9 Reasons to Invest in the Algarve!

Holidaymakers from all over the world come to Portugal to enjoy all it has to offer and with self catering properties becoming more appealing than luxury hotels due to pricing, it is a prime investment location.

We have put together nine reasons why the Algarve is a fantastic place to invest in real estate overseas:

1. Property Prices

Compared to more central cities such as Lisbon, London, Paris and the likes, the Algarve offers more affordable property prices and in some cases you can even grab yourself a bargain or bank repossession if you move quickly.

2. Tax & Residency Incentives

Portugal’s Golden Visa and Non-Habitual Residency Programs offer both residency and tax options for many individuals from those within and outside of the European Union. Each with their own set of requirements, investors from outside of the EU can obtain Portuguese residency from investing as little as 400,000€ into the Algarve. 

3. Tourism Industry

The Algarve used to be a secret holiday destination that not many knew about, as its popularity grows internationally, so does its tourism ensuring high rental returns on your property investments. 

Places such as Lagos, Vilamoura and Albufeira are just some of the locations in high demand. 

4. Safety

Not only was Portugal voted the third safest country in the world but it is also the safest country in the European Union, as shown in the ranking of the Global Peace Index 2020. 

Released by the Institute for Economics and Peace, Portugal has managed to maintain last year’s ranking with Iceland and New Zealand being in first and second place, respectively. 

5. Quality of Life

On top of its stunning Portugueses beaches and Mediterranean climate, the Algarve is well known for the friendliness and hospitality from its people. In addition to this, everything you need to contribute towards a high quality of life such as services and amenities can all be found within this region.

According to the RTP, the Algarve has one of the most beautiful beaches in the world, Praia da Ponta da Piedade and the region was once considered the best place in terms of good infrastructure.

6. Lower Cost of Living

If you decide to invest in the Algarve because you want to relocate or even spend a majority of the year in the region, then you will be pleased to know the Algarve is a very attractive location in terms of living costs. 

Compared to major capital cities, essentials in the Algarve such as dining out in restaurants, cafes, purchasing refreshments, activities and more are lower here. It was ranked in the top 30 places regarding the best cities to live in with lower cost of living being one of the main factors. 

7. Real Estate Variety

Whether you are looking to purchase an apartment, villa, townhouse, bank repossession or even off-plan, the Algarve caters to all with a wide variety of styles such as ultra-modern, contemporary and more traditional. 

Some properties have Moorish influences, others Mediterranean and so forth. 

8. Foreign Investment Protection

To encourage foreign investment, Portugal has put regulations in place to protect foreign investors where the Portuguese law prohibits any discrimantion between investments based on nationality and the country has no foreign capital entry restrictions. 

Recognised as one of the easiest places to invest in the European Union, Portugal and the Algarve welcome all types of investors from around the world.

9. Climate

Last but not least, the Algarve surprisingly has a more Mediterranean climate even though it is situated on the Atlantic coast. However, areas within the Algarve do have their differences, for example the eastern region is typically a bit hotter and drier than the west because of the Atlantic influence in the west. 

Averaging 3000 hours and 300 days of sunshine a year, Portugal is one of the sunniest places in Europe. 

It’s fantastic climate drives people to the Algarve every year and in most cases all year round making it a fantastic place to invest no matter if you are looking for a rental investment, holiday home or somewhere to relocate. 

For more information on brochures on investment properties we currently have available across the Algarve, get in touch with a member of our team today. They can assist with rental simulations to give you an idea of what return you can see on your investment and if you are looking at financing, put you in touch with our mortgage advisor for free. 

You can also give us a call on +351 289 513 434 | 0800 133 7644 and speak to someone now!