With a recent report from Real Estate TV revealing that even in the Algarve region of Portugal - where it had been felt property prices had peaked - there is apparently room for between an 8 and 12% growth in property prices in 2007, it’s therefore clear that this Atlantic facing nation with its stunning climate and natural and architectural beauty is as popular as ever with those looking for a holiday home abroad or a brand new place in the sun.
There are three regions of Portugal that are being intensively explored by property investors and international home buyers at the moment and to our mind they represent the past, present and future path of Portugal’s real estate fortunes….read on to understand why and to learn about where to buy property in Portugal.
The Algarve – The Past
As stated, many consider the Algarve to be too highly priced already and this has reduced the appeal of the location with many home seekers simply because of affordability issues.
However, because there are always those who can afford homes in this, the most popular part of Portugal it is still of intense interest with many property hunters, especially those who are intensely aware of the rental returns that they can generate from a home they only use occasionally, or among those looking to retire to a place where they can enjoy an incredibly good standard of living.
If you’re interested in property in the Algarve then know that the further back you move from the coast or the further away from a golf course you look for a home the greater the chance you have of finding an affordable property in Portugal.
The reason we class the Algarve as ‘the past’ is because it has already been massively explored and in some cases exploited and while the tourism appeal of the region has been enhanced by superior leisure facilities, some of it’s traditional charm has been lost through over development and mass market attraction.
There is however no denying the incredibly good income generating appeal of property in the region and if you’re interested in buying to let then why not consider taking out a mortgage to make your lump sum go further and to enhance the level of income you can potentially generate?
Barclays Bank have an incredibly strong local presence in Portugal and are active in the mortgage market particularly for overseas buyers looking to buy property throughout the nation – click here to read more about Barclays’ mortgage services and facilities.
The Silver Coast – The Present
Those looking for an alternative location that is lesser explored but as appealing as the Algarve and which is also easily accessible are currently exploring the Silver Coast. The Silver Coast has become the most popular place in Portugal for property hunters in the past couple of years and so it is very much a ‘now’ location with developers quickly catching up and cashing in on the high levels of interest the region is enjoying.
Buyers considering property on the Silver Coast have a broad choice – there are many new developments springing up within easy reach of the region’s beaches…alternatively look further inland for a range of housing from town houses within an active community to rural farmhouses or small holdings.
Alentejo – The Future
And finally in our journey looking at where to buy property in Portugal allow us to introduce you to the Alentejo region of the nation which we believe will become much more talked about in the future as more and more people realise just how incredibly stunning and idyllic this part of Portugal is.
Bordering the Algarve and enjoying the same temperate Mediterranean climate, the Alentejo region is as yet almost completely undiscovered by those overseas buyers hunting for a second home or even a new home in Portugal. The region is the largest in Portugal and yet it is the least populated, most land is agricultural and if you wind your way deep into the heart of the countryside, for as far as your eye can see there are rolling plains dotted with olive trees and in the spring time the plains are blanketed with wild flowers.
This region of Portugal is quite possibly one of the most beautiful – within it you have almost untouched medieval villages, a long coastline that winds from the port of Sines down to Cape de Sao Vicente, you have farming communities, some large towns, dams, national parks and the traditional food and wine of the region is some of the best in Portugal!
In the Alentejo region your euros will go so much further when it comes to property than in the other two regions discussed – and in terms of the properties available there are a few modern developments but the majority of those exploring this region want a village cottage, a traditional townhouse, a rural farmhouse or just a vast plot of land on which they can build their very own, bespoke dream home.
In conclusion – if you want to buy a property in Portugal with almost guaranteed year round rental potential then the Algarve is an excellent location to hunt for real estate, if you want cheaper prices but almost as much in the way of sophistication and accessibility then consider the Silver Coast – or if you want to pioneer or get away from the crowds then look to the Alentejo region – and if you need a mortgage to buy property in Portugal speak to Barclays Bank!
