For many international buyers, purchasing property in Portugal begins long before the first viewing. Before making an offer or signing a contract, there are a few practical steps that will make the entire process smoother, faster, and far less stressful.
The two most important requirements are obtaining a Portuguese tax number (NIF) and opening a Portuguese bank account.
Obtaining a NIF
The NIF (Número de Identificação Fiscal) is Portugal’s taxpayer identification number. It is required for almost every official transaction in Portugal, including purchasing property, opening a bank account, signing contracts, and setting up utilities or services.
Depending on your residency status and where you live, you may be required to appoint a tax representative when obtaining a Portuguese NIF. A lawyer or specialist provider can advise on the current requirements and assist with the process if needed.
EU and EEA residents can generally apply directly at a Finanças office. You will typically need:
- A valid passport or European Citizen Card
- Proof of address, such as a utility bill
There is no government fee to obtain a NIF. Once you become a resident in Portugal, your address can easily be updated to your local Portuguese address.
Opening a Portuguese Bank Account
Opening a bank account in Portugal is generally a straightforward process. Most banks will require:
- A valid passport or European Citizen Card
- Your Portuguese NIF
- Proof of address (such as a utility bill, lease agreement, or recent bank statement)
- Proof of income (recent payslips, employment contract, pension statement, or proof of student status)
- A phone number to receive verification codes and banking alerts
While not mandatory, having a Portuguese phone number is highly recommended and can easily be arranged with an eSIM or local SIM card.
We also recommend scheduling an appointment with the bank in advance to ensure the availability of an English-speaking adviser.
Many Portuguese banks require an initial deposit to activate a new account, although requirements vary from bank to bank.
If you do not yet have legal residency in Portugal, you can still open a non-resident account. In this case, banks may request additional compliance documentation and proof of your foreign address.
Most Portuguese banks charge a monthly account maintenance fee, typically ranging between €5 and €8.
Mortgages and Banking in Portugal
Mortgage options are available to foreign buyers, with rates and lending conditions varying depending on the bank, loan-to-value ratio, residency status, and individual financial circumstances.
Portugal is widely regarded as having a stable and well-regulated banking system, offering a secure environment for both residents and international buyers.
Some of the Portuguese banks commonly used by international buyers include:
- Millennium BCP
- Santander
- Novobanco
- Caixa Geral de Depósitos (CGD)
- BPI
Some buyers also choose to use digital banking solutions such as Revolut alongside their Portuguese bank account for day-to-day spending and international transfers.
Building the Right Team
One of the biggest advantages of working with experienced local professionals is that they can help simplify what initially feels like a complex process.
From lawyers and mortgage advisers to tax specialists and currency exchange providers, having the right team around you can save time, avoid unnecessary complications, and help you make informed decisions from the very beginning.
Tax residency programmes, visa requirements, and banking regulations can change over time, so it is always advisable to seek independent professional advice based on your personal circumstances.
Final Thoughts
Purchasing property abroad can feel overwhelming at first, but with the right guidance, the process in Portugal is often far more straightforward than many buyers expect.
Working with experienced local professionals can make the journey smoother, clearer, and far more enjoyable from start to finish.
If you are unsure where to begin, we would be delighted to introduce you to trusted lawyers, mortgage advisers, tax specialists, and other professionals with proven experience assisting international buyers in Portugal. Having the right team around you from the outset can save time, avoid unnecessary complications, and give you greater confidence throughout the process.
Lemon Tree Homes Team
