What is a title deed?

Think of it has the end of a journey.

You decide you want to leave your home country and start to find out countries that suite your intentions.

You see recommendations over Portugal, that the country is secure, people are friendly, the rural landscape is beautiful, the sunshine is immense, and you consider that option.

You begin to look for a property, and you find the right one.

Then you want to come over to visit it.

You come and visit it, make contact with the owner or the real estate.

You should then hire an English speaking lawyer that can help you cope with all the things that need to be secured.

So, when you have an agreement, you lawyer will draft you a promissory contract, in Portuguese and in English, so you can put here all this issues you need to handle, and also all the terms of your agreement.

This contract states both parts obligations, and the terms of the deal, to be done, and can prevent the most common problems that buyers and sellers are unaware of.

It also has the purpose to secure the property for you, if anything happens.

The owner cannot change his mind without penalty, and you secure the facts of life: if the owner dies, you can ensure your right to buy the property from the heirs.

If you don’t have a contract, no-one is obliged to comply with anything, under the Portuguese law.

Normally with the promissory the buyer pays a deposit, ussually a percentage of the agreed price.

After you sign it and pay the deposit, you can wait, either for the issues to be solved, or just the time that you are ready to come over and pay for the whole deal.

Only then you get to the title deed.

That is the document that will conclude all this process, and will allow you to register the property in your name.

When you do the title deed, you pay the remainder of the amount to the owner, the taxes, and the costs with the deed an registration.

If you do it like this, complying with all these steps, the title deed is the end of a safe journey, for you to fulfil your dreams. If you don’t do it like this, sometimes this can be just the beginning of a nightmare, if any unveiled problems show up at your door afterword’s.

Good legal advice along the way is much more cheaper then to solve unknown problems that will appear any time in the future.

Just like with covid19: be safe.

Nuno de Almeida e Silva

(Lawyer)

(Disclaimer: The information referred in this post is generic and cannot be considered has legal advice nor binds the author to any responsibility if anyone takes action upon it. Please, if you have any legal doubts our questions, contact a lawyer to analyze your case, and give you legal advice to your specific situation.)