A family lost more than €27,000 because they trusted “a friend who knew the Portuguese property market.”

They had finally decided to relocate to Portugal and found what seemed to be the perfect apartment for €420,000.
Trying to save money, they skipped professional assistance and relied on informal advice.

Unfortunately, what appeared to be a straightforward purchase became an expensive lesson.

The Problems Only Appeared After Signing

The property had legal issues that were never identified before the reservation agreement was signed.

No one verified whether the documentation was complete, whether there were outstanding charges registered against the property, or whether the agreed price reflected the actual market value.

Then came an even more expensive mistake.

Because the purchase was made before their relocation strategy and Portuguese tax position had been properly planned, the property was acquired under conditions that resulted in significantly higher taxes than necessary.

By the end of the transaction, they had spent over €27,000 beyond their original budget between unnecessary taxes, legal costs, delays and additional financing requirements.

All of it could have been avoided.

Why Due Diligence Matters

At Prismaat, purchasing property is never just about finding a house.

Before any offer is made, we perform a complete legal due diligence review to ensure the property can be purchased safely and without unpleasant surprises.

Property Verification

• ✔ Verification of the Usage License (Habitation Licence), where applicable.
• ✔ Review of the Land Registry Certificate to confirm ownership and identify mortgages, liens or legal restrictions.
• ✔ Verification of the Property Tax Card.
• ✔ Review of the Energy Certificate.
• ✔ Analysis of the Housing Technical Data Sheet, where applicable.

Legal Protection Throughout the Purchase

Our legal team reviews every document before you sign anything.

• ✔ Power of Attorney (when representation is required)
• ✔ Promissory Purchase and Sale Agreement (CPCV)
• ✔ Public Deed of Purchase
• ✔ Final Property Registration

Every document is reviewed to ensure your interests are fully protected under Portuguese law.

Tax Planning Before You Buy Can Save Thousands

One of the biggest mistakes international buyers make is purchasing property before properly planning their Portuguese tax residency.

Many buyers intend to live permanently in Portugal but complete the acquisition before becoming Portuguese tax residents or without understanding how the property should be classified.

This can affect whether the purchase is treated as a primary permanent residence or as a second home, resulting in higher acquisition costs and unnecessary taxation.

Proper planning before signing can make a substantial financial difference.

Prismaat works alongside buyers to ensure the purchase is structured correctly from the outset, helping clients understand:

• ✔ IMT (Municipal Property Transfer Tax)
• ✔ Stamp Duty
• ✔ Primary Residence vs Second Home tax implications
• ✔ Portuguese Tax Residency timing
• ✔ Administrative requirements before completion

Complete Assistance Until the Keys Are Yours

Our team remains by your side throughout the entire acquisition process.

• ✔ On-site legal assistance during contract signing
• ✔ Payment and verification of all applicable taxes
• ✔ Coordination of the Public Deed
• ✔ Final registration of ownership with the Portuguese authorities
• ✔ Liaison with lawyers, banks, notaries, estate agents and public entities

Buying Property in Portugal Should Never Be a Gamble

Your property will probably be one of the largest investments of your life.

Professional guidance isn’t an expense.
It’s the protection that prevents legal issues, tax mistakes and financial losses before they happen.

If you’re planning to purchase a property in Portugal, let Prismaat protect your investment from day one.

Contact Prismaat today and speak with our property acquisition specialists before making an offer.

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Frequently Asked Questions

Do I need a lawyer when buying property in Portugal?

Although not legally mandatory, independent legal assistance is strongly recommended to verify the property’s legal status, review contracts and protect your interests.

What documents should be verified before buying a property in Portugal?

The Usage Licence, Land Registry Certificate, Property Tax Card, Energy Certificate and Housing Technical Data Sheet should all be reviewed before proceeding.

Can tax residency affect the taxes I pay when buying a property?

Yes. The timing of your relocation and how the property is classified can significantly affect the taxes payable. Proper planning before purchasing is essential.