Portugal was recently considered the best country to buy a second home, among the 34 OECD (Organization for Economic Cooperation and Development) countries analysed by 'Compare the Market Australia'.
Based on a study that compared the cost of living, leisure activities and the increase in the price of houses to buy and rent in 34 OECD countries, Portugal rated as the best country to buy a second home in 2022, scoring 7.27 out of 10.
Portugal ranked ahead of countries such as Hungary, Turkey, the Czech Republic and Estonia, which are the top 5 best destinations for purchasing a second home. At the bottom of the list were Israel, Switzerland and Norway, classified as the worst countries to buy a second home.
Top 10 best destinations for purchasing a second home in 2022
According to the same study (see the full study here), Portugal scored particularly high for its proportion of restaurants, with 349 per 100,000 people, which is surprising for such a small country.
In addition, Portugal also scored well for its average cost of living, at $549.28 per month per person (about 532 €/month).
As for the average cost of buying a house, the same study shows that values in Portugal have risen 67% in ten years and rents 21%, which shows the enormous investment potential that a second home in Portugal represents. This applies to both investors who buy real estate in Portugal for personal use (and may consider selling in the future), as well as homeowners who rent a property on the Portuguese holiday home rental market (known as AL or "Alojamento Local").
Why invest in Portugal?
According to Dylan Herholdt, Sales Director at Portugal Realty who has accompanied hundreds of international homebuyers, "Portugal is no longer just a place to enjoy holidays! Our increasing number of international property buyers from all over the world shows Portugal's huge success as a secure investment destination for buying a property".
And not everyone is a digital nomad who wants to be in a busy city or a retiree who wants to be near golf courses in a highly-popular tourist location. "My clients are international property investors, individuals and families in the most diverse stages of life who are looking at places such as the Silver Coast in search of a more authentic lifestyle", adds Dylan.
The motivations of international property buyers in Portugal have shifted greatly in the past decade. Until a few years ago, the purchase of a second home in Portugal was based on reasons such as the quality of life, the food, the landscape and the mild climate that Portugal offers. However, many foreigners are now seeking other things, such a better work-life balance, safety and, also, political stability.
From countries bordering ongoing wars, to countries where hate crimes and gun violence have made surviving a daily challenge... Portugal has become a haven for international property buyers looking for respite from the political, social and economic instability plaguing several countries worldwide.
Looking for a second home in Portugal?
Dylan Herholdt from Portugal Realty and his team of multilingual property specialists have helped hundreds of international property buyers to find their dream home in Portugal. Visit the website to find out how...
Another fact is the high cost of living in property investors' countries of origin, which makes the price of Portuguese real estate and the average cost of living even more attractive.
According to data available on Numbeo, in November 2002 the cost of living in Portugal is, on average, 38.36% lower than in the United States.
Imagine being able to buy the property of your dreams in a country that is accessible, affordable, safe, welcoming and, on top of it all, simple… Well, in Portugal, you can.
Stories of people who have bought a second home in Portugal
If you'd like to listen to personal testimonies of people who have bought a second home in Portugal, Portugal The Simple Life Podcast has a series of interviews called "My Portugal" where everyday people share their journey of discovering, falling in love with and finding a home in Portugal.
People such as Danny and Vinnet, from the USA, who purchased a beautiful villa in Sao Marinho do Porto, Portugal, with the assistance of Portugal Realty. In this wonderful episode, they share how Portugal's diversity, safety and welcoming people have made them feel at home:
Why Portugal? "The people, that's really important to me. Feeling welcome, feeling a part of the welcoming, wonderful people of Portugal ..." - Vinnet, from the USA
If you're interested in buying a home in Portugal, visit Portugal Realty's website to see property for sale!
Portugal The Simple Life is sponsored by a network of Portuguese companies that specialise in supporting families transition to a simple life in Portugal. Please contact us if there is anything we can assist you with: Leisure Launch Group, Immo Portugal, Portugal Accounting, Portugal Interiors, Portugal Realty, Presprop Portugal Construction, SCH Holiday Homes and SCH Property Management & Rentals.