We bought a home in Portugal!!
The Portuguese government announced in October of 2023 they were ending the tax program aimed at reducing taxes for retirees immigrating to Portugal called the NHR, we jumped on a plane the next month, right around Thanksgiving, and found ourselves a lovely duplex apartment. We rented it in December of 2023 in order to qualify for the tax program even though we knew it would be months before we could move. We also knew we wanted some time to get more familiar with the city before purchasing a home.
House hunting is challenging pretty much anywhere. Most of the rental apartments we found were better suited to a short vacation stay than a permanent or semi permanent home. The one we chose was in Bonfim a beautiful, tree lined, quiet little oasis close to downtown and filled with charming 2 and 3 story building. We LOVE this neighborhood. Close to the metro, shopping, theater and tons of restaurants. There are parks and a lovely cemetery from the 1860’s. It is quiet and the street we live on gets very little traffic. It’s a picturesque area to walk the dogs and we feel like we belong to a neighborhood not a city, but with the convivence of everything close by.
We hunted like crazy for a home to purchase in this neighborhood. But as a still working artist I need a fair amount of space for my studio, and it needs to have good lighting and easy access to a sink. We also wanted a guest room. We want to make it as easy as possible for our son and his girlfriend to come and visit frequently. We also would like to host other friends from the US and elsewhere. We did not want to have to do major renovations and wanted easy access to metro, grocery stores and restaurants. We don’t have a car here (gasp) and don’t want to have one, so nearby transportation is a must.
And, of course, we had a budget. One of my other requirements was minimal stairs (that ruled out most of those 2 and 3 story houses in Bonfim!)
Real estate here is a bit of the wild west, there is no MLS, no escrow. There is a listing website called Idealista where properties for sale (or rent) are posted, but many agents and agencies keep their listings private and many property owners will not pay an agent commission. We started out viewing properties listed on Idealista and that gave us a fair idea of what was available and the market rate. Prices have gone up ALOT since the pre-pandemic days.
Many properties here are old, and mold is a big issue, long damp winters and humid summers. At several of the places we toured the smell of mold would pummel you when you entered, and that was with the windows wide open. There was one place where the black mold was so thick on the window sill and blinds that I was appalled that people not only lived there but were raising small children in that environment. Even the pictures hanging on the wall had mold growing under the glass….. Another place had wet interior walls in the basement which they were trying to hide and an obvious roof leak 2 floors above!
We found a condo in a new building about 2 blocks from our current place in Bonfim. It was a good bit smaller than I would like and the kitchen was designed for people who don’t cook. But the price was right, we would be the 1st to live in it, the neighboorhood was right, and there was a space that could do double duty as a husband office/guest room. My dedicated workspace would be the bare minimum required but it would work. We made an offer, with the contingency that we would be able to install air-conditioning. I can’t sleep in a overly warm room. Turns out installation of AC was an ongoing debate (argument) with the condo association, and it didn’t look like it would be settled anytime soon. That was in December of 2024.
Feeling a bit disheartened we put our house hunt on hold for the holidays. Our son, Brian came from Los Angeles and we spent a week together in Lisbon including the big fireworks show in the main square followed by another week in Porto where he worked during the day and we hung out at night. Brian and I took 1 afternoon and did a port wine tour and tasting. I have to say I do love a good Port, 10 year Tawny is my favorite.
In Feb we found another place in Bonfim, not quite our neighborhood, but a new build with a HUGE terrace. We have 2 small dogs and a terrace would give them a chance to get fresh air and move around a bit more. Yards are very hard to come by in the city. The condo was on the top floor 4th (european speak) 5th by US standards, here everything starts with 0 floor. Since it was under construction we had to walk the 5 flights up, stepping over construction cables and materials and with no guard or hand rails… yikes! The terrace was to die for and had a fabulous view, but it was about the same size as the apartment. It was listed as 3 bedroom but really it was 2 bedroom and a walk-in closet. The worst part was the master bedroom had a steeply angled roof that made walking on one side impossible and as the agent pointed out, there was no way to hang a mirror above the bathroom sink. Even using that side of the room for a closet wasn’t practical since the slant came down so low.
But the visit wasn’t a complete waste. The agent who happily pointed out the “challenges” with the apartment was Isabelle, a transplant from France and a pull no punches real estate agent, we liked her from the start. She set to work combing her database for things that could work for us and we kept funneling her listings we liked from Idealista. Then began the real whirlwind of viewings Some very lovely but without the bedroom sizes we needed, some with large bedrooms and lots of storage (halleluiah!) but tiny living room (where would we put the dog beds??) and minuscule kitchen There was a new build with 3 available options, but the one with the big enough bedrooms had a tiny terrace, the larger terrace had bedrooms that were too small and a less desirable layout and on and on. We were feeling like our own episode of “House Hunters International”
Isabelle expanded the search area and found us a place in Marques, a nice area, but on a spur line of the metro that doesn’t serve the rest of the city well. But what a place! Brand new, only 2 bedroom but both on suite and the master had a walk in closest (the 1st we had seen) the kitchen was large and had an American size side by side refrigerator/freezer (most had 1/2 size European fridges with only 3 small drawers as the freezer), a dedicated laundry room, small office, very large living/dining room and best of all A BACKYARD! Quite a large one (a bit too large, but..) It also had an attached garage that I would be able to section off to create a studio and storage. My husband and I both loved it.
The catch? It was over our budget by quite a bit, and the monthly condo fees were three times what had been quoted anywhere else. We talked about it for quite a while, crunched the numbers and made an offer that stretched our budget to its limits “If we do this, it may be a while before we can get more/other furniture or landscaping…” The offer was rejected. The builder didn’t actually counter just said he couldn’t take less than a certain amount. We moved on, not in tears but sad.
This is about the time I started getting seriously frustrated by the process. Now everything we looked at was held up next to the over budget place with the yard and couldn’t compete. (Later Isabelle told us the builder had expected us to make another offer, that was his mistake!) ) It was time to change tactics. At this point Isabella took us over to Villa de Nova Gaia. This is across the river from Porto proper. It is where you go to get the great view of Porto. Prices are better there so you get more for your money, but you can still be in the center of Porto via the metro in 10-15 minutes.
There are plenty of restaurants and shops in Gaia, they have a big mall with a large movie theater complex. Not that we’ve been to the movies yet. It is the side with all the Port wine warehouses and tasting facilities, but it is a bit more “city” has large multistory condo buildings and lacks the charm of our preferred Porto neighborhoods. It was there that, wouldn’t you know it, we found our dream place. The outside of the building is nothing to look at. Built in the 1960’s the exterior lacks the period charm of the 1920’s and 30’s row houses. But unlike the new builds it has S-P-A-C-E. It was originally 5 bedrooms but had been remodeled into a 3 bedroom with office. It has 2 full baths (1 on suite) + a powder room, dining room, good kitchen, huge pantry/laundry/storage area with a sink large enough to bathe the dogs. The master has a walk-in closet. All 3 bedrooms are large so we can set up the guest room with a desk work area in addition to the bed. The guest and studio bedroom both have very large built in closets and each bedroom has its own A/C heating unit. There are 2 small verandas AND 2 large private garages (they call them box garages, as opposed to just a parking space in a open garage). One garage can be used as storage, the other I will set up for taping videos and holding classes and I can set up a large work table down there for when I am working on larger art pieces. I don’t think I will even try to work on my large tree quilt until we move and I have the space to spread it out. It is on the top floor (5th?) in a building with an elevator so no one stomping around above us. The hall even has picture lights, it’s like we custom ordered the place. They reclaimed and refinished the original parquet flooring when they remodeled, personally I’m not a huge fan of parquet flooring but my husband loves it.
We had found another place we also liked a lot, it was 2 blocks from the beach in an area with a really great vibe, it felt very California (but we could never afford a place in CA 2 blocks from the beach) It was considerably smaller than the one in Gaia, 3 bed 2 bath recently remodeled beautifully. It had a large storage room down in the garage with 1 parking space in the open garage area. We would have had to push a wall out into the dining room to make the 3rd bedroom even begin to work as my studio. It also would take 30-40 minutes on the metro to get to the center of Porto. The living room and kitchen were small (takes less time to clean!). There wasn’t a terrace but it did have a shared backyard area with grass for the dogs to run around in + 2 elevators and it was a good bit cheaper than the one in Gaia. We had both places inspected still torn between the two. Do we keep everything small and save money both on the purchase and in upkeep and utilities? Do we get the larger (honestly too large) one in the ugly building and have plenty of space for ourselves and guests, and no remodeling?
We made a formal offer on the larger place in Gaia which was quickly and reasonably countered. We accepted. We met the seller at their agents office to sign the purchase agreement together. Then came the scary part, handing over a very large chunk of cash. In the US you make an offer with “earnest money” 2 or 3 thousand (at least in 2001 when we bought our last place). Here it is negotiable but between 10 and 20 percent of the sales price. We settled on 15%. Wiring the payment meant a trip to the bank to authorize the transaction. Our banker wanted assurances we were not being scammed (at this point we really wanted assurances also, gulp) we told him we were working with professional realtors on both sides of the transaction and had an attorney review the paperwork. (but it still felt scary!) With those confirmations we were able to make the down payment. We now wait and pack. Our closing date is June 19 but it is possible it could happen sooner than that. I am excited to get into our new place. We never really moved into this apartment fully, every time I considered installing shelves and hanging pictures on the wall we would find another place and think why bother if we are moving soon and would only have to patch everything up again. I did hang a design wall with drywall screws but everything else either sits on the floor or was hung using a version of the 3M removable strips.
I’ll be sure to take you on a video tour once we are moved in. Until then here are the photos from the listing. It will look quite zen (another word for empty, lol!) with our very minimal Ikea furniture. With the way the stock market is fluctuating and the dollar diving, it may be a while before we get more or different furniture for our new place, but I can live with that. I will be happy to hang our pictures, spend time on my artwork, and walk around our new neighborhood, thinking about how much I love our new home and how thrilled I am to be living my dream life here in Portugal.