Buying property portugal: Buying property in Portugal – what are the steps, and in what order?
Portugal has its own sequence. The preliminary contract binds early and firmly, and at the end a single state counter handles three steps in one. Knowing this changes how you plan.
When buying property in Portugal, what comes before the CPCV, and when is IMT paid?
In Portugal, the bank pre-assessment comes before the CPCV, and IMT is paid before the escritura. The CPCV binds early and firmly; without a financing clause, a bank refusal costs you the sinal, usually 10 %. IMT and Imposto do Selo (0.8 %) must be settled first, or the notary will not execute the deed.
What the IMT reform means for non-residents
Since 25 May 2026, non-residents acquiring property intended exclusively for residential use pay a flat IMT rate of 7.5 %, without the usual progressive bands and without the deductions available to residents.
- Financing or CPCV first? The bank pre-assessment first, then the preliminary contract. The CPCV binds early and firmly — without a financing clause, a bank refusal costs you the sinal (usually 10%).
- The CPCV can be enforced in court: It is an enforceable contract: the wronged party can compel performance in court, not just claim money back. If the seller walks away, they owe double the sinal.
- When must the tax be paid? Before the escritura. IMT (a flat 7.5% for non-residents on residential property since 25 May 2026) and Imposto do Selo (0.8%) must be settled first, or the notary will not execute the deed. IMT for non-residents.
- How does buying property in Portugal work, and in what order? Buying property in Portugal starts with the NIF (tax number) and the question of whether you need a fiscal representative — optional for EU citizens since 2022, provided you accept electronic notifications.
Then a bank account and a financing pre-assessment, then the property documents (Caderneta Predial, Certidão Permanente, Licença de Utilização, Ficha Técnica da Habitação), then the CPCV — the preliminary contract with a deposit, typically 10 % of the price.
It also fixes the deadline for the escritura and is enforceable in court. Only then come the bank valuation and approval, then IMT and stamp duty, and finally the escritura and land registration — which in Portugal can be handled at the same counter.
Here is where most buyers trip up: IMT and stamp duty must be paid before the escritura — without proof of payment, the notary won't sign (Article 49 CIMT).
With Decreto-Lei n.º 97/2026 of 20 May 2026, Portugal added a new paragraph to Article 17 of the IMT code: anyone who is not tax resident in Portugal and acquires property intended exclusively for residential use pays a flat IMT rate of 7.5 % — without the usual progressive bands and without the deductions available to residents.
The rule has applied since 25 May 2026, not from September as many guides claim by attaching a date from two other parts of the same law (the CIA and RSAA schemes).
What counts is the date of the escritura — a CPCV signed earlier didn't lock in the old rate if the deed itself came after 25 May. IMT for non-residents in detail
The surcharge is not necessarily final: if you become Portuguese tax resident within two years of the purchase, or let the property for residential use at no more than €2,300/month for at least 36 months within six months of the purchase, you can reclaim the difference from the old rates afterwards. The 7.5 % is still due in full at the escritura either way — the refund follows later, on application.
One distinction that's easily missed: the flat rate applies only to residential property. Building land, commercial premises and rural plots stay on the normal graduated rates.
The Portuguese process in seven steps
The process starts with the NIF and the representative question, then the account and financing pre-assessment, the document check and the CPCV.
NIF and the representative question (1 · Become visible to the tax office): Nothing happens in Portugal without a NIF — no account, no contract, no deed. A second decision is attached to it immediately: the fiscal representative. Since Decreto-Lei 44/2022, EU, EEA and Norwegian citizens can do without one if they accept electronic notifications from the tax authority. Anyone resident outside the EU/EEA needs one as soon as they own property in Portugal. Applying for a NIF
Account and financing pre-assessment (2 · Become able to pay): Open a Portuguese account and clarify financeability in parallel — your type of income, the property type and your tax status determine which bank will underwrite at all. This pre-assessment belongs before the CPCV, not after it. Requirements in Portugal
Four documents, not two (3 · Check the documents): Portugal requires its own set: the Caderneta Predial (tax register), the Certidão Permanente (land registry extract, accessed online via a code), the Licença de Utilização (use permit) and the Ficha Técnica da Habitação — a construction and materials data sheet. If the use permit is missing or does not match actual use, that is a reason to walk away, not a formality.
CPCV with deposit and financing clause (4 · Preliminary contract): The CPCV binds you with a sinal of typically 10 %.
If you walk away it is lost; if the seller walks away he owes double — and you can enforce the sale in court rather than merely reclaim money. The same contract sets the deadline for the escritura, usually 30 to 120 days.
The lever is the financing clause: without it, a bank refusal costs you the deposit. The CPCV in detail
Valuation and binding approval (5 · Financing)
The bank commissions a valuation and finances the lower of purchase price and appraised value — you cover the difference from your own funds. You receive the standardised European pre-contractual information sheet before committing. The deadline agreed in the CPCV keeps running during this phase.
IMT and stamp duty (6 · Taxes): Before ownership transfers you pay IMT (a flat 7.5 % since 25 May 2026 for non-residents buying residential property) and Imposto do Selo at 0.8 % of the purchase price.
Under Decreto-Lei 97/2026 the payment window is now 30 days from the payment slip being issued (previously: the day of the deed or the next working day) — that doesn't change the fact that the notary won't sign without proof of payment (Article 49 CIMT).
The tax base is the higher of purchase price and the official rateable value (VPT) — which can exceed the price paid. IMT for non-residents
Escritura, registration, IMI (7 · Completion): The escritura can take place before a notary, at the Conservatória, or at the state Casa Pronta counter — where the deed, the tax formalities and the land registration are handled in a single procedure. Afterwards you pay annual IMI, plus AIMI above certain values.
Three points buyers in Portugal underestimate
First, the preliminary contract. The CPCV is an enforceable contract — the aggrieved party can compel performance in court, not just claim money. That protects you against a seller who backs out, but it also binds you firmly. A CPCV without a financing clause is therefore risky.
Second, the payment order. IMT and stamp duty must be settled before the escritura, or the notary won't proceed. The money, including the 7.5 % for non-residents, has to be ready beforehand.
Third, the ending. Casa Pronta handles the deed, the tax and the land registry in one appointment. That noticeably shortens the phase after signing — but shifts the effort forward, because everything must be complete on the day.
When do I need to start what?
We deliberately do not quote fixed timelines per bank here — every case depends on creditworthiness, the property and the lender, and a false expectation does more harm than good. What can be generalised: the NIF, a Portuguese bank account and the escritura date are the hard predecessors.
They are prerequisites, not formalities — without them neither the bank can give final approval nor can the deed be executed. Everything in between can run in parallel if you set it in motion early enough.
Because IMT falls due before the escritura, the 7.5 % for non-residents belongs in your financial planning before you sign the CPCV — not shortly before the notary appointment. The payment slip is now valid for 30 days instead of one under Decreto-Lei 97/2026, which eases the logistics, but it doesn't change the underlying order. Already mid-process, CPCV signed and date fixed? Get in touch anyway — there's usually still something worth adjusting.
Frequently asked questions
Since when does the 7.5 % IMT rate apply to non-residents?
Since 25 May 2026, introduced by Decreto-Lei n.º 97/2026 of 20 May 2026 — not from September, as often reported (that date only applies to two other parts of the same law). It applies only to urban property intended exclusively for residential use. What counts is the date of the escritura — deeds signed earlier followed the previous graduated rates.
Can I get the surcharge back later?
Yes, in two ways: you become Portuguese tax resident within two years of the purchase, or you let the property for residential use at no more than €2,300 per month — contract within six months, letting maintained for at least 36 months within the first five years. The 7.5 % is still due in full at the escritura either way; the refund follows on application afterwards. Details on both paths
How firmly does the CPCV bind?
The CPCV is a binding preliminary contract with a deposit. The aggrieved party can enforce performance in court rather than only claim money. It also normally fixes the date of the escritura. Without a financing clause, a bank refusal costs you the deposit.
Do I need a fiscal representative in Portugal?
Not necessarily. Since Decreto-Lei 44/2022, EU and EEA citizens are exempt if they accept electronic notifications from the Portuguese tax authority. Anyone resident outside the EU/EEA must appoint a representative once they own Portuguese property.
When are IMT and stamp duty payable?
The payment slip is valid for 30 days since Decreto-Lei 97/2026, instead of just one day — that eases the logistics, but Article 49 CIMT still applies: the notary won't sign without proof of payment. So it must be settled before the escritura appointment, not after. Stamp duty is an additional 0.8 % of the purchase price.
What is Casa Pronta?
A state one-stop counter where the deed, the tax formalities and the land registration can be completed in a single procedure. Alternatively the escritura takes place before a notary or at the Conservatória do Registo Predial.
Does an early-signed CPCV lock in the old IMT rate?
No. What counts is the date of the escritura, not the date of the CPCV. A CPCV from before 25 May 2026 with a deed signed afterwards falls under the new 7.5 % flat rate.
Bank and purchase in Portugal from a single source
We guide you from the first bank assessment through the CPCV and its financing clause to the escritura — in German or English, with a lawyer on the ground.
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Content by Siegfried Perini — local brand representative since 2019, active in real estate since 1992, entered in the German intermediary register (§ 11a GewO) as a person directly involved in brokerage and advice. Point of contact for German-speaking buyers in Spain and Portugal. Brokerage by Olga Nikushkina, mortgage credit intermediary under § 34i German Trade Regulation (GewO); in Portugal through a locally licensed intermediary.