Brazil has become the third largest foreign market for Portuguese real estate. Investors from the South American country accounted for 10% of all properties sold to foreigners in Portugal between April and June, the third highest percentage beaten only by France (25%) and England (19%).
China, which has become one of Portugal’s main real estate buyers thanks largely to the country’s Golden Visa programme, dropped from third to fifth place with just 7% and is now trailing behind Switzerland (8%).
On a general level, foreign investment in national property has grown 3% in the second quarter of this year compared to the first, and represents 23% of all property sales in Portugal.
The data was revealed by APEMIP, Portugal’s property agents association.
Commenting on the results, president Luís Lima said more Brazilians are investing abroad due to their “economic, political and social crises” at home.
Brazilian investors are usually “older than 50, purchase property in a bid to make money (for example, to rent out), and are more willing to accept smaller return rates”, he said, adding that investment coming from Portuguese-speaking countries, including Angola and Mozambique, is also increasing.
Meantime, the shrinking number of Chinese investors is linked to “problems with the golden visa programme”, including many delays in the granting of new visas and the renewal of existing ones.
The APEMIP report shows that Lisbon, Porto and the Algarve are the most popular areas for foreign property investment.
“British investors prefer the Algarve,” said Lima, “while Lisbon and Porto are mostly sought by French and Brazilians”.