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The pros of investing in commercial property abroad: how to choose profitable markets

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Investing in overseas commercial property offers a wide range of opportunities for capital growth, asset diversification and stable income. With globalisation and the expansion of international markets, the format of properties in countries like Portugal continues to attract the attention of investors from around the world. Understanding the key advantages of such investments helps to minimise risk and ensure long-term benefits.

Advantages of investing in commercial property abroad

Investing in overseas commercial property offers unique opportunities to build a stable and diversified portfolio of assets. The main advantages of such investments include long-term income, capital protection and favourable tax conditions.

Income stability and high growth potential

The benefits of investing in overseas commercial property are evident due to high yields, stability and growth potential. Investments provide reliable income streams through long-term leases and regular payments. The average yield in countries with developed property markets is 6-8% per annum. Depending on the region and type of property, the percentage can be even higher.

Long-term contracts with large and stable tenants help to ensure a high level of profitability. In countries with highly developed markets, the parties to a transaction usually sign contracts for 5-10 years, which reduces risks and guarantees regular income.

Diversification of investment portfolio

Investing in foreign commercial property helps to diversify assets, which reduces risks and protects against instability in local markets. Given that economic cycles and political situations can vary significantly from country to country, investing in international markets serves as a good defence against financial crises at home.

Diversification can also include the purchase of different types of property such as office buildings, warehouses, retail space and hotel complexes. This enables the investor to spread risk and generate income from different sources, reducing dependence on a particular sector or geographical region.

Capital protection

One of the key advantages of investing in foreign commercial property is capital protection. In conditions of instability in the home markets, investments in objects abroad allow to secure funds from inflation, currency fluctuations and political risks. For example, EU countries have stable legislation that protects investors’ rights to foreign assets, ensuring a high degree of security. In addition, international investment protection agreements and insurance mechanisms provide further protection.

Advantages of investing in commercial property in Portugal

Portugal stands out from other European countries due to the favourable conditions for commercial property investors. There is a unique combination of factors that make the country’s market one of the most attractive in Europe.

Economic stability and GDP growth

Portugal has an economy that has shown stable growth and a high rate of recovery from the global crises. In recent years, the country’s GDP has been steadily increasing by 2-3% per annum, indicating good market conditions and growing consumer demand. A stable economy creates a solid base for investment in commercial property.

Portfolio growth in such conditions can be ensured not only by stable rental yields, but also by growth in the value of the properties themselves. Portugal continues to modernise its infrastructure, improving transport accessibility and construction standards, which contributes to the increase in commercial property prices in various regions.

Golden Visa Programme and tax advantages

The state offers favourable tax conditions for foreign investors, including a taxation system for commercial property owners, as well as the Golden Visa programme. The model allows investors who invest at least 500,000 euros in square metres to obtain a residence permit in Portugal. This gives not only the right to permanent residence in the country, but also favourable tax conditions for renting out property.

Infrastructure development and tourism

Portugal is one of the most popular tourist destinations in Europe, attracting more than 25 million tourists annually. Tourism actively supports the demand for commercial property, especially in cities such as Lisbon, Porto and the Algarve, where hotel complexes and retail space are in high demand.

The modernisation of the country’s infrastructure is also contributing to rising property values. In recent years, Portugal has been actively developing its transport system, building new airports and improving rail links, which has a positive impact on property returns.

How to choose commercial property for investment abroad

Selecting the right overseas commercial property for investment requires careful analysis of a number of factors. To minimise risks and maximise returns, an investor should consider the following parameters:

  1. Location – properties in major tourist and business centres such as Lisbon or Porto offer high yields and value growth potential.

  2. The type of property – offices, retail space, warehouses or hotels require different management approaches and different risk assessments.

  3. Market conditions – it is important to understand the current and projected conditions in the chosen country.

  4. Taxes and legal protection – it is important to consider commissions on rental income, capital gains tax and the level of legal security for foreign investors.

Investing in overseas commercial property as a way to create sustainable assets

Investing in overseas commercial property provides excellent opportunities for asset diversification, stable income and capital protection. Portugal is one of the most attractive markets for commercial investors due to its robust economy, tax incentives and strong infrastructure development.

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With its mild climate, Mediterranean cuisine and unique cultural atmosphere, Portugal is considered one of the most attractive destinations to relocate to in 2025. The country offers a harmonious combination of affordable prices and a high level of comfort. In this article, we will tell you how realistic it is for a Russian to fit into local society, as well as provide information on the cost of living in Portugal.

Why Portugal is attractive

Portugal remains a magnet for expats due to its unique combination of geographical diversity, high standard of living and affordable cost of services. It’s a place where tradition meets modern amenities: in 2025, the country stands out for its developed infrastructure, security, stable economy and warm climate suitable for long-term residence.

Geographical diversity and climate

Srana offers a stunning geographical diversity:

  1. Famous for its golden beaches and Mediterranean climate, the southern Algarve is ideal for those who appreciate mild winters and warm summers. Albufeira and Lagos are cities where life is relaxed, with cosy cafes, seafood and a measured pace.
  2. Lisbon, the country’s capital, is a striking architecture where modern business centres sit alongside historic monuments. The city rises up the hills, offering views of the Tagus River, and the climate remains comfortable all year round. The average temperature in winter is around 12-14 degrees Celsius, while in summer the temperature does not exceed 30 degrees Celsius. Lisbon is the choice of those seeking a balance between career opportunities and cultural leisure.

  3. The northern regions of Porto and Braga are characterised by green hills and cooler weather. In Porto, history breathes in the streets: ancient bridges, the Douro River promenade and the famous Port wine. These regions are suitable for those seeking inspiration in silence and nature.

  4. The central regions, including Alentejo, delight with plains and authentic villages. The central regions of Portugal, including Alentejo, enjoy the plains and authentic villages.

Standard of living and infrastructure

The level of comfort in Portugal remains one of the best in Europe, despite the relatively low cost of living. Developed infrastructure, safe cities and affordable services make the country attractive to families, young professionals and retirees.

Lisbon and Porto have convenient subways, with single fares costing around €1.5 and monthly passes costing €40. Intercity trains connect the major cities, travelling here is more than affordable.

The medical system deserves special attention. Public hospitals provide high-level services, and insurance for residents costs an average of 40 to 70 euros per month. Private clinics offer more flexible conditions, providing a high standard of service. For example, a consultation with a specialist will cost 50-70 euros.

Education in the country is also of a high standard. Public schools offer free tuition, while international institutions like Carlucci American International School of Lisbon offer programmes in English. Higher education is available not only for local students but also for expats.

Security is one of the key factors that make relocation attractive. Low crime rates provide peace of mind for families and the elderly. Combined with a friendly culture and hospitality, this creates an environment where everyone feels comfortable.

The cost of living in Portugal is determined by a combination of high quality services and affordability. The country offers a comfortable environment for reasonable money, making it one of the best choices for emigration.

How much does it cost to live in Portugal?

For an objective assessment, you should consider the main cost items: rent, food and transport. These categories define everyday spending and help to understand how affordable a country is.

Renting accommodation in Portugal

In 2025, prices vary depending on the city and location. In Lisbon, where demand for housing remains high, renting a one-bedroom flat in the city centre will cost 1200-1500 euros per month. On the outskirts, a similar option will cost 800-1000 euros.

In Porto, which is considered more affordable, you can rent such apartments for 900-1200 euros in the centre and about 700-900 euros on the periphery. For those looking for economical options – there are studios and rooms priced from 400 euros per month.

Many expats choose the Algarve, where rates are lower. A flat in the centre of the locations will cost around 800-1000 euros. In rural areas of the country, the service is noticeably cheaper – from 300-500 euros.

Factors affecting the cost of renting to live in Portugal:

  1. Proximity to the city centre.
  2. The condition of the building and the availability of repairs.
  3. Type of accommodation: flats, studios or houses.
  4. Time of year (there is a higher demand for rentals during the summer months).

Food prices in Portugal

Monthly grocery costs for a family of three are 300-500 euros, depending on preferences and choice of shops. In Pingo Doce or Continente supermarkets, prices are stable:

  1. A litre of milk costs €1.1.
  2. A kilo of chicken fillet is 6.5-7 euros.
  3. A loaf of bread costs €1.2.
  4. A kilo of apples is 1.8 euros.

Local markets, such as the Mercado da Ribeira in Lisbon, offer cheaper fresh fruit and vegetables, especially in season. Dinner in an average restaurant will cost 10-15 euros per person, making café meals affordable for most residents.

Salaries and expenses

The average income of professionals in Portugal is 1100-1300 euros per month. In Lisbon and Porto the salary level is higher than in the provinces – 1500-2000 in IT and financial sector. The minimum salary in 2025 is 850 euros.

The main expenses include rent, food, utilities (about 120 euros per month) and transport (metro pass – 40 euros). For a comfortable stay one person needs about 1500-1800 euros per month, a family of three – 2500-3000 euros.

Total costs: is it worth moving to Portugal from Russia?

Moving to Portugal is increasingly popular among Russians due to its combination of affordable costs and high standard of living. For an accurate assessment, you will need to take into account basic expenses such as rent, food, transport and medical services. Relocation is possible with a relatively small investment if you plan your budget in advance.

Key Points:

  1. Visa requirements. Russian citizens are required to obtain a D7 permit (for persons with passive income) or a work visa. Simplified conditions apply to freelancers and business owners.
  2. Choice of region. Lisbon and Porto are suitable for professionals seeking employment with international companies. The Algarve and the central regions are popular with retirees due to their low costs and relaxed atmosphere.
  3. Language and integration. Despite the popularity of English in major cities, knowledge of Portuguese remains important for full integration.
  4. Financial Preparation. Rent and other initial costs can hit the budget hard. The average amount needed for a comfortable start is about 5000-7000 euros per person.

Conclusion

Portugal’s moderate cost of living makes it an attractive place to move to, especially for those who appreciate culture, mild climate and convenience. Lisbon and Porto are suitable for professionals, while the Algarve is for those seeking tranquillity. Relocating will require careful cost planning, but the results justify the means.

Portugal continues to be one of the most attractive countries for immigration due to its mild climate, affordable prices and high quality of services. In recent years, the country has been actively attracting foreigners by offering residence permit programmes, comfortable working conditions and the opportunity to buy real estate on favourable terms. The best cities in Portugal to live in differ in terms of salaries, housing costs, infrastructure and income opportunities.

Lisbon: the capital of opportunity

Lisbon opens the list of Portugal’s best cities to live in, offering a developed economy, working prospects and a rich cultural environment. It is the country’s largest metropolis, which combines historical heritage and modern technology. The offices of major IT companies, international corporations and financial centres are located here, making the place a magnet for professionals from different fields. The average salary in the capital is 2000-2500 euros, but in the IT and finance industries the income can exceed 4000-5000 euros. The city remains a major economic centre, offering jobs in tourism, technology, start-ups and consulting.

Real estate: prices and rentals

The cost of housing is higher than in other regions. The price per square metre starts from 5000 euros in the centre and 3500 euros in the suburbs. Renting a one-room flat costs from 1000 euros in the main streets and 750 euros in more remote areas. Lisbon is suitable for entrepreneurs, IT professionals, investors and young professionals looking for career prospects and an active urban rhythm.

Porto: a city for those looking for a balance between work and comfort

Porto ranks second among the best cities in Portugal due to its high quality of life, affordable prices and developed infrastructure. The city is known for its cultural heritage, wine industry and strong tourism sector. The average salary here is lower than in Lisbon, but the standard of living compensates for this disadvantage. The city remains a centre for freelancers, small business owners and professionals in tourism and commerce.

Property in Porto

The average cost per square metre is 2500-4000 euros, with flat rentals starting at 700 euros. This makes the city more affordable than Lisbon, but with a high level of comfort. Its proximity to the Atlantic Ocean, mild climate and relaxed pace make Porto an ideal place for families, freelancers and those who want to combine work and a comfortable life.

Coimbra: Centre for Education and Science

Coimbra is ranked among the best cities in Portugal to live in, offering a high level of education, affordable housing prices and an intelligent atmosphere. The metropolis remains a key educational centre of the country, as it is home to the oldest university, founded in 1290.

Why does Coimbra attract students and professionals?

The city combines an academic environment, a rich history and an affordable cost of living. The location remains ideal for students, teachers and researchers who value science, culture and low housing prices. The average cost of renting a flat is 500-600 euros per month, making Coimbra one of the most affordable cities in the country. At the same time, the standard of living remains high and the population is actively involved in cultural and educational activities.

Work opportunities

The fields of education, medicine, science and IT are well-developed here, making the metropolis attractive to teachers, doctors and technology professionals. Flexible remote work opportunities also make Coimbra attractive to freelancers and digital noms. The city remains the country’s intellectual centre for young professionals and scientists, making it an ideal choice for students, teachers and entrepreneurs working in the education and technology sectors.

Braga: Portugal’s best city for family life

Braga offers a high level of security, quality education and convenient infrastructure. It is one of the oldest corners of the country, which is actively developing. There are few tourists here, and life is quiet and measured. The infrastructure is adapted for families with children – many parks, playgrounds, green areas, sports facilities.

Real estate in Braga

The average cost of housing is lower than in major cities in Portugal. The price per square metre starts from 1800 euros, renting a flat from 600 euros per month. This is one of the most affordable places in the country to move to with a high quality of life. Braga is ideal for families, retirees and those who are looking for peace and comfort, but do not want to lose access to the developed infrastructure and opportunities of the metropolis.

Aveiro: the Venice of Portugal

Aveiro is a unique city on the Atlantic coast that combines rich history, modern infrastructure and a high standard of living. Thanks to its canals, architecture and convenient location, it is often referred to as the Venice of Portugal.

What makes Aveiro attractive for Cohabitation?

The city remains one of the most affordable in the country, offering a low cost of living and a comfortable environment. At the same time, the quality of infrastructure and security measures remain high. Aveiro stands out for its peaceful atmosphere, clean streets, convenient transport system and proximity to the ocean. The ideal place for those looking for a relaxed pace of life, but who want to stay in a dynamic city.

Property value

The average price per square metre starts from 2000 euros, renting a flat from 650 euros per month. This makes the city one of the most affordable in Portugal. Developed areas of tourism, shipping and innovative technologies create opportunities for work in the country, and the low level of housing and product prices makes life comfortable. Aveiro is ideal for those who want to live by the ocean, enjoy the architecture without losing affordability.

Conclusion

Choosing the best city in Portugal to live in depends on your priorities. For career and work, Lisbon is the place to be. For family life – Braga, for students and academics – Coimbra, and for those looking for a balance of comfort and affordability, Porto and Aveiro are ideal. Immigration to the country offers prospects for work, business and comfortable living.