Having your own property
built to your specifications can be a cost effective way
of getting the property of your dreams. However without
the right planning and research it can be a quick way to
financial disaster. Being realistic about the total
costs associated with building in Portugal will ensure
you enter a construction project with your eyes open and
your future happiness and well being ensured.
When considering building a
property in Portugal there are many factors you have to
plan for, many of which are not highlighted by estate
agents, mainly because they are unaware of these costs.
It is not just a case of
factoring in the cost of the land purchase and the build
costs, there are professional fees, licensing charges
and public utility connection fees. And it is best to do
these sums before even spending a cent on land.
A tall order you may
think, but all the information is readily available and
a worthwhile exercise. After all you probably wouldn't
even consider purchasing a house needing renovation
without getting a professional opinion on the renovating
costs. Do not treat a new build in any other manner. It
will allow you to plan, budget and adjust to avoid
running out of money.
Outlined below are the
areas where costs will be incurred in any construction
project, whether you are considering utilising
traditional build methods or 'alternative' wooden
builds. Remember most of these do require IVA (VAT)
adding to them. In Portugal IVA is charged at 21%.