Property Guides, Listings and News

Portugal Property Currency Guide for International Buyers & Investors

Understanding currency exchange when buying property in Portugal is critical for international buyers, particularly those purchasing in euros but earning income in another currency. Exchange rate movements can significantly affect the final purchase price, mortgage repayments, taxes, and ongoing ownership costs.

Portugal uses the euro (€), meaning buyers from the UK, US, Canada, the Middle East, and Asia are exposed to foreign exchange risk throughout the buying process. Even small currency fluctuations between offer acceptance and completion can add or remove thousands of euros from the final cost of a property purchase.

Most international buyers choose to use a specialist currency exchange provider rather than relying on high-street banks. Currency specialists typically offer better exchange rates, lower transfer fees, and the ability to lock in rates using forward contracts. This is particularly valuable for buyers purchasing off-plan developments or properties with extended completion timelines.

Currency planning is also essential when arranging Portuguese mortgages. Buyers taking a mortgage in euros but earning income in another currency should consider the impact of exchange rate changes on monthly repayments. In some cases, lenders may require additional financial buffers to account for currency volatility.

Beyond the purchase price, currency exchange affects ongoing costs such as property taxes, condominium fees, insurance premiums, and maintenance expenses. Investors receiving rental income in euros but repatriating funds abroad should also factor in regular currency transfers and associated costs.

Many experienced investors work closely with a currency broker specialising in Portugal property transactions. These professionals help structure transfers efficiently, time exchanges strategically, and reduce exposure to adverse market movements. This approach is particularly common among buyers acquiring multiple properties or high-value assets in Lisbon, Porto, the Algarve, and Madeira.

It is also advisable to coordinate currency planning with a Portuguese property lawyer and financial adviser. Lawyers can confirm payment schedules set out in purchase contracts, while advisers ensure funds arrive on time and in compliance with Portuguese banking regulations.

Portugal has no restrictions on foreign currency transfers related to property purchases, but funds must pass through a Portuguese bank account for completion. For guidance on opening accounts, see our Portugal Banking Guide.

For related topics, explore our guides to Transferring Money, Mortgages, and Taxes & Fees.

Authoritative guidance on currency and financial regulation in Portugal can be found via the Banco de Portugal, the country’s central bank and financial regulator.

Quick Links