Key Questions to Ask Before Buying a Land + Build Package in Portugal

Buying a land + construction package — whether off-plan, turnkey, or semi-custom — can be a fantastic way to own a modern, energy-efficient home in the Algarve. But these projects vary widely in terms of quality, legal readiness, and what’s included.

Before you commit, it’s crucial to ask the right questions to protect your investment and avoid costly surprises. In this guide, we’ve outlined the essential questions every buyer should ask before signing a contract for a land + build project in Portugal.

1. Is the Land Legally Buildable?

The #1 mistake buyers make is assuming that “urban” land is automatically buildable. In reality, you should confirm:

• The land classification (urban or mixed-use)
• Whether a PIP or Alvará de Loteamento is in place
• That infrastructure (water, sewage, electricity) is confirmed or guaranteed
• That the developer owns the land legally and can sell it with the build project

✅ Always verify zoning and building rights via the local municipal PDM — ideally with your lawyer or architect.

🔗 Related: What to Check Before Buying Land in Portugal

2. Is the Project Fully Licensed?

Before any construction begins, a project must have:

• A valid construction license (Alvará de Construção)
• Approved architectural and engineering plans
• Registration with the local council (Câmara Municipal)

If the license is still pending, ask:

• When will it be approved?
• Can I walk away if it’s delayed?

🔍 Some developers start marketing before final approval — always confirm the legal status before paying a deposit.

3. What Exactly Is Included in the Price?

“Turnkey” doesn’t always mean fully finished. Always ask for a detailed spec list that covers:

• Kitchen and appliances
• Heating and cooling systems (e.g., AC, underfloor heating)
• Lighting, wardrobes, bathroom fittings
• Pool or landscaping
• Utility connections (water, electricity, internet)

📄 Request this in writing — not just a brochure.

4. Can I Customize the Design or Finishes?

Some developers allow you to:

• Choose flooring, tiles, kitchen finishes
• Adjust interior layout (early in the process)
• Upgrade materials or add extras (pool, solar panels)

Key questions:

• What choices can I make?
• Until what stage?
• Are customizations included or extra?

🏡 In high-end developments (e.g. AltaVista Da Luz development in Lagos), buyers often visit a showroom with interior designers to make finish selections.

5. What’s the Payment Structure?

Most land + build projects use staged payments:

• Deposit to reserve
• % on project approval
• % on construction milestones (foundations, roof, completion)

Make sure:

• Each payment is backed by a bank guarantee
• You never pay ahead of what’s been built
• Refund conditions are clear if something goes wrong

⚖️ Review the CPCV (promissory contract) with your lawyer before signing.

6. Who’s Responsible for Project Management?

Ask:

• Is the developer overseeing construction, or will I?
• Will I have a contact person throughout the build?
• Is a warranty included after delivery?

If you’re not living locally during the build, a dedicated project manager or turnkey supervision is critical to avoid costly errors or miscommunication.

7. What Guarantees and Warranties Are Included?

Under Portuguese law:

• 5-year structural warranty is mandatory
• 2-year general warranty applies to finishes, systems, etc.

Make sure you receive:

• A written builder’s warranty
• Final Habitation License (Licença de Utilização)
• Compliance certificates for electrical, plumbing, and energy systems

🛑 No Habitation License = no legal use or rental.

8. What’s the Real Timeline — and What If There Are Delays?

Ask for:

• Estimated start and completion date
• Penalty clause if the build is delayed
• Ability to exit if approval takes too long

Construction in Portugal can face:

• Delays in licensing
• Supply chain issues
• Weather-related slowdowns

⏳ Add buffer time to any promised delivery estimate — especially for off-plan homes.

Conclusion

Buying a land + construction package can give you the best of both worlds — a brand-new home without starting from zero. But clarity is key. The right questions (asked early) will protect your budget, timeline, and peace of mind.

When buying in the Algarve, especially in sought-after areas like Lagos, the Golden Triangle, or Carvoeiro, opportunities move quickly — so it pays to be prepared.