Can you get a mortgage in Portugal as a US citizen?
Yes, you can apply and obtain a mortgage in Portugal as a US citizen. There is no requirement to be a Portuguese resident or citizen in order to buy a home in Portugal using a mortgage loan. This makes it fairly simple to buy real estate in Portugal for Americans.
However, there are other requirements before applying for a home loan, such as obtaining an individual tax identification number also known as NIF and opening a bank account, among other things. Hiring a good advogado (lawyer) can make the process of obtaining a bank home loan smoother and faster.
Are there any restrictions to getting a home loan in Portugal as a US citizen?
Whether you are buying property in Portugal with or without a mortgage, if you don’t have Portuguese residency you are subject to a 90 day stay limit. In other words, non-residents can stay in Portugal for up to 90 days out of 180. Many Americans in this situation live in their Portugal home for up to 90 days and rent it out the rest of the time, for extra revenue, which they can use to pay out the mortgage.
There is also an age limit to being approved for a mortgage in Portugal, which applies to everyone, both foreign and local homebuyers. You will find it difficult to get approved for a home loan if you are over 70 years old, as some banks have a 75 or 80 years limit on loans. However, this also depends on your income and size of the loan, therefore it can vary based on each individual’s situation.
Can you get a mortgage in Portugal without applying for a visa?
The answer is yes, again. You can apply for a mortgage loan in Portugal without having a visa. If you’ve decided to buy property in Portugal and are wondering whether a home loan is an option for you, as a foreigner, we have great news. Not only it is legally possible, the process is fairly straight forward.
Applying for a visa grants you the right to live in Portugal, and it is separate from buying property with a mortgage loan. It is a common practice among Americans interested in relocating to Portugal to first purchase a house, live in it for a period of time and then use it as a permanent residency address when they finally apply for Portuguese residency.
Why buy a house in Portugal using a home loan?
If you’re dreaming of moving abroad to Portugal and fully embracing the Portuguese lifestyle, buying a home is a great way to immerse yourself in the local life and culture. Becoming a home owner in Portugal can give you a great feeling of belonging in your adoptive country. However, if you don’t have enough cash on hand for a home purchase, you can still fulfil your dream using a mortgage loan. Home prices in Portugal are still more affordable than in the US, which allows many Americans to pursue a higher-quality lifestyle on a budget that’s too restrictive for them in the United States. Moreover, there are many great deals on mortgages in Portugal at the moment.
