The Unique Property Site Blog

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The Drift to Portugal

The property markets are interesting in Portugal. I look at what is happening around the world and realise I seem to be in the right place for once. In the USA house sales have slumped, and prices are down 11% from their recent highs. In Spain, the real estate market is very patchy. In Northern Europe all is doom and gloom, but the market is still rising in Portugal.

Last year Sotheby’s found that North Americans were top of the list of foreign purchasers, and that trend seems to be ongoing.

Despite inflation hovering around 10%, and low wages, the real estate market seems resilient, basically because of a flood of foreign buyers. Interest rates are still low across the EU but the real problem is a lack of properties to buy. The local stats are quite amazing. 21% of homes purchased in December were sold within a week. That is remarkable. 15% were sold between two weeks and a month, while 21% were sold between one and three months.

The really surprising thing to me is that these are not figures that necessarily relate to the Algarve. The percentage of homes sold within a week (35%) was highest in Coimbra in the north.

I suspect the main driver to these prices is the desire of those who can afford it to move out of countries where life is not what it used to be. As Andrew Henderson claims, why put up with bad conditions? Go where you’re treated best. If you live in a country run by politicians who deliberately and continually run the place into the ground while insisting you pay more and more taxes and put up with constant price increases, why not shop around for a better deal?

Portugal is not run by smart people, and it is riddled with corruption, but you can organise things so that you are largely left alone. The secret to living in any country is not to be dependent upon the government for anything. I can have my own electricity should I wish. I do have my own water. The only thing the government does for me is collect my rubbish and recycle that which isn’t chucked into landfill sites. I pay for my own medical expenses, and my pension is so small that I went for 14 months before noticing that it hadn’t been paid. Those who are dependent upon the government for all of those things are systematically being reduced to serfdom. Not my idea of a great life.

For a conclusion, how about buying a rather nice chunk of eastern Portugal, which, so far, has not been developed? You get no less than three beaches in the deal.



Vila Nova de Milfontes has land for sale which includes three beaches, two of which front the sea, and one which fronts the river. There is planning for restaurants, a road, and parking lots. There are 16 hectares up for sale with planning for 900 metres of construction. The company promoting the sale is Remax Moderna.



Apparently the property has been in the possession of the same family since the 17th century.

Oh yes, and dont bother to apply unless you have €2,500,000 in the piggy bank. I’m even tempted myself.

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