Imagine waking up to breathtaking scenery, spending endless days on pristine beaches, and evenings basking in the mild Mediterranean climate. Life in Cascais offers more than just beauty. The town situated on the Portuguese Riviera just west of Lisbon boasts a vibrant culture, world-class amenities, and a relaxed yet cosmopolitan lifestyle. All key aspects that make buying property in Cascais, Portugal, highly sought-after. The Cascais real estate market is renowned for its luxury postcodes, offering the potential for a rewarding investment alongside a luxurious lifestyle along the Atlantic coast.
In this comprehensive guide, we’ll delve into the allure of life in the stunning Cascais area, from its idyllic beaches and world-class golf courses to its rich culture and family-friendly atmosphere. We will also equip you with the knowledge needed for a seamless property search and to make an informed decision when you are ready to buy property in Cascais. We’ll explore everything from browsing real estate listings and understanding the buying process to creating a budget and discovering the value of partnering with a real estate professional like a real estate or buyer’s agent.
Inside the Cascais Real Estate Market
Before you invest in luxury property in this beautiful part of the country, it is important to have a clear understanding of Cascais, Portugal, real estate market trends. Besides popular beaches and many properties of great value offering a coastal haven along calm waters with a relaxed lifestyle to match, Cascais also has a captivating transformation story.
Once a quaint fishing village, the Cascais region has become one of the most popular tourist attractions in the Greater Lisbon Area and one of the Portuguese towns where most expats live in the country. The neighborhoods of Cascais offer luxury real estate options, including apartments near beautiful beaches, detached houses in quieter neighborhoods. You can find real estate options in proximity to international schools, and mansions in exclusive estates.
The wide variety of properties on the market, the sun-filled summers and mild winters, and being home to some of the most popular beaches in Portugal all contribute to the allure that attracts investors seeking the ideal property in a convenient location.
In 2023, property prices in Cascais averaged €5,835 per square meter, while the Cascais market also saw growth from 4.4 percent to 5.6 percent in property rental yields, making Cascais a haven for investment properties sought after by holidaymakers.
Properties in Cascais cater to all tastes, from grand estates with exclusive access to world-class golf courses, such as Golfe Quinta da Marinha and the Estoril Golf Club, to charming homes near the beach, promising a life enriched by water sports and a delicious Portuguese culinary scene. Top-notch amenities and easy access to the Portuguese capital of Lisbon, which is just a 30-to-40-minute trip by train, further enhance the appeal of purchasing a new home in the Cascais region.
Can foreigners buy property in Cascais?
There are no restrictions on who can buy property here, making the process refreshingly straightforward. However, to ensure a smooth and successful experience, partnering with a local real estate agent or buyer’s agent is highly recommended.
These professionals understand the Cascais market and can guide you through every step, from property selection to closing the deal. Their expertise will be invaluable in securing a sound investment that aligns with your personal goals. They can also connect you with the necessary resources for residency applications if you plan to relocate to Portugal, whether you plan on renting or purchasing a house in Portugal.
Key reasons to buy property in the Cascais region
While Cascais’ stunning coastline and proximity to Lisbon are undeniable draws, the value of property investment here lies deeper.
Firstly, Cascais offers luxurious property at a competitive price compared to properties in other regions of Portugal and other West European cities. While undeniably upscale, property and living costs here are significantly more affordable when compared to other hotspots in Europe and around the world. This affordability makes Cascais a financially attractive option for international investors.
Secondly, Cascais fosters a thriving expat community. This diverse group includes holidaymakers, retirees, and many international businesspeople and entrepreneurs. This creates a dynamic and multicultural atmosphere, enriching the region’s cultural tapestry.
Finally, Cascais isn’t simply a playground for the wealthy – it seamlessly blends rich history with modern vibrancy. You can explore cobbled streets lined with 19th-century architecture, visit the region’s fascinating Museum Quarter, or stand where the 15th-century Cidadela de Cascais once guarded the coast. Cascais also offers a vibrant restaurant scene, pulsating nightlife, and top-notch amenities, all contributing to the high return for any luxury property buyer interested in investing in an apartment, house, or mansion in this region. This unique blend of old and new caters to many investors, making Cascais a property investment opportunity.
Is it worth buying property in Cascais, Portugal?
Cascais, Portugal, provides many good reasons to invest in property, consider relocating to, and even consider retirement in a new home on the Portuguese Riviera. Some of these reasons include:
- Unrestricted foreign investment: Portugal has no restrictions on foreign property ownership. This eliminates a hurdle for international investors seeking their dream property in Europe.
- Thriving real estate market: The Portuguese property market, particularly in areas like Cascais, is experiencing steady growth.
- Affordability and quality: While offering a high quality of life, Portugal also has a lower cost of living than many Western European countries. This makes property ownership an attractive option for those seeking value for their money.
- Year-round sublime climate: The Cascais region enjoys a blissful climate, renowned for its warm summers and mild winters. Beach lovers can enjoy extended periods for outdoor activities and soaking up the sunshine.
- Top-tier social infrastructure: Portugal offers access to excellent international schools and high-quality healthcare services. This makes it an ideal location for families and those seeking a well-rounded lifestyle.
Considering these advantages and potential challenges, you can decide whether Portugal, and perhaps the stunning Cascais region, is the perfect place to invest in your dream home or a lucrative property venture.
Where to buy property in Cascais?
From the famous Cascais and Estoril to the tranquility of São Domingos de Rana, each area in Cascais offers the perfect property type to suit every buyer’s real estate needs and lifestyles. These include modern apartments and luxury villas in the vibrant Cascais Marina area, sea view apartments in Cascais for investment, and even new development projects in Cascais, Portugal. In the section below, we will explore a few of the best neighborhoods to purchase property in Cascais.
Cascais and Estoril
The neighborhoods of Cascais and Estoril are the renowned gems of Cascais’s luxury real estate market. Here, investors and families seeking a life of elegance and leisure will find an unparalleled property type selection. From modern upmarket apartments with panoramic ocean views to sprawling mansions boasting private swimming pools and steps from the beach, Cascais and Estoril cater to every taste.
This prestigious location isn’t just about stunning scenery. Excellent international schools like Park International, St. António, and St. John’s make it a haven for families. Cascais and Estoril offer an unmatched lifestyle experience with world-class amenities and a vibrant community. In 2023, the average asking price of property in Cascais and Estoril stood at €7,330 per square meter.
São Domingos de Rana
While Cascais and Estoril offer undeniable luxury, in the area of São Domingos de Rana, you’ll find the welcome contrast, rich history, tranquility, and affordable house options. This charming suburb offers a peaceful escape from the city bustle while remaining well-connected to Lisbon, making it ideal for those who value peaceful living without sacrificing convenience.
The true beauty of São Domingos de Rana lies in its ability to blend affordability with proximity. Residents enjoy easy access to stunning beaches, perfect for weekend getaways or a post-work escape. Modern amenities ensure a comfortable lifestyle, while the area’s rich history adds a unique layer to everyday living.
For those seeking a balance between affordability, comfort, and a touch of historical charm, São Domingos de Rana is a neighborhood worth considering. In 2023, the average asking price of property in Cascais and Estoril was €3,709 per square meter.
Alcabideche
Alcabideche is a unique blend of idyllic living and will make for a sound property investment. Nestled between the chic resort towns of Cascais and Estoril, it offers the best of both worlds. Beach lovers will find themselves a short distance from sparkling Atlantic coast beaches like Praia Grande do Guincho, while adventurers have the wonders of Sintra National Park on their doorstep. This UNESCO World Heritage Site, with its enchanting Pena Palace and hidden trails, is a significant draw for tourists.
Alcabideche also offers the peace of a less crowded area while still being close to the action of more popular areas like Cascais and Estoril. This strategic location between popular destinations makes Alcabideche an intelligent choice, offering the potential for a thriving rental market alongside a beautiful place to call home. In 2023, the average asking price of property in Cascais and Estoril stood at €5,032 per square meter.
Carcavelos and Parede
Carcavelos and Parede present a captivating coastal lifestyle for those seeking a perfect balance between relaxation and vibrant energy. These charming suburbs offer stunning beaches, ideal for surfers and those seeking peaceful moments by the sea. Beyond the idyllic beaches, Carcavelos and Parede exude a laid-back atmosphere, perfect for unwinding after a long day.
This tranquil vibe makes it an ideal place to raise a family, with access to excellent international schools like St. Julian’s School and St. Dominic’s International School. For those seeking excitement, the proximity to Lisbon provides easy access to the city’s cultural offerings and bustling energy.
So, if you crave a life by the beach with a relaxed atmosphere and the convenience of city life nearby, Carcavelos and Parede could be your perfect haven. In 2023, the average asking price of property in Cascais and Estoril stood at €5,231 per square meter.
Practical Information About Life in Cascais, Portugal
Over the years, Cascais has attracted famous names to its shores with the benefits of the coastal town’s laid-back lifestyle, natural beauty, and authentic Portuguese culture. Well-known icons who have owned addresses in Cascais include actress Grace Kelly, poet Lord Byron, Pablo Picasso, and most recently, Portuguese footballer Cristiano Ronaldo, who invested in a luxury house in Quinta da Marinha, Cascais, in 2023. Below, we will explore a few unique characteristics of Cascais that attract visitors and property investors in search of luxury coastal living in Portugal at its best.
Climate
Cascais enjoys a blissful climate. Cool ocean breezes temper summer heat, while winters remain mild. Year-round beach trips are possible, with temperatures ranging from a comfortable 15 Degrees C (59 Degrees F) in winter to a warm 24 Degrees C (74 Degrees F) in summer’s peak.
Beaches
Cascais boasts a string of captivating beaches, each with its charm. Praia da Rainha, tucked in Carcavelos, offers a sheltered cove. At the same time, surfers are drawn to the waves of Praia de Bafureira in Parede—head to Poça or Tamariz beaches in Estoril for calmer waters, popular with locals and tourists alike.
International schools
Cascais offers families excellent educational options and is home to many international schools. With 13 schools in Cascais and Estoril and two more in nearby Carcavelos, out of 20 in the Lisbon area, Cascais provides a world-class education for residents of all backgrounds.
Lifestyle and entertainment
Cascais offers authentic Portuguese flavor, exciting outdoor activities, and cultural festivals celebrating everything from jazz to traditional crafts. Living in Cascais, you can savor fresh seafood year-round at beachfront restaurants and even embrace the ocean by kayaking, paddleboarding, or surfing the renowned waves of Praia do Guincho. Avid golfers can also look forward to teeing off on the greens of seven championship courses in the coastal town.
How to Buy Property in Cascais: A Step-by-Step Guide
This guide explores essential steps, from finding your dream property and financing to negotiation, reservation, and final deed signing. The table below delves into the legal intricacies of foreign ownership in Cascais to ensure a smooth and successful journey.
Steps | Details |
Step 1: Obtaining a Portuguese Tax Number | Non-EU citizens and EU citizens purchasing property in Portugal will need a NIF, the Portuguese tax number, to open a bank account and complete financial transactions in Portugal. If you are a non-EU citizen, you will need a fiscal representative to apply online or at the local tax office. |
Step 2: Secure financing for your property | Assess your finances, explore mortgage options from Portuguese banks, and understand associated costs such as taxes, legal fees, and property registration expenses. |
Step 3: Finding a property | Set a budget and research the Portuguese real estate market, focusing on location, amenities, and rental potential. Seek guidance from real estate professionals like buyer’s agents or real estate agents. |
Step 4: Purchasing the Property | Once you find a suitable property, negotiate an offer with the seller, potentially facilitated by a real estate professional. Consider having a buyer’s agent representing your best interests during negotiations. |
Step 5: Signing the Promissory Contract (CPCV) | After an offer is accepted, a Reservation Agreement may require a refundable fee. The Promissory Contract (CPCV) finalizes the deal, often with a 10 percent deposit, signed in front of a Notary. |
Step 6: Signing the Escritura | The Escritura, or Final Deed, officially transfers property ownership. Signed before a Notary, it involves paying remaining balances and fees. After signing, the buyer becomes the official owner, concluding the process. |
Step 7: Paying Fees and Complying with Property Tax Obligations | There are other costs involved besides the standard property prices including legal fees, property taxes, property transfer tax, and possibly capital gains tax if you ever decide to sell the property. |
Requirements for a Successful Property Purchase
When buying real estate in Cascais and Portugal, applying for a Portuguese NIF number and opening a bank account is essential for a successful property purchase. We will cover these requirements in more detail below.
Portuguese tax number
A Portuguese tax identification number, Número de Identificação Fiscal (NIF), is needed to open a bank account and complete many other financial transactions in Portugal. You can apply at a tax office, with an attorney’s help, or online. Non-EU citizens will need to secure the assistance of a fiscal representative to get a NIF number.
Portuguese bank account
Consider opening a Portuguese bank account to streamline your Cascais property purchase and avoid high international transaction fees. An additional perk of having a bank account in Portugal is that many Portuguese banks offer mortgages to foreign buyers, making them a one-stop shop for financing your dream home.
Required Documents for Property Purchases in Cascais
Having all the essential documents ready is vital to the success of your property purchase journey in Cascais, Portugal. Being clued up and prepared will ensure you enjoy a seamless property-buying process and that your purchase offer is eligible and legally compliant with Portuguese real estate law.
Working with a real estate lawyer will prove invaluable as their professional services will come in handy when it comes to getting the documents you need in order and completing due diligence checks on the property on your behalf.
To purchase property in Cascais, you will need the following documents:
- Photo ID: A valid identification document that verifies your identity.
- Contrato Promessa de Compra e Venda (CPCV): The buying contract or property deed that outlines the terms and conditions of the property purchase.
- Energy Certificate: This document provides information about the property’s energy efficiency and must be presented to you by the seller.
- Imposto de Selo: The Stamp Duty payment is a tax required by the Tax Authority for property transactions.
- Caderneta Predial: The land register document contains information about the property, including its location, boundaries, and registered owner.
How to Finance Your Cascais Property Purchase
In this section, we look at how you can plan your budget and Portugal’s financing options for buying a home in Cascais.
Budget plan
Crafting a comprehensive budget is your first step to buying property in Cascais—factor in all expenses, from application fees to property taxes. Mortgage deposits differ for residents (10-20 percent) and non-residents (around 30 percent).
Consider financing options
To finance buying your dream home, consider a once-off purchase if you have the capital ready, or you can explore financing options. Portuguese banks offer mortgages to residents and foreign buyers from reputable lenders like BBVA, Santander, Banco Best, Bankinter, and Banco CTT. Research each provider’s offerings to find the best fit for your financial goals.
Exploring mortgages in Cascais
For mortgages in Cascais, non-residents need a 30 percent deposit and face an LTV ratio of around 70 percent. Fixed-rate options (3-30 years) start at 3.9 percent (up to 5 years). Research lenders like BBVA, Santander, or Banco Best to find the best fit for your situation.
Types of mortgages
Fixed-rate mortgages come with a premium but offer stability, protecting against rate changes. However, non-residents face a capped LTV ratio of 75 percent. Variable-rate mortgages, tied to the Euribor, provide fluctuating rates; currently, mortgage spreads sit around 0.85 percent. Monthly payments fluctuate over time, and early repayments might incur a 0.5 percent charge on the repaid capital.
Cost and fees for mortgages in Portugal
Besides the application and valuation fees, additional costs are involved in securing a mortgage in Portugal. Notary, registry, and tax office fees for mortgage deeds, along with Stamp Duty Tax (IMI) at 0.8 percent of the property price, add to the financial considerations. The Property Purchase Tax (IMT) varies from 2 percent to 8 percent of the property price.
Navigating the mortgage landscape in Portugal requires a clear understanding of the options available to you, associated costs, and the different requirements for residents and non-residents. Professional advice and clarity on these aspects will ensure a seamless property purchase process in Cascais.
Exploring Property Taxes in Cascais, Portugal
Navigating the property purchasing process in Portugal entails so much more than finding and buying the perfect house. You will have to pay property taxes for property acquisition and ownership in Portugal. Below, we detail the property taxes you should expect to pay and prepare for.
Municipal Property Tax (IMI)
The IMI (Municipal Property Tax) is an annual tax, the amount of which is determined by the municipality in which the property is located. The rates range from 0.3 to 0.8 percent based on the property type and location.
Property Purchase Tax (IMT)
Calculated based on the property’s value or declared amount in the deed, the IMT (Municipal Tax on Onerous Transmissions of Real Estate) is a property transfer tax that needs to be paid before the purchase is completed. The property transfer tax rate varies from 0 to 8 percent based on property type, location, purchase price, and intended use. Our Portugal property tax calculator can help you calculate your potential property’s IMT (property transfer tax).
Stamp Duty
The Stamp Duty (Imposto do Selo) is an additional transaction tax the Portuguese state charges for real estate transfers. It amounts to 0.8 percent of the deed’s total value and must be paid at the time of purchase.
AIMI (Wealth Tax)
The Portuguese Wealth Tax (AIMI) is a post-purchase tax that applies to property worth more than €600,000. There are three levels of taxation based on property value:
- 0.7 percent tax for properties valued between €600,000 and €1 million
- 1 percent tax for properties valued between €1 million and €2 million
- 1.5 percent tax applied to property worth more than €2 million
Capital Gains Tax
Capital gains refer to the profit from the property’s sale that may be subject to taxation. When you sell your Portuguese property, you must submit the property’s purchase details to the tax authorities for a capital gains assessment. You may be exempt from capital gains tax if you reinvest the total selling price in a new home.
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Frequently Asked Questions about Buying Property in Cascais
Do I need a lawyer when buying a property?
In Cascais, Portugal, while not mandatory, using a real estate lawyer is recommended to ensure a smooth and legal property purchase.
What are the additional fees when buying a property in Cascais?
Besides the property’s asking price, there are other costs you’ll need to consider when buying a property in Cascais. These include:
- Notary and registration fees
- Attorney fees
- Transfer tax (IMT)
- Stamp Duty fees
- Potential expenses related to the land registry
How much do I need for a deposit payment?
The deposit for a property in Cascais, Portugal, typically ranges from 10 to 25 percent of the purchase price, but to be safe, non-residents and foreign buyers should budget for 30 percent.
Is property cheap in Cascais?
Property in the beautiful Cascais region is more expensive than in other areas of the country. However, it is still relatively affordable when you factor in the beauty and luxury the popular coastline offers. In 2023, the average asking price for a house in Cascais was €5,563 per square meter.
Is buying property in Cascais a good investment?
While Cascais offers beauty and luxury, property there is more expensive than other areas in Portugal. The average asking price for a house in Cascais in 2023 was €5,835 per square meter, making it a pricier option.
Where do most expats live in Cascais?
Expats in Cascais tend to live in the areas of Cascais, Estoril, Carcavelos, Parede, and Alcabideche.
Where can I find Cascais real estate beachfront properties?
Explore online real estate agency websites and listing sites to browse beachfront properties, get a sense of prices, and discover different neighborhoods. Following this, connect with a local real estate agent for their expertise and guidance as you develop a clearer idea of your budget, area preferences, and desired features. For an extra edge, consider partnering with a buyer’s agent who works solely on your behalf and may have access to exclusive, non-public listings.
What are the pitfalls of buying property in Cascais?
Buying property in Cascais can involve unexpected complications. There could be legal issues with property titles, hidden debts attached to the property, or even missing information about local regulations or taxes that could impact you. That’s why seeking help from a buyer’s agent is recommended to ensure a smooth and secure purchase.
What is IMT tax?
IMT stands for Municipal Tax on Onerous Transmissions of Real Estate. It’s a tax paid by the buyer when purchasing property in Portugal. The IMT rate varies between 0 percent and 8 percent depending on the property type, location, purchase price, and whether it’s intended to be your primary residence.
