Is it still possible to obtain good mortgage conditions from Portuguese banks during the Covid-19 crisis?

Is it still possible to obtain good mortgage conditions from Portuguese banks during the Covid-19 crisis?

With all the bad news of Covid19, concerns of the lowering GDP’s and increasing government borrowings to support businesses and individuals, it is perhaps surprising to hear that mortgages in Portugal continue to be readily available for both residents and non-residents, well it is true, and it is also a very good time to apply for one or even transfer your existing mortgage.


The competition in the market with banks pre-Covid was increasing and rates dropping to some quite low levels, this trend has continued into the crisis, with some rates being quoted as low as 0.75% fixed for a limited term or 1.0% variable spread over a 12 months Euribor rate, which was -0,075% at the time of this article.


There are a considerable number of banks lending in the Portuguese market with repayment terms up to 40 years or to age 80 for residents; or for 30-35 years to non-residents or also to age 80 .


Chestertons Portugal not only have contact directly with some of main lenders but also work in partnership with a company with over 40 years’ experience specialising in Portuguese mortgages to Non-Residents, helping with everything from sourcing the best terms available to helping to present the application to the key people for a faster and more favorable mortgage offer.


The advantages of using a specialised broker include:

  • The Broker should have a high level of experience having made a considerable amount of successful applications to the banks and being able to apply this experience to each individual clients needs.

  • The broker should have a higher understanding of the Bank’s criteria and with this advantage being able to present each individual case in a confident way with this often leading to faster response times and better terms than applying directly.

  • The Broker should make you fully aware of all the necessary Bank procedures so that you have a greater understanding of the whole mortgage process and thus limited surprises down the line.

  • The Broker will make a full presentation to the Bank after working with you to obtain all the necessary information for a smooth and complete presentation .

  • The presentation will be made direct to the underwriter at the Bank Head Office generally based in Lisbon in the format that the Bank require.

  • The Broker will liaise with the Bank during the process of underwriting to address any areas that need to be clarified which leads to the approvals being granted as soon as possible.

  • The Broker will work independently from the banks and your property agent, up to and after the deed, to ensure that you receive all the assistance and knowledge you need along the way.


What will you need for an application?


Of course, each application and client are different but on a typical application you will need to be prepared to provide the following:

  • ID / Passports for all Applicants

  • Proof of Address for all Applicants

  • Last Tax declaration for all Applicants

  • Bank Statements showing transactions for the last 3-6 months, for all Applicants.


  • Proof of debt on all mortgages, loans and credit cards, for all Applicants

  • Current Credit Report issued by the correct authority depending on country of principle residence, for all Applicants

For Employees:

  • Latest 3-6 months’ pay slips for all Applicants

  • Proof and confirmation of current employment, for all Applicants

Self-employed workers:

  • Last 2 years of official accounts and declaration from the accountant responsible.


Chestertons Portugal are not mortgage brokers and we can’t assist you in any applications, nor do we give any guarantees to the information provided in this article, but we can connect you to our connections that can help. For more information on mortgages in Portugal please email us directly on

+ 351 282 768 703