Now is definitely the time to buy property in the Algarve
The attractions and advantages of owning property in the Algarve are numerous. Who wouldn’t want to have a home in the sun, with award winning beaches, golf courses and restaurants on your doorstep? And what if you could buy that property for a price that beats even the banks valuations?
Meravista, the largest portal in the world dedicated exclusively to property in the Algarve, has a huge database of Algarve property. The information amassed from the 24.000 plus properties details, from all across the Algarve, allows the team at Meravista to spot trends and track market activity on a region wide basis.
Their research shows that current Algarve property prices are meeting - and frequently beating – bank valuations. Based on information from the Portuguese National Institution of Statistics (INE), Meravista have found that the actual sale price of property in some areas, is lower per metre² than the bank valuations for those regions. In Olhão, the INE average bank value per metre² is set at €1.031, while the Meravista average list price for the same area is €839 per metre². Property prices in consistently popular areas such as Lagos and Albufeira also fall below the regional average bank valuations. The market is firmly in the buyers favour.
Usually, bank values are lower than the market price – sometimes up to 20% lower. The fact that Algarve real estate is currently in line with bank values represents a real opportunity for some great property deals – and the chance of 100% financing. Looking at the region as a whole, the average list price of properties all across the Algarve on the Meravista database is only 5% higher than the bank valuation for the region. There are plenty of bargains out there.
This situation is not going to last forever though. So if you are considering making the Algarve your home and are looking to buy property here, for investment or retirement, now is the time to act.
