Portugal has become one of the most attractive destinations for Americans looking to invest abroad. Whether it’s a retirement plan, a vacation getaway, or a permanent move, buying property in Portugal offers sun, stability, and serious long-term upside. But what does the process actually involve, and is it as easy as it sounds?

We’ve helped many Americans relocate and invest in Portugal, and the good news is: yes, Americans can buy property in Portugal, with no citizenship or residency requirements. That said, there are some things you’ll want to watch out for. In this article, we break down what you need to know before jumping in.

Why Portugal is a property hotspot for Americans

Remote work, rising U.S. housing costs, and growing interest in European residency have made Portugal a go-to choice. It offers:

✅ Affordable real estate (compared to the U.S.)
✅ Mild weather and coastal charm
✅ Safety, political stability, and good infrastructure
✅ Residency pathways via property ownership
✅ Tax-friendly options for retirees and remote workers

Even though property investment no longer qualifies for the Golden Visa, there are still plenty of reasons to buy here, whether you're moving full-time or not.

How to buy property in Portugal as an American

Buying property in Portugal as an American follows nearly the same process as it does for locals or other EU nationals. Here's how it works:

1. Get a NIF (Portuguese tax number) – You’ll need this to open a bank account and sign contracts.

2. Open a Portuguese bank account – Required for property payments and utilities.

3. Find a property – Use agents or trusted platforms.

4. Make an offer and sign the CPCV – This is a preliminary sales contract and usually requires a 10% deposit.

5. Finalize the deed (escritura) – The sale is completed with a notary and officially registered.

6. Pay taxes and fees – See the breakdown below.

Touchdown can assist you from start to finish: NIFs, banking, legal reviews, contracts, and even negotiating with agents.

Property types in Portugal: What can Americans buy?

Americans can buy any type of property in Portugal, from modern city apartments to rustic countryside villas. Here's a breakdown:

• Lisbon & Porto – Popular for digital nomads and investors. Expect higher prices, especially downtown.

• Algarve – Ideal for retirees and second-home buyers. Coastal, scenic, and slower-paced.

• Silver Coast – Quieter than Algarve but still affordable and stunning.

• Madeira & Azores – Island life with tax incentives. Great for long-term living or rental income.

• Countryside & interior regions – Budget-friendly properties, often with more land.

Costs to consider (2025)

Buying property comes with fees. As of 2025, expect:

• IMT (Property transfer tax): Scales from 0% to 8% depending on property value.

• Stamp duty: 0.8% of the purchase price.

• Notary and legal fees: Typically €1,000–€3,000.Agent fees: Usually paid by the seller.

• Annual municipal tax (IMI): 0.3%–0.45% of the property’s tax value.

Pro tip: Budget an additional 7–10% on top of the purchase price to cover all costs.

People Also Ask about buying property in Portugal

How hard is it to buy property in Portugal as an American?

Not hard at all, there are no restrictions for Americans buying property. The biggest hurdles are usually bureaucratic: getting a NIF, opening a bank account, and handling contracts in Portuguese.

How long can you stay in Portugal if you own a property?

Owning a property doesn’t automatically grant residency, but it can support a D7 or D8 visa application. With a valid visa or residence permit, you can stay long-term and eventually apply for permanent residency or citizenship.

What are the pitfalls of buying a property in Portugal?

Key risks include hidden structural issues, unclear property titles, and unexpected tax liabilities. You’ll want to make sure everything is in order before buying. Work with a lawyer and relocation expert (like Touchdown) to avoid surprises.

How much does a house cost in Portugal in American dollars?

Prices vary widely. According to Idealista’s 2025 price report, the average prices per square meter are:

• Lisbon: 4,303€/m2

• Porto: 2,847€/m2

• Faro (Algarve): 3,614€/m2

• Rural areas (e.g., Castelo Branco): 899€/m2

Exchange rate as of May 2025: ~1 EUR = 1.12 USD

Can Americans get a mortgage to buy property in Portugal?

Yes, they can! Contact us if you need support with the process.

What’s next: Can property ownership help with visas?

Yes. While the Golden Visa no longer includes most real estate paths, owning property can strengthen your application for the:

• D7 Visa – For retirees and passive income earners.

• D8 Visa – For remote workers and freelancers.

• D2 Visa – For entrepreneurs or small business owners.

Touchdown helps Americans map out the best visa option, property ownership can be a major plus when paired with income proof.

Buying property? Don’t do it alone.

We’ve seen too many foreigners rush into deals without understanding local taxes, language barriers, or long-term planning. That’s where we come in.

Touchdown helps with:

✅ NIF and bank account setup
✅ Legal and property contract reviews
✅ Navigating taxes and residency options
✅ Long-term relocation strategy

Whether you’re buying your dream home or planning an investment, we’ll walk you through it.

Ready to own in Portugal?

Buying a home in Portugal as an American is absolutely possible, and it can be a smart long-term move. 

We specialise in relocation, tax strategy, and business setup for global professionals landing in Portugal.

Join a growing, connected international community that is thriving in some of the fastest growing corners of the world. Portugal - now; Spain - soon; the rest of the world - to come. 

👉 Want to know more? We’ll walk you through it – no jargon, just straight answers. Answer a couple of questions in the Touchdown Advisor to book a free introduction call with our team.