Case report · Algarve

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.

Key figures

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

Typical, anonymised case. Names, places and individual financing figures have been adjusted to protect privacy. The process reflects a typical advisory situation for non-resident financing in Portugal.

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.

FAQ

Frequently asked questions

Why is Portimão suitable for a permanent residence?
Portimão offers excellent infrastructure, modern healthcare, varied shopping and good transport links within the Algarve.
Can renovation costs be co-financed?
Yes. If the measures are planned and traceably calculated before the purchase, they can often be part of the overall financing.
Why is existing equity not used in full?
Many buyers want to preserve their asset structure and keep financial reserves for retirement or future investments.
Which properties are especially in demand in Portimão?
Modern apartments, flats, penthouses and detached houses in well-connected residential locations are among the preferred properties for permanent owner-occupation.

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.

Your contact

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Anonymised 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