Tips for Buying Apartments Under Construction in Portugal

1. Check the developer’s background and reputation

The first step is to research who is behind the project. The property developer should have a solid track record, with previous works delivered on time and with recognised quality. It is crucial to check for public complaints, legal proceedings, or frequent delays in past developments. Check company review websites, visit completed projects, or speak to former clients for a realistic view of the developer’s reliability. Working with a trustworthy real estate agent can make this process easier and provide greater peace of mind.

2. Analyse the location with a long-term view

Location remains one of the most decisive factors in a property's value, both for personal use and for investment. When it comes to properties under construction, it is important to evaluate not only the current state of the area but also its development potential. Check for planned urban redevelopment projects, new infrastructure, public transport, or expanding services. Areas with sustainable growth tend to increase in value over time, especially in cities like Lisbon, Porto, Braga, or Setúbal, where demand has been consistent. Our team of property consultants, with extensive knowledge of both local and national markets, can provide updated market studies to help understand the true potential of each location.

3. Assess the technical project and materials

Before proceeding with the purchase, it is essential to carefully review the architectural and engineering plans. Check the layouts, usable areas, room distribution, and solar exposure. Pay close attention to the quality of construction materials, finishes, and equipment included in the price. A detailed and transparent specifications document is a good indicator of the developer’s professionalism. Features such as thermal break windows, effective soundproofing, pre-installation of air conditioning, and appliances from reputable brands add value and future comfort to the property.

4. Confirm the legal status of the land and permits

One of the biggest risks associated with buying a property under construction is starting the process without proper building permits. Before signing any documents, ensure the land is registered in the developer’s name, free of encumbrances or mortgages, and that the building permit has been issued. This information can be obtained from the Land Registry and the City Council. A specialised lawyer or an experienced real estate consultant can be a valuable ally in verifying these details.

5. Clearly understand the terms of the preliminary agreement

 The promissory purchase and sale agreement  must include clear clauses regarding the price, payment method, project delivery deadline, penalties for non-compliance, and construction guarantees. It is also essential that the floor plans and property description are attached as part of the contract. Negotiating clauses that protect the buyer in the event of delays or changes in materials can prevent future disputes. In Portugal, the law allows the requirement of bank guarantees to secure the amounts paid in case of construction default.

6. Plan the financing in advance

When buying an apartment under construction, payments are usually made in phases, in line with construction progress. Therefore, it is necessary to ensure that financing is arranged in good time. Contacting the bank early, obtaining credit simulations, and a pre-approval letter are steps that help avoid unexpected issues. Some developers have agreements with banks offering special conditions. However, it is always advisable to compare offers from various banks. Interest rates, spreads, and associated mortgage costs should be carefully evaluated.

7. Visit the site and monitor construction

Although the property is not yet built, it is essential to visit the construction site to check the surrounding environment, access, solar exposure, and noise levels. Whenever possible, follow the construction progress to ensure deadlines are met and materials are used as planned. Some developments offer scheduled site visits and send progress reports to buyers. This follow-up strengthens trust between the buyer and developer and allows for quick action when clarifications are needed.

8. Pay attention to additional costs

The advertised price may not include all charges. Costs such as a parking space, storage room, additional balconies, or changes to the original project may not be covered by the base price. It is important to confirm upfront what is included in the final price to avoid unpleasant surprises during the deed signing. Additionally, there are costs related to the deed, taxes (such as IMT and stamp duty), and potentially small customisation or finishing works to consider.

9. Evaluate the medium and long-term investment

Even if the goal is a primary residence, it is worth analysing the property’s future appreciation. Apartments under construction, when well located and of good quality, tend to appreciate by the time they are completed and in the years that follow—especially in areas with population growth, good infrastructure, and service availability. Engel & Völkers, with experience in new and off-plan property mediation, can help identify developments with higher appreciation potential, by combining market data with demand trends.

10. Rely on specialised professionals

Buying an apartment under construction is a process involving many variables. Having the support of an experienced real estate team not only saves time but also avoids costly mistakes. Engel & Völkers stands out by offering a personalised approach for each client, with access to exclusive developments, in-depth market knowledge, and support at all stages of the process—from project analysis to signing the deed.

Choosing an apartment under construction efficiently requires a thorough analysis of several factors: from the developer's reputation and material quality to the legal status, financing conditions, and construction monitoring. By following these tips and relying on qualified professionals, this decision can become a safe and advantageous investment.

If you are considering buying a property under construction, get the right support to make informed decisions. Engel & Völkers is available to help find the ideal apartment with total transparency, professionalism, and dedication.