If the property is owned by a Portuguese limed company buying is very simple indeed involving share transfer with no tax payable. To understand the procedures and legal acts that are involved in acquiring a property in Portugal I would recommend that qualified advice is sought. It is important to insure that any plans in the Town Hall referring specifically to the property do physically agree with the existing construction. A property for living purposes must have a Habitation License if the property was constructed after 1951.

It is quite normal for both Parties to initially enter into a Promissory Contract detailing the conditions of Sale – “Contrato de Promessa de Compra e Venda”; this Contract is then legalized by registering it in the Notary Office. This Contract is legally binding on both sides and the law requires the seller to repay twice the deposit should he withdraw from the sale. Likewise, if the buyer fails to complete he forfeits the total of his deposit. There are specific laws relating to this act that a Lawyer will be able to explain.

Before buying property here you are required to obtain a Fiscal Number from the local Tax Office (Finanças). Before the act of purchase, the purchase will usually be subject to a State payment called “CEMI” which is carried out in the local Tax Office nearest to the property. The amount charged is dependent upon the nature of the purchase and does vary. In certain cases the buyer may be exempt from paying this Tax.

When all the requirements have been completed the act of sale can proceed in any Notary Office. This act is known as the “Escritura de Compra e Venda” which takes place in front of the selected Notary and is recorded in his official books. The Notary will check prior to the act of sale that all the necessary documents are correct to ensure that the sale can proceed according to the facts provided. It is at this moment that payment is normally completed to the seller. After the act is recorded the Notary Office will issue a photocopy of the entry, which is the proof to the buyer that the act has officially taken place. The photocopy will carry the seal of the Notary On completion of the sale act the property in question has then to be registered in the new owners name in the Land Registry (Conservatória do Registo Predial).

The East Algarve is a popular retirement destination for people from all around the world. A mild climate, gorgeous coastline and plentiful sunny beaches combined with excellent food and inexpensive world-class wine have made it a haven for retirees. 

Property prices and the cost of living in Portugal are still low enough to attract many retired Europeans in particular. The Algarve is cheaper than the Costa del Sol or the Riviera and has even more beautiful beaches. Another reason Portugal is viewed as a desirable place to retire is the friendliness of its inhabitants. The Portuguese are a generally kind and hospitable people, welcoming foreign visitors into their homes and culture with warmth and compassion. 

Pensions - The taxation of pensions originating in member EU states and elsewhere abroad varies according to the type of pension and applicable Double Tax Treaties. 

Private pensions and annuities are generally regarded as income, depending on residency status. As tax residents are required to pay tax on their worldwide income, it is advisable to consult a qualified tax specialist to determine your liability. Public service pensions are generally tax-exempt in Portugal when taxed in the country of origin. National Insurance retirement pensions may be exempt from taxes in the country of origin, but may be considered taxable income in Portugal. Again, if in any doubt consult a tax professional. 

The East Algarve has no extreme or violent weather. There are no hurricanes, volcanic eruptions, earthquakes (forget the one 1750), tidal waves, or tornadoes. It is a country of great personal liberty. You are free to read what you want, drink when or where you want, and unfortunately smoke when or where you want. The violent crime rate is very low although, like in all countries, it is increasing. In the countryside it is very safe. People still leave their keys in their cars and leave the windows open.

The food is, for the most part, very good and reasonably priced in restaurants. Supermarket prices are low and you can get products from all the other EU countries. The cheese and ham are excellent. For the drinker it is a paradise. Wine and beer are very cheap and good. The English come here just to buy spirits because they say they are so cheap. And if you are a Port wine lover this is the country for it.

People are very helpful towards strangers and will walk with you to show you a place you are looking for. Family values are still very important. And importantly, grandparents are highly respected and loved. They still help with their grandchildren's upbringing. It is nice to live in a country where you see that things are always improving--to mention a few: roads, hospitals, schools, shopping options, means of transport, telecommunications, and entertainment (TV). Honesty is still important and people still trust others. Where else could you lose your wallet in the supermarket and get it back intact, with money and documents. 

With regard to education there are two choices for the expatriate parent when considering their child’s schooling and the education system in Portugal. Firstly you have the state run education system and secondly you have a wide variety of private alternatives. 

Moving to Portugal - Visa Information - To visit Portugal, if you are a national of an EU Member state or a citizen of Canada, New Zealand, Australia or the USA you can stay visa-free for up to 90 days, everyone else requires a visa. As Portugal is a full member of the European Union, citizens of pre-2004 EU member states don’t require work permits or visas. EU nationals working in Portugal will be afforded the same rights as Portuguese nationals when it comes to equality of pay, working conditions, vocational training, social security and union membership. 

If you are an EU national you are also allowed to enter Portugal for up to three months to look for work or set up in business there. Even if you are an EU national, you may be asked to prove that you have adequate finances for the duration of your intended stay and that you have a return ticket or at least the cost of your return journey covered. The recent enlargement of the EU does not mean that the above rules necessarily apply to citizens of the new EU member states. If you are from one of these countries - with the exception of Cyprus and Malta - and you want to move to Portugal, or if you are from a non-EU country you should contact the Portuguese Embassy in your country to see what restrictions apply. 

Cost of Living - In terms of the cost of day to day life you’ll be happy to learn that Portugal is one of the cheapest countries in the EU...though costs are beginning to increase as Portugal falls into fiscal step with the rest of the EU. 
You’ll find your food and wine bills are low and on the whole dining out is inexpensive, but if you are interested in imported goods you will find them to be quite expensive. 

Working - If you move to Portugal and intend on working in the country all employees require a tax card and a fiscal number - called numero de contribuinte. You can get this from your local tax office. The tax number you are assigned must be given in any taxable dealings you undertake - e.g., taking employment, property purchase etc. Portugal has a monthly PAYE (pay as you earn) system of income tax and rates are from 15% - 40%. 
Portuguese residents are taxed on their worldwide income with non-residents liable for tax on any income received in Portugal. Employment conditions in Portugal are fair to good with extensive labour legislation in place to protect employee rights and to provide equal rights for women in the workplace.

If the east Algarve sounds like the place for you and you are interested in a beautiful place to live, that also offers a good income, take look at our listing on escapeartist.com and for further information about the area in general  visit our website