You’ve decided to take the plunge and start the process of moving to Portugal. Now, you have to consider things like applying for a resident visa and deciding on an ideal area to settle in. One of the very first steps early in the process is finding an apartment rental in Portugal.
Why rent an apartment in Portugal?
Renting an apartment in Portugal allows you to have a home base from where to explore the country and plan out your move for the long term. It also provides you with a physical address in Portugal for any paperwork you might need to prepare in the future.
One of the most important parts of relocating is considering where to live. Most people who move to Portugal decide to rent a place for some time, even if their ultimate goal is to buy property in Portugal. During the first months of your new life in Portugal, there are lots of new things to learn and much uncertainty. Renting an apartment is a good way to establish a residence in Portugal and get to know your new country without long term commitment.
But what is the process of finding and renting an apartment in Portugal? Let’s explore.
Steps to finding an apartment rental in Portugal:
1. Get a Portuguese fiscal number
First things first: To rent an apartment in Portugal, you need a fiscal number. This is a type of Portuguese tax identification number that enables you to carry out several official tasks in the country such as paying taxes or opening a bank account, similar to a social security number. If you are a non-European resident, you must apply through a legal or representative living in Portugal. The process is typically quick and easy. You can read more about it here.
2. Decide on a region and start your search
It’s important to know where you want to settle before searching for rental apartments. While Portugal is not a big country, its regions differ largely when it comes to climate, population density, culture and tradition. In turn, these aspects influence real estate prices in Portugal. Along the coast, like in Cascais or Faro, and in the bigger cities, like Lisbon or Porto, prices are much higher compared to inland Portugal.
Once you’ve decided on a region, the best way to find a rental apartment in the area is to check online classified websites or real estate agencies. Some of the most popular websites to search for rentals include Custo Justo, Idealista and Expatriates. Some of the best agencies in the country include Casas CM, Casa Sapo and ERA.
3. View the apartment rental
Before you move to Portugal, it’s essential to do plenty of research to decide which regions you like and what types of accommodation are available. However, it’s also important to view potential apartments before you sign any contracts to make sure everything looks the way it is presented online.
It is, of course, advisable to visit Portugal in person before making a permanent move. But if you can’t do that, then you can get someone to view the property on your behalf.
4. Negotiate
Many property owners in Portugal are open to price negotiations. When negotiating, do some market research to make sure you understand what a reasonable price is for the property type and location. Keep in mind, however, that if you’re renting an apartment in a touristy part of the country, landlords may be more open to negotiations during the winter months than in the summer. From May to August many property owners prefer to do short-term rentals to vacationers.
5. Sign a tenancy contract
The contract or ‘Contrato de Arrendamento‘ typically includes the lease price and period, how much notice you must give before moving out and lease cancellation clauses. Most landlords require this, especially in big cities and larger coastal towns.
6. Pay the deposit
When renting an apartment in Portugal, it’s normal for landlords to ask for at least two months’ rent as a deposit before you move in. Keep in mind, though, that in Portugal, there is no set scheme for handling rental deposits. This means that landlords can hold the deposit themselves for the entire rental period. They will only release the deposit once you move out, as long as all the conditions of the contract have been met.
7. Pick up the keys and you’re ready to move in!
Once all the paperwork has been completed, the landlord will provide you with the keys to the apartment. You can move in any time from the date agreed upon in the contract.
Things to keep in mind when renting an apartment in Portugal
1. Finding an unfurnished apartment can be tricky
If you’re moving to Portugal after selling a house elsewhere, you may be looking for an unfurnished place. But finding unfurnished apartments is actually very difficult because most places are rented as-is and most landlords are unwilling to take anything out. Storage can also be rare and expensive.
2. Rates can vary significantly
Be prepared to tour different rentals and compare rents across Portugal. For example, if you’ve decided on living in Porto or Lisbon, you could expect to pay anything from €600 per month for a small flat to €2,000 per month for a larger family apartment. The average rent is around €1,200 per month. In the Algarve, apartments are slightly cheaper, with average mid-size apartments costing around €600 per month. Towns in the center of Portugal are the most affordable, with the average rent of a one-bedroom apartment in central Portugal being around $300.
3. Sometimes you won’t get a contract
Taxes for non-tourism rental properties in Portugal are high, 28%, so it is not uncommon for property owners not to declare it. As a result, some owners are unwilling to offer you a leasing contract or a receipt of any kind. If you want one, you usually have to pay for it, up to 28% more than the initial rental price.
4. You must give notice well in advance
You can usually serve notice after you’ve completed six months of your contract. But if you’ve got more than a year left, you usually have to give at least four months’ notice, and if you have less than a year, you will typically need to give two months’ notice.
A quick and easy process
One advantage of renting a home when moving to Portugal from the US is the speed of the process. As long as you follow all the steps carefully, complete your paperwork on time and don’t have to wait for other tenants to move out, you can move into your new home within just days.
