Portugal is now classed as a distressed country when it comes the property market; along with the UK, Spain and Greece. Distressed in this sense means there are low prices on properties and attractive mortgage deals being offered by lenders in a bid to tempt investors.

This might sound like a good combination, however to unwary buyers it could spell bad news, especially if they assume that this ‘distress’ applies to the whole of the country. Straying into more rural areas means you could buy in a region that will not see growth for the next ten or twenty years – making it a fairly bad investment!

High specification coastal properties in Portugal seem to be the best bet for a good investment, and the country has a smaller gap when it comes to supply and demand for properties, compared to Spain. This means that when the economy recovers and conditions improve, property investors could stand to make a good return on the discounted property they invested in.

To understand the full step-by-step process to buying a property in Portugal, collect The Overseas Guides Company’s ‘Portugal Property Buying Guide’