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INDEPENDENT RETIREMENT LIVING OPTIONS IN PARADISE LIO CONFERENCE CARVOEIRO, ALGARVE, PORTUGAL

INDEPENDENT RETIREMENT LIVING OPTIONS IN PARADISE … · INDEPENDENT RETIREMENT LIVING OPTIONS IN PARADISE LIO CONFERENCE ... Searching for a new home: ... One of few long-term modern

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INDEPENDENT RETIREMENT LIVING

OPTIONS IN PARADISE

LIO CONFERENCE

CARVOEIRO, ALGARVE, PORTUGAL

Portugal at a glance

• Madeira: warm all year, furthest to fly• North/Porto: cheapest, history and culture,

colder/rainier• Silver Coast: cheaper, windier/cold sea• Cascais/Estoril: cosmopolitan, existing expat

community, more expensive• Lisbon: good for year-long rentals; purchasing

historical property; quick movers• Algarve: top tourist destination. Gets 70%+ of all

real estate enquiries. 3000 hours of sunshine, 300+ sunny days a year (more than California). Large multinational expat community. GOOD for winter/summer rentals; year-round rental investments; holiday investment property; best overall value for money

Crisis and opportunity, property rebounds

1. USD consistently high levels against the Euro, around €0.90 (90 cents), and has been trading in the 87-95 cent range since Jan 2015

2. USD at historically high rates against the Pound (70-78p+) due to Brexit and a hung parliament. UK buyers now selling to receive proceeds in GBP. As the Pound has fallen, UK sellers are able to discount the Euro price, creating a great opportunity, especially with sellers who bought pre-2008 financial crisis

3. Market most active since 2008. Transaction times low. Prices rising. 1. French are fleeing taxes, social unrest and terrorist threat2. UK buyers worried about Brexit back in the market3. Scandinavians seek sunshine, friendly people and low tax4. Brazilians seek safe currency haven with cultural/language links

Typical ways to get residence in Portugal

NON-EU CITIZENS (without automatic right of residence)1. Golden visa:

1. €500K Investment2. €350K in historical city centres with redevelopment need

2. D7 subsistence visa with minimum income requirements• 1st adult: €530/month• 2nd adult: €265/month

EU CITIZENS (automatic right of residence)• If you have EU passport, use it, if you can get one, do so!

NHR (Non Habitual Resident) status via either:1. Rental contract2. Purchase of a property3. DO NOT FORGET: you can rent before you buy!

Why the Lisbon/Cascais/Estoril area ?

• Several times voted Europe’s best cruise, weekend break and city break destination• Existing multinational expatriate population. English very widely spoken• An excellent mix of historical/traditional and modern real estate options• The most popular destination for Portugal’s Golden Visa program (similar to the US EB-5)• Lisbon undergoing a huge redevelopment boom, prices rising monthly• Most sought-after location for urban regeneration and redevelopment projects• TAP running a promotion allowing long-haul guests to stop over for 1-3 days for free!

Why the Algarve?

• Voted the Best Place in the World to Retire• Some of the best beaches, golf courses and marinas in the world• Existing multinational expatriate population. English very widely spoken• Food and wine among best and freshest in the world. Largest fish consumer in Europe• Attractive and well-priced real estate. Algarve much less developed than Spain• Many sporting, nature, historical attractions and activities• A high degree of anonymity and respect for privacy• Is the Algarve Europe’s most famous secret? 7 million a year visit it, most in the summer!• To many people, this is as close as it gets to PARADISE!

The options pyramid

Short-term Rentals

Property for sale

Winter Rentals

Full-time residence

Care

Senior/Retirement Living “villages”

Va

rie

ty o

f o

ptio

ns

Searching for a new home: traditional approach 1

Google “2 bed apt

with sea view”

List too long, slash

budget

Nothing you like,

friend

recommends town

Great properties,

not sure where

town is

Google town, not

sure busy enough

in winter

Adjust criteria,

enquire online via

local agent

Same property

2nd site, diff.

price, diff. view

???

Enquire into as

many properties

as possible

Agent starts

sending options

Agent finally asks

when you will visit

Contact stops

when you say 12

months’ time

You decide to use

your extensive

exprience to…

Become a

Portugal EXPERT

based on DTR

Perhaps another

country…?

Another year?

Searching for a new home: traditional approach 2

Google “2 bed apt

with sea view in

town X”

List of properties

and listing agentsStart to book visits

On day of visit,

some properties

not available

Visit: 2nd agent

returns to same

property as 1st

Agent does not do

rental

management

About to close

deal, when…

You spot a great

deal in another

town

Ask agent in town

1 if they cover

town 2

Agent starts

scrambling: APB

to partners!

You work in

parallel and

contact others

Town 1 agents

stop writing to you

You figure 1st

option was best

but…It has now SOLD!

Perhaps meant

not to be…

you tell yourself

Searching for a new home: limitations of traditional approach

• No overall view of the market: bottom-up instead of top-downSOLUTION: consider location before property (where before what)

• Your natural curiosity: as many options as possible;Your traditional approach: one agency, or one location, etc

SOLUTION: consider location before property (where before what)

• The further away you are, the more you need someone working for you. SOLUTION: consider finder’s agreement, firm will work for you

• Most firms will not be able to cover rentals, sales, investments etcSOLUTION: make sure your selected partner has expertise in each

• In case of doubt or a tie…SOLUTION: choose the one who has done what you want to doe.g. if a bank manager wants to sell you an investment product, ask them if they have invested AND made money with it

Searching for a new home in Paradise

Do you

know the

region?

Eliminate areas

Select finalists using

key criteria:

beds, views, style,

town size, car,

amenities, budget.

Rent, buy

or RBYB?

Discovery Tour

May need to

exclude short let

properties

Length

of rent?NHR ? Care ?

Only properties

with suitable

contracts

Proximity to care

home to minimize

disruption

Golden

visa or

D7 ?

Invest-

ment

yields?

Budget enough,

not more

Head

vs.

Heart ?

Personal use?“Nice location” is

not enough. Price!

Independent Living: 2 bedroomapartment with a pleasant view

< €200,000Modern or

refurbishedHistorical city view

Condo with on-site

amenities such as

indoor pool / spa

Yield > 7% With large terrace No steep hills

Larger town close

to cultural

activities

WINTER LET: 2 bedroom sea-view apartment

Modern 1, 2 and 3 bedroom apartments in fantastic location near the beach

One of few long-term modern let options near Praia da Rocha in Portimão, at excellent prices

LONG-TERM RENT: from €599 per month + expenses

Well appointed, light and spacious apartments located in the popular

neighbourhood of Praia da Rocha in the bustling city of Portimão. The

apartments are fully equipped and furnished to a contemporary

standard. Conveniently located for all local amenities including easy

access to the wide and popular Rocha beach.

1, 2 or 3-bedroom modern apartments with a variety of views

Walking distance to Rocha beach, restaurants, shops and public

transport

Contemporary furnishings

Elevator, entry phone, lobby and plenty of parking

Fully fitted kitchen including washing machine in 2 and 3 bedroom

apartments

Current Portuguese investment climate

• Portugal is getting a lot of good press

• Tourism is increasing, 8 record-breaking years in a row

• Prices are going up

• Cheap deals last weeks, sometimes days

• Construction has restarted

• Single-property redevelopment has grown substantially in major tourism hubs. Smart money is on medium-sized (10-25) projects or those with a clear focus (for example, senior independent living or care)

• If you want a cheap deal, be ready to move quicklySIGN UP FOR OUR INVESTOR MAILING LIST

• If you want larger deals with good returns, get in earlySPEAK TO US ABOUT OFF-MARKET OR EARLY STAGE OPPORTUNITIES

About ASL

• Solutions for retirees moving or spending winters in Southern Europe

• Accommodation for rent (incl. serviced and “try before you decide”)

• Property for sale (including property sourcing and investment)

• Mainly 1, 2 bedroom apartments, 3 bedroom villas, and refurbishments

• Coverage of Algarve, Lisbon/Cascais/Estoril, Silver Coast (and Spain)

• Discovery tours in up to 8 languages

• Post-installation services via specialist partner network (utilities, health, vehicle registration, legal, banking, pets, cultural & sporting clubs)

• Clients from 20 countries around the world

• 6 nationalities consistently move for Portugal’s NHR (tax-free) status

• A few nationalities obtain residence via the Golden Visa program

“Discovery tours”

• A combination of tourism and real estate• Understanding the context of the region and its areas• Visit to a variety of real estate options• Accompanied by an expert knowledgeable in the region• Next “Discovery Tour”:

• LIO Conference 2017• Lisbon: 3-4 July: talk to us about individual tours or

joining small group on July 10• Algarve: 2 days: 8-9 July: €250/pax; €400/couple

• Numbers STRICTLY limited. First tour full, second tour MAXIMUM 18 places available – sign up today

For more information

• Visit us at our booth to find out more or to book a Discovery tour!• Let us know if you want to be placed on an investors’ mailing list –

fill in the questionnaire on the desk.

CONTACTS:

Luís da [email protected]

UK: +44 208 144 7558PT: +351 965 683 054