and final contract. The preliminary contract is a legally binding document provided that both parties have signed it and that the document has been legally certified by a notary. A deposit, usually 10 per cent of the agreed price, should be paid on the signing of the contract. The sum is not refundable unless this has been clearly stated in the agreement. If the buyer breaches the covenant he or she loses the deposit. The same rule is applied for the vendor who is obliged to pay back the deposit plus a compensation amounting to the same sum. It is advisable that both parties provide themselves with a copy of the contract translated into their mother tongues.

The preliminary contract
has several compulsory clauses, which consist of the proves of the identities of both buyer and seller, description of the property, confirmation of title deed, agreement on the clauses and terms of deposit payments, specifications about the stages of payments, confirmation of the final date of completion of the sale.
Before the final contract is signed the vendor provides all the necessary documents to ascertain the buyer that the estate is free from encumbrances.
The final contract is the last step before the transfer of the property and must be signed in front of a public notary. The notary examines the abovementioned papers plus the documents issued by the local tax office, which confirm that the buyer has paid the respective fees that allow him/her to acquire the property, as well as the entitlement certificate if the buyer is presented by another person.
If the property is part of complex, then the consolidated agreement on behalf of the complex is required for the final contract. If the buyer does not speak Portuguese the notary may claim an oral translation to the mother tongue of the buyer. After that both parties sign the contract and the buyer pays the price to the vendor. The property is then entered at the land registry. It is recommendable that the registration is done by the buyer’s lawyer. This is the last but very important step. The buyer is advised to ask for a copy of the document.
All taxes paid for professional consultants, notary, land registry and final contract are usually estimated on the agreed property value. The vendor pays the fees for his/her lawyer and the real estate agent.

Fees and taxes
- Property tax - the amount is estimated on the basis of the agreed property price and is 5% for rural and 6.5% for urban properties. Properties of under EUR 81,600 are exempt and properties of over EUR 510,000 are levied with 6% notwithstanding their type.
- Notary fee - estimated on the property value, usually between 1.5% and 2%. There are also registry tax and stamp duty paid at the Land Registrar.
- Lawyer fees - ranging from 1% to 2% of the property's value but some lawyers have set fees of EUR 2,500 plus VAT
- Communal fees - apply to condominium properties and are paid monthly, quarterly or once every six months. The charges depend on the services and facilities provided and range between EUR 65 and EUR 500 per month for premium properties in luxury resorts
- Imposto Municipal Sobre Imoveis is a local tax, which is compulsory. The amount is estimated on the property value and is between 0.8% and 1.3% depending on the location.
*Information on real estate purchases in Portugal has been provided by Unique Estates

Useful Information Transport: There are no direct flights to Portugal and you either need to fly through Zurich (Swiss Air) and then use Tap Portugal or cross Amsterdam with Bulgaria Air and Royal Dutch. You may go to Porto through Madrid using Bulgaria Air first and then Tap Portugal or Spaniair. Currency: EUR Visa requirements: Bulgarian citizens do not need visas for a maximum of 90 days within 6 months Spoken languages: Portuguese and English Sofia - Lisbon - 2,756 km