Buyer's guide
Getting a mortgage in Portugal as a non-resident
Portuguese banks do lend to foreign buyers — but the rules differ from home. Here's what to expect on deposit, terms and how much you can borrow in 2026.
Yes, foreigners can get a mortgage in Portugal, including non-residents. But the terms differ from what you may be used to, and a couple of surprises catch buyers out. Here's the 2026 reality.
How big a deposit will you need?
For non-residents, banks typically lend up to about 60–70% of the value — so plan for a deposit of 30–40%. Residents can usually borrow 80–90%. The exact figure depends on the bank and your profile, and remember the loan is assessed on the lower of the price or the bank's valuation.
The big surprise: there are no buy-to-let mortgages
Portugal has no "buy-to-let" mortgages. Banks lend based on your existing income, not the rent you hope the property will earn. They apply a debt-to-income cap (commonly around 35%), counting your current loan commitments — projected Airbnb or rental income won't increase what you can borrow. Budget accordingly.
Terms, rates and age limits
Mortgages run up to around 30 years, usually capped so the loan ends by about age 75. Rates come as variable (linked to Euribor) or fixed, depending on the bank and your profile. Expect arrangement and valuation fees of roughly 1–2% on top of the usual buying costs.
If you'll repay a euro loan from income in another currency (pounds, dollars), your repayments move with the exchange rate. Build in a buffer — and consider how you'll manage the FX on both the deposit and the monthly payments.
What you need before you apply
- A Portuguese NIF (tax number) and, ideally, a Portuguese bank account — see the buying process.
- Proof of income and existing debts (pay slips, tax returns, bank statements).
- A decision in principle from the bank before you make offers — it tells you your real budget and strengthens your position.
Your home-country bank won't help
A common assumption: that your bank at home will lend against a Portuguese property. Almost never — you'll borrow from a Portuguese (or Portugal-active international) lender, or a specialist non-resident mortgage broker who works with them.
Key takeaways
- Non-residents: expect a 30–40% deposit (60–70% LTV).
- No buy-to-let mortgages — borrowing is based on your income, not projected rent.
- Terms up to ~30 years, capped near age 75; add ~1–2% in mortgage fees.
- Get a decision in principle before you start viewing.
→ Want an introduction to a non-resident mortgage specialist? Ask us
General information for 2026, not financial advice. Lending criteria, rates and LTVs vary by bank and change over time — confirm current terms with a Portuguese lender or mortgage broker.
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