Thinking of investing in or buying a foreign property? Why Portugal?
For an individual or business trying to choose a location for the investment of capital, many factors must be considered in the due diligence carried out and rarely does one location score highly in all factors. However, due to a confluence of benevolent circumstances, Portugal is now emerging as the most desirable place in Europe in which to travel, work and live. And with this popularity gaining momentum, its status as a smart place for an investment of capital is strengthened immeasurably. MESPIL has long known about the charms of Europe’s best-kept secret but here are eight determining factors that highlight Portugal’s glowing suitability for the investment of wealth or for those who are interested in buying property in Portugal.
The growth of development
As with most bigger cities, Portugal’s capital, Lisbon, is ever evolving. Since the demand for apartments and houses is growing steadily, new developments are being built and renovated which although positive is not meeting demand. Companies like MESPIL are investing in modernization of older properties bringing new design to the streets. MESPIL is already on the way to completion of a commercial and residential development in the centre of Lisbon which will come to the market in turn-key condition and bearing the MESPIL consistently high standard of finish. But it does not stop in Lisbon – we find new projects throughout the country, which breathes new life to old properties and allows for lower investment entry levels for Golden Visa clients such as the 280K and 350K approved schemes.
Being on the West coast of Europe and the Iberian peninsula cherrypicks the best of the prevailing geography on offer resulting in an idyllic climate that becomes a very significant factor when buying property in Portugal
The climate varies from north to south and from coast to the mountains. The south experiences Mediterranean weather with particularly mild winters and hot summers. Further north the coast is warmed by the Gulf Stream, so the winters are mild and summers are very warm. More inland summers are hotter but the winter temperature drops. In winter you can even find snow inland in Portugal.
In the Algarve, summers are particularly dry and sunny with 12 hours of sunshine each day and an average maximum temperature of 28 degrees Celsius (82° Fahrenheit) and a minimum of 20 degrees Celsius (68° Fahrenheit). Although temperatures in the north of Portugal are a little lower, there's still around 11 hours of sunshine each day and the cool sea breeze makes it pleasant for a summer break.
The support of arts and culture
Portugal is very supportive of its arts and cultural heritage scene and makes an active effort to encourage its survival and vibrancy. This doesn’t just apply to native artists but also foreign artists who either live or largely work in Portugal. Schemes such as this one are very reassuring for artists or creatives thinking of buying property in Portugal
The start-up culture
Portugal’s credentials as a start-up hub are solidifying rapidly and with the relocation of Web Summit from Dublin to Lisbon, it’s now being referred to as Europe’s Silicon Valley. Lisbon has now climbed to fourth in a global list of the best places to start a new business (according to freelance marketplace PeoplePerHour's Startup City Index), leaving a list of rivals that includes San Francisco and London in its dust. A report from Startup Europe Partnership found Portugal's startup ecosystem is now growing twice as fast as the European average.
A key driver is the record number of foreign companies using Portugal as a more convenient and affordable way to assemble their digital platforms. The quality and cost of the countries tech services continue to draw these companies for specific projects, with increasing numbers returning to establish their tech hub there.
Choosing to buy property in Portugal is choosing to live in one of the most peaceful and safe countries in the world. It has the lowest crime rate in Europe and has topped the charts as being one of the friendliest countries in the world also. Whether you live in the capital city of Lisbon, move up north to Porto, or settle down in the south by the Algarve, you will feel safe amongst the locals and internationals. Portugal’s political climate is also one of Europe’s most stable ones, creating a sense of security across the nation and amongst its people.
Cost of living
Portugal is one of Europe’s cheapest countries to live in and has attracted many investors purchasing second homes here. Although the capital city is one of the more expensive places to settle down in Portugal, it is still very affordable when compared to many other European big cities. Not only is Lisbon one of the most charming cities in Europe, but it is also multicultural with a big variety of restaurants and cafés, it has become a tech startup hub, not to mention proximity to some of the most beautiful beaches in Portugal. All combined they add up to a very strong and very inexpensive reason to invest in property in beautiful Portugal
Portugal’s expat community is thriving and has led to thousands of people from across Europe buying property in Portugal. The country is consistently ranked as one of the easiest places to settle and was given the award for best country for expats.
Growing property market
The property market in Portugal has grown steadily around 1-2% since its recovery from the recession and furthermore it’s showing signs of becoming stronger. There’s a 4.5% increase in predicted in 2020. The country is currently prime for investment and very attractive to those thinking of buying property in Portugal right now.
MESPIL moved ahead of the curve in acquiring distressed post-crash property to then redevelop and bring back to the market at deep discounts which simply won’t be found on assets of this quality anywhere else in Portugal.
Contact MESPIL if you would like to discuss a future investment, one of our rental schemes or are interested in buying property in Portugal, we would love to hear from you and help introduce you to all that Portugal has to offer.