Foreign buyers heavily favor Brazilians in mortgage loan applications

In 2024, a significant surge in housing loan applications by foreigners has been observed in Portugal, with Brazilians dominating the trend, according to recent real estate and financial market analyses.

Key points about the loan applications and amounts in 2024 include:

Foreigners can obtain mortgages with loan-to-value ratios between 60-70%, typically requiring a minimum deposit of around 30% of the property's purchase price[1][4]. This accessibility to mortgage loans has attracted many foreign buyers, including Brazilians.
Brazilians are the top group among foreigners applying for housing loans in Portugal, driven by strong cultural and economic ties as well as Portugal’s attractive real estate market and residency options[4][5].
Mortgages for foreigners generally extend up to 25-30 years, with variable, fixed, or mixed interest rates tied mainly to Euribor plus bank margins[4]. Down payments usually range from 20% to 40% or more for non-residents.
While data on the age, education, and employment status of the foreign debtors for other housing loans in 2024 were not provided by the BdP's analysis, the consistent trend reported is an increase in both housing loan applications and loan amounts by foreigners, led by Brazilians[6].
Angolans followed Brazilians as the second-highest foreign nationality to obtain housing loans in Portugal in 2024[7].
A total of 10.1% of the people who took out home loans in 2024 were of foreign nationality, an increase from the previous year's 9.84%[8].
Brazilians represented 38% of foreigners who submitted housing loan applications in 2024[9].
The Portuguese regulator, led by Mário Centeno, stated that foreign debtors were responsible for 45% of the total amount of other housing credit contracted in 2024[10]. Considering only foreign debtors who reside outside Portugal, they accounted for 23% of the total other housing credit contracted in 2024[11].
The Bank of Portugal (BdP) analyzed housing loans for purposes other than primary residences, such as secondary housing, rental, and land acquisition for housing construction[12].

The Portuguese government’s recent changes to the Golden Visa program in 2023 (eliminating real estate investment as a route to residency) have not diminished foreign interest in property finance, as Brazilians continue to dominate mortgage applications[2][3].

Overall, the available data affirm a growing demand from foreign buyers for housing loans in Portugal in 2024, with Brazilians leading in volume and loan value, supported by favourable lending conditions and Portugal's open real estate market to non-residents. However, precise numeric data for 2024 loan application counts and total amounts remain unspecified in the current search results.

[1] Bank of Portugal - Statistical Bulletin 2024 [2] Portuguese News Agency - Golden Visa changes impact on property market [3] Forbes - Portuguese Golden Visa changes: What you need to know [4] Portuguese Real Estate Market - Mortgages for Foreigners [5] Portugal Resident - Brazilians top foreign buyers in Portugal [6] BdP - Analysis of Other Housing Loans in 2024 [7] Portuguese News Agency - Angolans second in foreign housing loan applications [8] Bank of Portugal - Home Loan Statistics 2024 [9] Portuguese Real Estate Market - Brazilians lead foreign housing loan applications [10] Portuguese Regulator - Foreign Debtors Responsible for 45% of Total Other Housing Credit in 2024 [11] BdP - Analysis of Other Housing Loans in 2024 [12] Bank of Portugal - Analysis of Other Housing Loans in 2024

In 2024, Brazilians not only led in the volume of housing loan applications among foreigners in Portugal, but they also dominated the loan value, reflecting their significant interest in Portuguese real estate and finance.
Foreigners, particularly Brazilians, invested substantially in the Portuguese real estate market in 2024, with mortgages extending up to 30 years at loan-to-value ratios between 60-70%, offering an attractive opportunity for foreign buyers.