Property for Sale in Portugal
By Danny Bance

Investors 'finding alternative ways' to fund Portugal property purchases

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Buying a property in Portugal has become more difficult recently, thanks to stricter lending conditions imposed by the country's banks.

However, managing director of Portuguese agent Infinito Real Stephen Anderson noted investors are increasingly finding other avenues to raise money for their purchases.

"Recently, we have seen a few savvy developers offering an alternative method of funding to avoid the stumbling block of acquiring finance from the bank, thus helping to get the property market moving," he stated.

Mr Anderson went on to explain such deals usually involve a 30 per cent deposit from the buyer, with the remainder of the property's value being paid off over a period of years agreed by both parties.

He added the buyer can then use the flat or house as they wish, either living there themselves or renting it out.

Last month, a report published by the Royal Institution of Chartered Surveyors (Rics) indicated there are opportunities for investors in the Portuguese lettings market.

According to the organisation, the restrictions on lending are forcing more people to move into rented accommodation, with Rics senior economist Josh Miller commenting the sector is exhibiting "robust demand and strong transaction expectations".

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