Our Dream Plot Dilemma in Portugal: Should We Build, Rent, or Sell?

Our Dream Plot Dilemma in Portugal: Should We Build, Rent, or Sell? | Help Us Decide!

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MeetCarolas

Күн бұрын

Пікірлер: 21

@MeetCarolas 3 ай бұрын

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@JBSpecialMusic 3 ай бұрын

I'm thinking you'll need a year for seal of approval on your design from the camera, then 2 more years for construction. That pushes your certificate of habitation 3 years into the future. So your break even formula may actually be 1+2+12=15 years. Boa sorte!

@MeetCarolas 3 ай бұрын

Great point! We didn't account for the time it will take to start building into our return on investment timeline!

@JBSpecialMusic 3 ай бұрын

@@MeetCarolas every day I learn something new. 2 years ago I didn't know zilch about life in PT/EU. I'm tempted to one day explore the possibility erecting a prefab around Figueria da Foz on an empty plot.

@MeetCarolas 3 ай бұрын

Its a learning Journey! even for folks that lived in Portugal and are returning. We also looked in to prefabs and really liked the container one we shared on this video: kzbin.info/www/bejne/aXW7ZoCZp7F0qas the challenge is that you basically need to go thru the same approval process as a normal build with Camara municipal. I hope they change that in the future

@RushmoorFizzbomb 3 ай бұрын

I assume that the builder is quoting a ballpark price of €15k to build a 100m2 house? Have you asked a realtor for a valuation on the finished house? Are you saving 30%? To progress you need to be making at least 20%. You have not stated if you need to borrow or not, and what your maximum budget is. Also you need 3-4 builders to quote on an identical specification for the house. You will get 3-4 different prices. What sort of price are similar houses selling for? New houses are built to a better standard and meet modern usage needs than old houses. They will be cheaper to run. You must tighten down on the costings more. Don’t get too hung up on the time it will take to get your money back. You should be able to sell it as soon as it is built for a profit if you do your sums right. €1500per m2 is a very rough guide. You can spend less, but you can also double the price from the cheapest price according to how and what materials you decide on.

@MeetCarolas 3 ай бұрын

Thank you for your insights! Right now houses with around 5-10y old are going between 250k to 300k. We need to drill down on the quotes to have a more realistic view of how much we would need to spend. On the bright side the inventory for single family houses is very low we are told by realtors, so a move in ready house shouldn't be an issue to sell after build.

@mariadaponte2440 3 ай бұрын

What is the possible sale price for the property now? Would you lose the 55K? or could you break even? If you can - then sell. managing a building - getting renters etc. Those things take time and energy.

@MeetCarolas 3 ай бұрын

That is a great point in terms of energy, this investment is not passive at all if we build to rent it out. If we sell the plot we would either loose some money since we had to pay taxes in addition to the price or break even if we are lucky.

@teodoro1007 3 ай бұрын

Hi: build less, two rooms for example, and leave the possibility for more. When you made the video, a lot of noise came in from the road, thats negative for the QOL. 👋👋

@MeetCarolas 3 ай бұрын

Thank you for the feedback! that is a great idea :) The noise on that road is not ideal for sure.

@riccardobua2331 3 ай бұрын

Make it a B&B

@MeetCarolas 3 ай бұрын

A good possibility as well Riccardo :)

@Butch9293 3 ай бұрын

I would just sell the property now and forget it. If you would build what you think is a nice kitchen, somebody else would think it was pathetic. Who knows what the future holds for you. Only God knows that. Take the money and run and save a lot of headaches.

@MeetCarolas 3 ай бұрын

Thank you for the feedback! Good point on the design, not everyone appreciated the same

@GLOBALSTRIDE 3 ай бұрын

I would sell it even at loss. Too much of a headache extra money, for a break even point in 15 years. If you sell at loss, can you deduct it in your tax return?

@MeetCarolas 3 ай бұрын

Good points! On the tax return from what I understand I would only be able to use that loss if in the same year I have profit from another real estate sale.