Luís Lima, the president of APEMIP, the Association of Professionals and Companies of Real Estate Agents of Portugal, anticipates a 30% growth in the real estate market this year, alongside a cracking year for tourism.
The one proviso noted by Lima is “if the State doesn’t mess things up.”
"I predict a growth of 30%. If the State does not make mistakes, if we let the market work, we will grow, because Portugal has enormous potential.
“It will be a good year for tourism, so it will be good for us," said Luís Lima, in an interview with news agencyu Lusa, adding that the foreign tourist in Portugal "likes to become loyal and acquire real estate."
"Real estate helps tourism because it keeps the tourist longer," said the real estate boss who also predicted an increase in his membership as new estate agency companies opened up.
"As there is an economic recovery, a small group of companies pops up very easily, when there is an economic crisis they disappear just as fast," said Luís Lima, anticipating that some highstreets in the Algarve once again will be filled with estate agencies vying for business.
Regarding the Alojamento Local problems that bedevil the government, Luís Lima says the growth in short-term rentals has helped to regenerate properties in Portugal’s cities with many long-term rental properties being changed over to suit the tourist market for week-long and weekend breaks.
Lima says the government has to streamline the Golden Visa processes as it is not working and the country is losing out on investment, especially from Chinese buyers.
"I hope that within a month the Portuguese government will make a decision on this issue, because we need this overseas investment," said the APEMIP leader, noting that the administration of the Golden Visa scheme still suffers from the corruption scandal of 2015 which deterred many buyers.
The Golden Visa trial, whose most notable defendant is the former Minister of Internal Affairs, Miguel Macedo, starts on February 13th this year. Macedo resigned when the corrpution scandal was exposed but said he was doing so as the buck stopped with him and that he personally was blameless, innocent, guilt-free and tranquil. He later was arrested and charged.
This investigation and trial relates to the acquisition of visas by foreign citizens interested in investing in and residing in Portugal. Many involved in administering the Golden Visa scheme are accused of active and passive corruption, misappropriation, prevarication, embezzlement, abuse of power and influence peddling.
As for the current slow and indifferent processing of Golden Visa applications and renewals, "words are no longer enough - the government must act," said Lima, summing up that "it is essential to recover Chinese investors."
Comments
Totally agree chez. 30% just is not going to happen in Algarve, rest of Portugal, or anywhere else for a long time to come. With the Brexit uncertainty, the Brits seem to have faded into the background and most of the viewers/buyers here are French or Italian. Maybe 3% is a more realistic growth figure, but I doubt even that!