Skip to content 
Buying property in the Azores offers a unique chance to own a piece of Portugal’s stunning island paradise. Known for its peaceful surroundings and natural beauty, the Azores attracts buyers looking for a relaxed lifestyle.
This guide covers everything you need to know about buying property in the Azores real estate. You will find details on property prices, the best islands for investment, and financing options for foreign buyers. We also explain the required documents and provide a step-by-step guide for buying a house in the Azores.
What to Know About Living in the Azores as an Expat
Living in the Azores as an expat offers a peaceful and friendly lifestyle surrounded by natural beauty. Many expats enjoy the calm pace of life and the close-knit community that welcomes newcomers.
Buying property in Azores lets people experience daily life on these scenic islands with green landscapes and ocean views. Expats in the Azores enjoy a mix of traditional Portuguese culture and a simple, relaxed way of life that differs from city living.
Daily life in the Azores provides easy access to local amenities. The islands have essential services like shops, banks, and restaurants, making life comfortable. Healthcare in Portugal is also accessible and reliable, with Portugal’s healthcare system ranking 21st globally according to Numbeo’s 2024 Healthcare Index.
For families, the public education system ranks 27th globally, providing quality schooling for children. Many expats start small businesses, work remotely, or retire on the islands, enjoying a comfortable life with lower living costs than other European countries.
Buying a house in Azores provides a unique opportunity for those seeking a fresh start in a peaceful setting. Azores real estate remains affordable, making it easier for expats to settle in and become part of the local community.
With its simple lifestyle and warm community, the Azores offer an ideal setting for expats looking for a safe and relaxed place to live.
Why Buy Real Estate in the Azores? Real Estate Trends
Buying property in the Azores offers a rare combination of natural beauty, affordability, and a genuinely relaxed lifestyle. Azores real estate attracts both local and international buyers who value space, privacy, and a strong connection to nature. With lush landscapes, volcanic mountains, ocean views, and a mild year-round climate, Azores Portugal real estate appeals to those looking to step away from busy cities and crowded tourist areas.
Property in the Azores often includes traditional homes and larger plots, frequently at prices well below those found in mainland Portugal or more established island markets. Compared to Lisbon, Porto, or even Madeira, the Azores real estate remain relatively affordable, allowing buyers to access more space and character for their budget. This makes the region particularly appealing to lifestyle buyers, remote workers, and retirees who prioritise quality of life over short-term rental returns.
The market is still in an early growth phase, with international interest increasing steadily but without the price pressure seen elsewhere in Portugal. As awareness grows, demand is rising—but for now, the real estate Azores Portugal continue to offer good value, a welcoming community, and a slower, nature-focused way of life that many buyers find increasingly hard to find in more mainstream locations.
Types of Homes for Sale in the Azores
Real estate Azores offer a varied property market shaped by the islands’ rural character, volcanic landscape, and small-town living. Properties tend to be more space-focused and traditional compared to mainland cities, which appeals to buyers looking for privacy, nature, and long-term value.
Here are the main types of homes for sale Azores:
Azores Waterfront Property for Sale
Azores waterfront property for sale are highly sought after for their ocean views and proximity to the coast. These properties are ideal for lifestyle buyers and long-term living, though availability is limited and prices tend to reflect their prime location.
Villas in Azores, Portugal
Villas in Azores, Portugal are typically detached homes offering more space, gardens, and privacy. Villas are popular with families and buyers looking for a primary residence or a spacious second home away from busy tourist areas.
Land for Sale in Azores
Land for sale in Azores range from residential plots to larger rural land parcels. Land can offer good value, but buyers should carefully check zoning, construction permissions, and access before committing.
New Apartments
Mostly found in urban areas such as Ponta Delgada, these properties offer modern layouts, lower maintenance, and easy access to services, making Azores Portugal property for sale particularly attractive for permanent living or long-term rentals.
Average Property Prices in Azores, Portugal
Property prices in real estate Azores Portugal vary noticeably from island to island, mainly depending on population size, infrastructure, and demand. Overall, the region remains one of the most affordable property markets in Portugal.
- Faial: €1,741 / m²
- Pico: €1,682 / m²
- Santa Maria: €1,417 / m²
- São Jorge: €1,390 / m²
- São Miguel: €2,314 / m²
- Terceira: €1,601 / m²
São Miguel, the largest and most populated island, commands the highest prices of Azores homes for sale due to stronger demand, better infrastructure, and services centered around Ponta Delgada. Smaller and more rural islands such as São Jorge and Santa Maria offer lower entry points, appealing to buyers prioritising space, nature, and long-term lifestyle value.
Get In Touch With a Portugal Property Specialist
Portugal Residency Advisors® has assisted numerous international investors in successfully investing in Portugal. Discover how our trusted, all-in-one solution makes your investment journey smart and simple.
Where to Buy Property in the Azores
When buying property in the Azores, each island offers a unique lifestyle and setting. Deciding where to buy Azores homes for sale depends on your lifestyle goals and priorities. Here are the most popular islands:
São Miguel
São Miguel, the largest island, provides a mix of city and island life with many amenities and services. Ponta Delgada, the capital, is on São Miguel and serves as the main hub for transport, healthcare, and shopping. São Miguel’s natural beauty, with its volcanic lakes and hot springs, attracts those looking for a lively yet scenic location.
Terceira
Terceira Island combines rich history and a peaceful lifestyle. Angra do Heroísmo, a UNESCO World Heritage site, is located here and gives a glimpse into Portuguese culture with its historic architecture. Terceira provides property buyers with a blend of cultural sites and a laid-back lifestyle, making it an attractive option for those wanting a quieter life with charm.
Pico
How to Finance Your Property in Azores
Financing options make buying property in the Azores accessible for foreign buyers. Many Portuguese banks offer mortgage plans for non-residents, allowing buyers to purchase Azores homes for sale even if they live abroad.
Banks provide options that cover up to 80% of the property’s value, which is helpful for people looking to invest in Azores Portugal real estate. This financing plan enables buyers to pay a smaller amount upfront, making the process easier and affordable.
When applying for a mortgage in Portugal, the Bank of Portugal has specific guidelines for loan approvals to promote careful lending practices. Non-residents can receive a Loan-to-Value (LTV) ratio of up to 80%, which means the bank can fund up to 80% of the purchase or appraisal value. For primary residences, the LTV can go up to 90% if the buyer is a resident. This measure ensures that loans remain manageable for borrowers.
Portugal also applies a Debt Service-to-Income (DSTI) ratio of 50%, which limits monthly loan payments to half of the borrower’s income. This guideline helps ensure buyers can comfortably afford their mortgage. Additionally, the loan term is capped at 35 years for borrowers over 35 years old, setting a reasonable period for repayments.
With proper guidance, buying a house in Azores becomes a smooth experience. Azores real estate offers a mix of affordability and unique island living, and financing options make this dream achievable for many buyers.
Property Taxes in the Azores
When purchasing real estate in the Azores, buyers should budget for the same property taxes that apply across Portugal. These are paid at different stages of the buying and owning process.
IMT (Property Transfer Tax) is paid at the time of purchase and is calculated on the higher of the purchase price or the property’s tax value. The rate is progressive and depends on whether the property is a primary residence, second home, or investment property. For second homes, rates generally range from 1% up to 7.5%.
Stamp Duty is charged at a flat rate of 0.8% of the purchase price applicable to all Azores Portugal real estate and is paid when the final deed is signed.
IMI (Municipal Property Tax) is an annual tax based on the property’s tax value. In the Azores, IMI rates typically range between 0.3% and 0.45% per year, depending on the municipality.
How to Buy Real Estate in the Azores
Buying real estate in the Azores follows the same legal process as mainland Portugal and is fairly straightforward when done step by step.
Step 1: Paperwork (NIF and bank account)
The first thing you’ll need for buying in real estate Azores is a Portuguese tax number (NIF). This is required for any property transaction. You’ll also need a Portuguese bank account to pay deposits, taxes, and completion costs. Both can usually be arranged before you arrive or shortly after.
Step 2: Find a property
Once the basics are in place, you can start looking for Azores Portugal property for sale. Engaging a local real estate agent is strongly recommended, especially in the Azores, where listings can be more fragmented and local knowledge really matters. A good agent will also help set realistic expectations around location, access, and renovation potential.
Step 3: Reservation
When you’ve found the right property, it’s common market practice to pay a reservation fee, usually between €2,500 and €5,000. This takes the property off the market while legal checks begin. The reservation amount is typically deducted from the purchase price later.
Step 4: Promissory Contract (CPCV)
After due diligence is completed, both parties sign the Contrato de Promessa de Compra e Venda (CPCV). At this stage, the buyer usually pays a 10% deposit. If the buyer withdraws, they lose the deposit; if the seller withdraws, they must return double the amount, which offers legal protection to both sides.
Step 5: Signing the Final Deed
The process of investing in real estate Azores concludes with the signing of the final deed before a notary. The remaining balance and taxes are paid, and the property is officially registered in the buyer’s name.
For more videos about investing or moving to Portugal, explore our YouTube channel here: YouTube Channel Portugal Residency Advisors.
Other Sought-After Regions for Property Buyers in Portugal
Lisbon
Appeals to buyers seeking city living, strong rental demand, and long-term capital growth, with higher prices than the Azores but greater liquidity.
Algarve
One of the most popular regions for foreign buyers, offering beaches, established expat communities, and a strong lifestyle and rental market.
Alentejo
Attractive for buyers looking for space, countryside living, and lower prices, offering a quieter alternative with good long-term value.
Madeira
Known for its mild climate and growing international community, combining island living with better infrastructure and connectivity than the Azores.
Visa & Immigration Options to Portugal
Portugal offers several visa options for those looking to relocate, invest, or work remotely. The Golden Visa suits investors seeking residency through qualifying investments, while the D7 Visa is ideal for retirees or individuals with passive income. Entrepreneurs often choose the D2 Visa to start or grow a business, and highly qualified professionals can apply for the D3 Visa with a valid job offer. Remote workers and freelancers are well covered by the Digital Nomad Visa, allowing them to live in Portugal while working for overseas clients or employers.
However, moving to a new country isn’t just about visas. If you’re thinking of buying property or renting in Portugal, our guides offer valuable insights. You can also explore the full process in our comprehensive Portugal immigration guide, including dedicated resources for Americans moving to Portugal. Finally, obtaining a NIF (Portuguese tax number) and opening a Portuguese bank account are essential first steps, as they are required for most aspects of daily life and relocation.
Why Work With Us
Local Expertise
We know Portugal. Due to our extensive local knowledge, we believe that concentrating our services in a single country destination is the best way to give you the most thorough and useful information.
Honest Guidance
We recommend what’s best for you based on an extensive process experience that saves time and money to clients. Our pricing is clear and competitive, and we don’t sell services that make us more money.
All-in-One Solution
One single channel of communication for the entire process. We provide you with a comprehensive service that covers all aspects of your move, from identifying the ideal residency visa to finding your new home or helping you to settle.
Seamless Process
Technology plays a very important role in our company. We minimize our clients’ involvement in paperwork. We are customers ourselves and we know how to serve you.
Frequently Asked Questions
Can non-residents buy property in Azores?
Yes, non-residents can buy property for sale in Azores. Portugal allows foreigners to purchase property with few restrictions, making it accessible for international buyers.
How does buying property in Azores differ from mainland Portugal?
Buying property in Azores is similar to mainland Portugal in terms of legal steps and taxes, but Azores real estate is generally more affordable and offers a peaceful island setting.
Are there financing options for buying a house in Azores?
Yes, local banks offer financing options for buying property in Azores. Many non-residents can access mortgages covering up to 80% of the property value.
How can a property buyer’s agent help with buying a house in Azores?
A property buyer’s agent helps with property searches, legal checks, and negotiation. Working with an agent makes the buying process smoother and safer.
Is it possible to rent out a house in Azores?
Yes, renting out a house in Azores is possible and can generate rental income, especially during tourist seasons when demand is high.
Are there any cheap properties to buy in Azores?
Yes. The Azores offers some of the most affordable property options in Portugal, particularly in rural areas and on less touristic islands. Lower prices are often found in older homes or properties needing renovation, while locations closer to main cities and the coast tend to be more expensive.
Excellent
4.9 | 47 Reviews
