The process of transferring money to buy a property in Portugal involves several steps and options, each with its own characteristics and requirements. Here is a summary of the main steps and considerations:
Choosing the Transfer Method
There are several ways to transfer money to Portugal, each with its advantages and disadvantages:
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Banks:
Bank transfers are a traditional and secure option, but may involve higher fees and less favorable exchange rates.
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Online Platforms:
Services such as Wise, Remessa Online, MoneyGram, and Western Union offer lower fees and average commercial exchange rates, becoming a popular option for many buyers.
Necessary Documentation
Before making the transfer, it is important to gather the necessary documentation:
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Identification document (Citizen Card or Passport)
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Updated Income Tax declaration
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Proof of address
Final Balance Payment at the Deed
At the time of executing the Public Purchase and Sale Deed (or Authenticated Private Document - DPA), payment of the remaining balance (the total property value minus the down payment already delivered) must be made through methods that guarantee immediate liquidity and security of the transaction. These are the most common instruments and, often, mandatory for large amounts:
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Bank Check or Certified Check: The traditional and most used method, especially for large amounts. The check must be issued by the buyer’s bank (or by the bank financing the credit) to the order of the seller. The certified check offers greater security, as the bank guarantees the existence and unavailability of funds.
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Certified Immediate Transfer: An increasingly common alternative. This is a bank transfer that is executed and credited to the seller’s account immediately and certified, often managed by the buyer’s bank or by the professional responsible for the deed (Notary/Lawyer/Solicitor).
Note: Using these instruments ensures that the transaction is immediately completed from a financial point of view, protecting both parties.
Step by Step for Transfer
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Platform Registration:
If opting for an online platform, you will need to create an account and provide the requested information.
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Initiate Transfer:
Select the property purchase transfer option and fill in the details, including the amount and bank details of the recipient in Portugal.
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Attach Documents:
You may need to attach the property purchase and sale contract, which must be in the name of the client registered on the platform and signed by both parties.
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Finalize Remittance:
After filling in all fields, finalize the sending, make the payment, and send the proof.
Final Considerations
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Fees and Exchange:
Online platforms generally offer more favorable exchange rates and lower service fees compared to traditional banks.
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Security:
Ensure that the chosen platform is reliable and regulated by competent financial authorities.
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Taxes: Be aware of any taxes that may be applicable to transferring large amounts of money, both in the country of origin and in Portugal.
By following these steps and carefully considering the available options, you can transfer money safely and efficiently for property purchase in Portugal.