The real estate crisis did not hit Portugal, and especially the Algarve, as much as other countries.
The political situation in Portugal is stable since over 40 years and the country is a reliable partner in the EU. Furthermore, the real estate law is exemplary.
Rental contracts are only legally binding in written form, a contract with a handshake is not valid here. In the meantime, good objects for long-term rental and for timely limited contracts, as e. g. for overwintering, can be found.
In case you possess real estate in Portugal, you have the option to rent it tourists by means of agencies and internet portals. The simplest and surest way for you is to handle the rental via a renown agency that cares for the guests and takes over the cleaning as well as the maintenance.
Please consider carefully what kind of property you want to buy and how the location in the Algarve and the distance to the sea should be. For sure, it is great to have a villa on the cliffs with a wonderful view over the sea but also think of the disadvantages of this location, as for example the humidity of the sea during the colder months, the storm - and not to underestimate - the raging waves. In resorts > Condominium < fees arise as a rule, for administration and care on a monthly or annual basis.
When purchasing a house it is important to realise the deal with the help of a real estate agent that is legally authorised and at the same time with the help of an official notary.
TIP: Before the purchase you should ask a specialist about the condition of the house. As everywhere in the world, construction defects may exist. A serious real estate agent will not force you to buy immediately.
The deal should be made with the assistance of a notary and, in case you do not have a purchaser, by means of a real estate agent with a legal license.
If there is a ruin on a land, this may be seen as a building permit. Since many options exist in such a case, ALWAYS call in an expert when purchasing such a property.
These indications are without liability and are not meant to be a legal consultation or to substitute one. You receive detailed information from a licensed real estate agent or an attorney specialised in real estate law.