Buying a Car In Portugal [How-To 2022 English Guide]

Congratulations! You are finally an ex-pat in Portugal. If you have finally decided to buy your car in this country, you have to start thinking about the process and everything you will have to do to get your hands on your vehicle. You need to consider multiple things, from the price of the car to the taxes you have to pay the government so that you can legally own a car in Portugal. Portugal takes the domestic market very seriously, so they go out of their way to protect it as much as possible.

It is their economy that they are protecting, and that is why they heavily tax cars from other countries. No leniency is provided to European countries as well when it comes to bringing your car to Portugal. If you are lucky enough, you will get an exemption from this tax, and you will not have to pay a single penny to bring your car to the country. However, it is essential to remember that the rules always keep changing, and getting your car to Portugal is very complicated. Many ex-pats don’t indulge in this scenario and avoid it.

They sell their vehicle and then buy a new one with the money once they move to Portugal. The rules are unclear, so you must be careful when buying a new car. You need to ensure that you are not going against specific rules and regulations to get your vehicle legally in Portugal quickly.

In this article, you will get a complete guide on how you can buy your car in Portugal and what steps you need to take.

Types Of Cars To Buy In Portugal

There are more than 5 million registered vehicles in Portugal. Most cars you will find in the country are passenger vehicles, with a growth rate of almost 20%. The country will have more than 200 automotive supplier companies in 2022. On the other hand, there are four car manufacturer companies in Portugal, including the following:

Toyota
PSA Peugeot Citroen
Mitsubishi Trucks
Volkswagen AutoEuropa

The automotive industry of Portugal is massive because it plays a significant role in the country’s economy. It has a substantial contribution to the GDP of the country as well. When talking about facts and figures, the country’s vehicle industry is responsible for 8.5% of the entire industry and two percent of the economy. A drop was seen in the production of vehicles in Portugal during the pandemic.

But currently, the automotive industry of the country is thriving once again.

The best-selling car in Portugal is Renault Clio. The best-selling vehicle in the country in the second position is Mercedes class A, and the third one is Peugeot 2008. According to a study, 267,828 vehicles were sold in Portugal in 2019. Most of these cars were passenger vehicles, and a 20% increase was seen in the sale of the cars this year compared to the previous year.

More than 29000 companies in Portugal in 2022 are producing automobile components and other car parts. That is why the country’s automobile industry is significant because it creates more than 124000 jobs every year, and a lot of revenue is made from this industry.

The following brands are selling their cars in Portugal right now:

Adess
ASK
Asterio (inactive)
FNV (Fábrica Nacional de Veículos)
JB Racing
Jocsports
Luso Motor
Semog
UMM
Vangest

From Where To Buy A Car In Portugal?

If you are an expat in Portugal looking forward to buying a car, you have two options: a dealership or purchasing it online.

Dealership

Many good dealerships are available in the country and will provide good customer support and experience when you visit them to buy a car. It is a typical process, but it will not be difficult to physically visit the dealership to purchase your vehicle in the country. Many people prefer to buy their car in the country this way because they need the satisfaction of seeing the dealership so they can verify purchasing their vehicle.

As buying a car is a significant decision in everyone’s life, it is not something that should be taken lightly. If you want to make sure what you are purchasing is worth visiting the nearest dealership in the country and buying your car. You will notice many dealerships when traveling around, and you can visit them to get more information. If you don’t have any idea, you can also ask for help from your new friends or neighbors.

The people in Portugal are generally friendly and will guide you about everything. There is also a famous Facebook group that you can join to get all the information about buying your car in Portugal. The Facebook group is called “all about Portugal for expats.” All you need to do is to join this group, and then you can connect with someone or even post your query in the group.

Online

The following method to purchase your car in Portugal is the online method. There are many different websites available that are going to provide you with the option of a second-hand car. If you are looking forward to selling your vehicle, you can post about it on this website, which will benefit you. However, you need to be very careful when purchasing your car online. Verifying all the car details is vital because it can be complicated.

This process is not as easy as buying it from the dealership, but if you have enough experience, you will be good to go. Be careful and ask the car owner why they are selling it first and the mileage. Take a look at all the photos and then visit the owner physically to look at the car’s condition. It is pretty common to see a few different people before you make a final purchase of the perfect vehicle in Portugal for yourself.

How To Buy A Car In Portugal

Once you have decided which method to purchase your car in you have selected it, you need to get all the documents ready and register your vehicle in the country. You need to register your car in your name when you have purchased it in Portugal or any other country because this is the first step you need to take. First, you must visit the car registration office, and then you can register your car.

However, this option is also available nowadays through the online platform Automóvel. If you do not have enough knowledge about all of this, you can also get a legal representative who will do all of this by you. But the original car owner can also conduct this process for you, so you don’t have to. This will happen when you buy a second-hand car, so it is essential to register your vehicle in your name to avoid any scams.

Note: Remember that you can only register a car in your name in Portugal if you are a legal country citizen.

Documents

If you have purchased the car, then you have to submit the following documents to complete the registration process:

NIF
Passport
Proof that you are a permanent resident of Portugal
Bank Information

If you have bought a car in Portugal, the good news is that you can use the driver’s license of your previous country if it is still valid, and you don’t need to get a new one. It is vital to ensure you get at least a 1-year warranty from the dealership if you are buying a brand new car. You don’t have to keep spending more money to maintain the vehicle.

Word of mouth matters a lot whenever you purchase a car in a new country, and these recommendations greatly help you. Contact the locals and ask them for their suggestions, and they will guide you about the best price for purchasing a new or second-hand car. A local is going to give you the best advice and then you will be able to save a lot of money and get a good car.

There is no need to be afraid or shy to get opinions from experts and the local people in Portugal.

Many Facebook groups are available; you can join them to guide you through the journey and get all the guides you need. Don’t be in a rush, and take your time to perform the analysis before making the final purchase.

Can You Buy A Car In Portugal Online?

If you want to buy a car in Portugal, you can look online, and many websites are available. It is straightforward to purchase a car online because you can filter your search and put a filter depending on your budget and the price that you are willing to pay for buying your car in Portugal.

This reduces the amount of trouble you need to go through, and you can also get all the characteristics you are looking for in a car and make the proper selection. This will save you time and money. However, once you have selected A call, you need to visit physically and ensure that the car is in the proper condition, as shown in the pictures online. You can also take a mechanic along with you, and they will check the vehicle for you and give you an honest opinion on whether you should purchase this car or not.

Check The Car Documents

Before you purchase a second-hand car, the original owner of the vehicle to show you the authentic documents of the card, make sure there is nothing fishy, and everything is how they are telling you. The papers will inform you whether the car is mortgaged or the car’s owner is a third party. Double checking is essential to ensure that you don’t fall into the hands of a scammer.

Service History

When you have checked everything, this is the last thing you need to check before you make the final scene of buying the car. If all the paperwork is fine, then you need to make sure if the vehicle has been serviced before or not. The service history will tell you everything, and it is better to take a look before you buy the car. The logbook will have all the information and will tell you whether there is something seriously wrong with the vehicle or if there is any malfunction.

How Much Does It Cost To Buy A Car In Portugal?

It will be costly to buy a new car in Portugal. If you want to buy a luxury car, it can be super expensive; however, a small car will cost under €10,000. If you don’t have enough budget, you can always buy a second-hand car, also available online. This market did not exist five years ago, but now you can buy a second-hand car in the country. If you want an excellent second-hand car in Portugal, it can cost you around €5000.

A Volkswagon golf 1.490 kW costs €25,000.
Toyota Corolla Sedan costs around €31,480

Once the pandemic ended, there was an increase in the demand for cars in the country, which is why the price has also increased by up to 20%. There is a shortage of chips fitted in the new vehicles during the manufacturing process, which is why the deliveries are also going to be as late as 12 months when you place an order for a new car and Portugal.

Used sedan costs €21,000

Used SUV is €23,000

Car Brand	Price
Hyundai Elantra N DCT	28,710
Mazda CX 5 2.5 S Preferred 2023	27,171

Taxes On Cars In Portugal

The type of tax that will be implemented on your vehicle depends upon the type of car. Different taxes apply on a brand new car, and I used one. However, there is a tax that you have to pay for both of the vehicles, which is called the single circulation tax, and you can pay this tax by visiting the tax office in Portugal.

However, if you are getting a brand new car and you have to pay a vehicle tax that will be imposed on the car, write at the time of the purchase. Single circulation tax is spent annually on the issuance of the license placed on your vehicle. However, if you buy a new car, it will be included in the vehicle’s sale price at the dealership.

Is It Possible For A Foreigner To Get A Driver’s License In Portugal?

If you are not a European city, you must figure out how to get a Portuguese driving license. To get your driving license, you have two options:

You can exchange your driver’s license from your previous country to get a new one in Portugal.
You must take a driving test in Portugal from scratch and do everything you need to get your Portuguese driving license.

A new Portuguese law in 2020 was brought forward, according to which the new residents of the country have to transfer their previous license to Portugal two years after they start living there. However, if you want to take the driving test in the country from scratch, it is a windmill situation for you because you can also learn the country’s traffic laws from a professional.

Conclusion

If you have just moved to Portugal, you will have plenty of options to get your hands on a car. The first option is to buy a second-hand car, but if you have more budget, you can get a brand new one. So that you will have to visit a dealership and then you can get your car. It is always better to buy a brand new one from the dealership because you also get a one-year guarantee from the dealer.

Another benefit of getting a car in Portugal from the dealership is that they are just you with the red tape. The rules and regulations given by the country’s government are not clear enough when buying your car if you are new to the country. There are specific rules and regulations you do not want to go against; otherwise, you can get into legal trouble. That is why you need to be vigilant and take every step carefully so that you don’t go against any rules of the country.

As an expat, you should take your time to buy your car in the country without any hurry. Take your time to research as much as possible and learn everything you need to know before you buy your car in Portugal. There are different types of taxes that you will have to pay depending upon where you are getting the car from. You still have to pay taxes even if you buy a second-hand car.

The above-mentioned are all you need to know to buy your car in Portugal as an expat. Good luck!