Portimão: Financing a modern apartment on the Arade waterfront for a permanent centre of life
A couple from Baden-Württemberg, both pharmacists for many years, planned full retirement on the Algarve. Low-barrier access, a central location and enough room for regular family visits were important.
At a glance
- Purchase price: 694.000 €
- Renovation: 44.000 €
- Financing required: 436.100 €
- Equity: 343.900 €
Anonymised case figure · not a binding statement for other projects · §34i GewO
Living year-round between town, harbour and Atlantic
Portimão is one of the largest towns on the Algarve and has long developed into an attractive place to live for people who want to live permanently in Portugal. Alongside excellent infrastructure, the town offers a modern marina, excellent medical care, varied shopping and short distances to the beaches of Praia da Rocha.
This practical case shows how buying a modern apartment for owner-occupation can be financed in a long-term and economically sensible way.
Initial situation
A couple from Baden-Württemberg, both pharmacists for many years, planned full retirement on the Algarve. Low-barrier access, a central location and enough room for regular family visits were important.
After an intensive search, they chose a generous apartment near the Arade waterfront. They were particularly convinced by the proximity to the promenade, the good accessibility of the town centre and the high build quality.
Financing overview
- Purchase price: 694.000 €
- Additional costs: 42.000 €
- Renovation: 44.000 €
- Total investment: 780.000 €
- Equity: 343.900 €
- Financing required: 436.100 €
The challenge
The buyers had equity from the sale of their previous home as well as a securities portfolio built up over the long term. Nevertheless, part of the assets was to be preserved in order to secure financial reserves for retirement.
Before moving in, several individual adaptations were planned.
Analysis
The apartment was in very good structural condition. The planned measures focused on living comfort and long-term everyday practicality.
Planned were a new fitted kitchen with additional storage, the modernisation of one bathroom, made-to-measure fitted wardrobes, zone-controlled air conditioning and the conversion of a guest room into a combined work and hobby room.
As all measures were calculated in detail before the contract was signed, they could be fully incorporated into the total investment.
Financing solution
The financing was set at around 65 % of the purchase price. This kept sufficient equity available while at the same time creating a long-term balanced financing structure.
Alongside the purchase price, all acquisition costs and all planned renovation measures were financed together. A later follow-up financing was therefore not required.
Outcome
Once the work was complete, a comfortable residence was created that offers the buyers optimal conditions both in the transition phase and in later retirement.
The financing remained calculable over the long term while at the same time leaving sufficient financial flexibility for travel and personal projects.
What other buyers can learn
Portimão offers far more than a well-known seaside resort. The town combines urban living with excellent infrastructure and short distances to the Atlantic. Anyone who plans the purchase price, acquisition costs and renovation costs together already at the property purchase creates a reliable basis for a permanent move to Portugal.
Frequently asked questions
Why is Portimão suitable for a permanent residence?
Can renovation costs be co-financed?
Why is existing equity not used in full?
Which properties are especially in demand in Portimão?
Conclusion
Portimão combines urban comfort with a Mediterranean quality of life and excellent infrastructure. Financing that takes the purchase price, acquisition costs and all planned renovation into account already at the property purchase creates the basis for a long-term and comfortable centre of life on the Algarve.
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To the case report →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 · Siegfried Perini, BAFA-notified for the cross-border activity of the owner Olga Nikushkina · §34i GewO · no tax or legal advice · no financing commitment; conditions depend on creditworthiness, loan-to-value and bank