Financing a detached house in Évora – Living in the heart of the Alentejo with long-term planning
A couple from Freiburg, both PhD chemists, were planning a permanent move to Portugal after the end of their professional careers. They were looking for a detached house with a garden, enough room for guests and a bright study for scientific projects in retirement.
In short
What was this case about?
A couple from Freiburg, both PhD chemists, were planning a permanent move to Portugal after the end of their professional careers. They were looking for a detached house with a garden, enough room for guests and a bright study for scientific projects in retirement.
Can modernisation be included directly in the financing?
As a rule the Portuguese bank does not co-finance modernisation — it belongs in the overall plan: equity or raising capital against German property.
Why is financing used despite existing equity?
Many buyers do not want to tie up all their assets in a property and want to preserve sufficient liquidity for retirement or other plans.
Who arranged this?
Perini Finance & Property — German-speaking, operating under the §34i GewO licence held by Olga Nikushkina, Portugal through a locally licensed intermediary; 15 to 20 banks approached per case. First call free; on completion 1 % of the loan amount.
Price €560,000, loan €363,200, own funds €286,800
- Purchase price: 560.000 €
- Renovation: 62.000 €
- Financing required: 363.200 €
- Equity: 286.800 €
Anonymised case figure · not a binding statement for other projects · §34i GewO
Property for sale in Évora, mainland Portugal
Évora is one of Portugal's culturally most important cities and at the same time an attractive place to live for people who deliberately seek a quieter living environment. The historic old town, the mild climate and the good infrastructure make the region interesting for German-speaking buyers who want to move their centre of life permanently to Portugal. Detached houses in the established residential areas around the centre are in growing demand.
Two chemists from Freiburg move to Évora for good
A couple from Freiburg, both PhD chemists, were planning a permanent move to Portugal after the end of their professional careers. They were looking for a detached house with a garden, enough room for guests and a bright study for scientific projects in retirement. The chosen house was convincing for its quiet location but required some technical and functional modernisation before moving in.
€650,000 total including €62,000 for modernisation
- Purchase price: 560.000 €
- Additional costs: 28.000 €
- Renovation: 62.000 €
- Total investment: 650.000 €
- Equity: 286.800 €
- Financing required: 363.200 €
Keeping reserves for travel and health provision
The buyers had sufficient equity but deliberately wanted to keep financial reserves for travel, healthcare provision and unforeseen expenses. At the same time, all modernisation work was to be completed before moving in.
65% financing, purchase costs counted in from day one
Anyone moving permanently to Portugal should not base the financing requirement on the purchase price alone. Additional costs and modernisation belong in the overall calculation from the start. This gives a realistic picture of the actual investment.
The financing corresponded to around 65 % of the purchase price and ensured a balanced ratio between equity and outside financing. At the same time, enough liquidity remained for the new chapter of life.
New kitchen, baths and study paid from own funds
The overall plan covered all intended modernisation measures — from equity, not the bank loan:
- installation of a new kitchen
- modernisation of both bathrooms
- energy-efficient air conditioning
- renewal of the window shading
- creation of a bright study
- structured network cabling
- custom-made fitted wardrobes
- modern LED lighting throughout the house
All work was carried out immediately after the property acquisition.
House ready to live in, a quiet home base in Évora
Once the modernisation was complete, the detached house could be occupied without further building work. The buyers found the quiet centre of life they wanted in Évora and at the same time kept sufficient financial reserves for their long-term life planning.
Inland towns offer calmer property markets too
Not every attractive residential region in Portugal is on the coast. Cities like Évora offer a high quality of life, an established environment and comparatively relaxed property markets. Anyone who budgets the purchase price, additional costs and modernisation together from the outset — the bank loan for the purchase price, costs and renovation from equity — creates a robust basis for a permanent move.
Frequently asked
Can modernisation be included directly in the financing?
Why is financing used despite existing equity?
Which modernisations are especially common for detached houses in Évora?
Is Évora suitable as a permanent residence?
Évora detached house chosen for calm, culture and quality of life
A detached house in Évora is excellently suited to everyone who wants to live in Portugal permanently while valuing peace, culture and quality of life. An overall plan that budgets the purchase price, additional costs and all modernisation measures together from the start — the bank loan for the purchase price, costs and renovation from equity — creates planning certainty and a solid basis for the new chapter of life.
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A similar situation in Portugal? Let's talk.
Every financing in Portugal is an individual case. In a free initial consultation I will tell you honestly what is feasible and which bank fits.
Book a free consultationAnonymised individual case, not a binding statement for other projects · Brokerage under the §34i GewO licence held by Olga Nikushkina (D-W-132-ZUCB-95); Siegfried Perini registered as directly involved person (§11a GewO) · no tax or legal advice · no financing commitment; conditions depend on creditworthiness, loan-to-value and bank