How Non-Residents Can Secure a Mortgage in Portugal [2024 Guide]

Portugal has become a prime destination for international buyers looking to invest in real estate, whether it’s for a vacation home or a permanent residence. However, one common question that comes up for non-residents is: Can I get a mortgage in Portugal? The good news is that it’s entirely possible, and with the right strategy, you can secure favorable rates and terms as a non-resident. In this guide, we’ll walk you through the key steps, eligibility criteria, and the best practices to ensure a smooth, hassle-free mortgage process in Portugal. Whether you’re planning to buy a home or refinance your existing mortgage, this guide is designed to help you make informed decisions with confidence.

Check Your Eligibility

Before diving into the mortgage process, it’s important to determine if you meet the basic eligibility criteria as a non-resident. Generally, Portuguese banks look for stability in income, financial history, and a good credit score. Non-residents are typically required to provide:

1. Proof of income (such as salary slips or tax returns).
2. Proof of stable employment or income generation.
3. A good credit history, both in your home country and globally.
4. A down payment (usually around 20% of the property value for non-residents).

Additionally, some banks may ask for a local representative or power of attorney to assist with certain legal and financial processes. By ensuring you meet these requirements, you can improve your chances of securing a mortgage with competitive terms.

Compare Mortgage Rates

Once you’ve established your eligibility, the next step is to compare mortgage rates across various Portuguese banks. Non-residents often worry that they might be offered higher rates than locals, but that’s not always the case. With our Mortgage System, we work directly with 11 top Portuguese banks to secure the best rates for non-residents.

To get a clearer picture of what your monthly payments would look like, you can use our Mortgage Calculator to estimate your mortgage costs based on the loan amount, term length, and interest rates. This step is crucial to ensure you’re getting the best possible deal.

Complete the Application Process

Now that you’ve chosen the best mortgage rate, it’s time to complete the application process. For non-residents, this can involve a bit more paperwork than for local buyers, but with the right guidance, it can be a smooth experience. You’ll typically need to submit:

1. Proof of income and employment.
2. Passport or identification documents.
3. A Portuguese tax identification number (NIF).
4. A local bank account, where the mortgage payments will be drawn.

If navigating this process seems overwhelming, our team is here to help. You can Book a Meeting with one of our mortgage specialists who will guide you through every step, ensuring that all your documents are in order and submitted correctly.

Legal and Language Considerations

One of the most significant concerns non-residents have when securing a mortgage in Portugal is the potential language barrier and navigating the legal framework. Fortunately, all legal documents can be translated into English, and we provide full support throughout the process. From the initial application to signing the final deed (Escritura), it’s essential to understand each document you sign.

Our service also connects you with bilingual legal experts who ensure all contracts and agreements comply with local laws while being understandable to you. This reduces the risk of missing important details or dealing with unexpected legal challenges.

For a deeper dive into the process of buying a home in Portugal, visit our Buy a Home page for more comprehensive information on what to expect during your home-buying journey.

Fast-Track Approval and Avoiding Hidden Fees

A common fear among non-residents is the length of time it may take to get mortgage approval. With our fast-track system, pre-approval can take as little as 15 days. We handle all the coordination between banks, lawyers, and other relevant parties, ensuring that your mortgage is processed quickly and without delays.

Additionally, there’s no need to worry about hidden fees. We provide a full breakdown of all costs upfront, including taxes, notary fees, and legal charges, so you know exactly what to expect.

To get started on the fast track to mortgage approval, Book a Meeting with one of our specialists today.

Securing a mortgage in Portugal as a non-resident may seem complex, but with the right guidance and resources, it can be a smooth and rewarding process. By following these steps and using tools like our Calculator to compare rates and Book a Meeting for personalized support, you can ensure that you get the best possible terms without any surprises along the way.

Ready to take the next step?
Book a Meeting with one of our mortgage advisors for tailored advice on how to secure a competitive mortgage. Whether you’re buying your dream home or refinancing, we’re here to guide you every step of the way.