If you have purchased a rental holiday property in Portugal, you’re probably keen to begin to promote it and start seeing revenue from holiday lets.

At this point, it’s advisable to make peace with the fact that it will take a bit of time to tick all the necessary legal and logistical boxes before you can start to see the money coming in. Portugal is a very bureaucratic country, and failing to abide by the rules can result in a fine that will eat significantly into your profits.

The first thing you should think about is your Alojamento local. This is a Portuguese license for holiday rental properties and is a legal must. Your property must be inspected by the local camara (town hall) for adherence to local regulations before this license is granted.

Although it is possible to attempt to go through the licensing process yourself, unless you speak fluent Portuguese and have a penchant for standing in long, frustrating queues, you will probably find it easier to use a local agency to manage the process.

If you plan to employ a local managing agency to deal with rentals, maintenance and cleaning, you will probably find that they can also help you with your rental license. If you use the same company, it will be in their interests to push your property through the system quickly so it can be ready for rental, but always keep in mind that the wheels of Portuguese bureaucracy turn very slowly – don’t expect miracles!

In terms of costs, expect to pay upwards of €600 for a company to arrange your license, and also allow a small amount for items your will need to comply with legal guidelines – such as health and safety signage, a first aid kit and an official complaints book.

Ensure you research the company you use thoroughly – expat experiences shared on forums range from efficient companies completing the process in less than six weeks, to rogue agencies being unable to complete the process in over a year! Whatever happens, don’t be tempted to take tenants until the process is complete – the fines are known to be significant.

Once your property is ready to rent out you need to think about insurance. Many UK-based companies offer insurance for holiday lets – use a trusted broker or compare a large number of quotes. Make sure your policy definitely covers you for renting out the property and is not simply a holiday home policy. To receive information from a recommended holiday home insurance company, click here.

With this all out of the way, it is time to market and, hopefully, make money from renting out the property. UK sites Owners Direct and Holiday Lettings are good places both to market your property and to survey the market to decide on a good pricing structure.

At this point, you will also need to decide on who will look after the property while you are out of the country. Again, research is key – if you choose to use a managing agent, find someone on recommendation as costs and service levels can vary hugely. Your property is likely to be one of your larger investments – so make sure you have full trust in the people looking after it. For a more detailed guide to letting your overseas home click here.

For details of property for sale in Portugal, visit the Portuguese listings on Rightmove Overseas. One way to save money when buying in Portugal is to use a currency specialist when transferring your pounds into euros to complete the purchase of your property. For more information on this, contact Smart Currency Exchange.

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