When buying property in Portugal, the investor pays the following taxes and fees:
6—8% of the property price as the transfer tax;
0.8% of the property price as the state stamp duty.
When owning real estate, a tax of 0.2—0.8% of the cadastral property value is levied annually. The investor also pays for utilities: electricity, water supply, gas, and communications. Approximate monthly expenses range from €150 for an apartment to €1,000 for a villa.
If investors rent out a property, they are legally taxed at 28% of the rental income.