Comparison
Portugal vs Spain
Side-by-side figures with visible as-of dates. The narrative below states the genuine trade-off — not a default recommendation to buy in Dubai.
Portugal
Spain
Trade-off summary
Portugal: Portugal beats the UAE decisively on two things: financing cost (3. Spain: Spain beats the UAE on capital appreciation — Spanish prices have surged past their 2007 peak with double-digit growth forecast for 2026, while Dubai posted its first quarterly decline since 2020 in Q1 2026.
01
Data
Side-by-side figures
Sourced ranges and values. Where a field is unpublished, the research file says so rather than inventing a number.
| Metric | Portugal | Spain |
|---|---|---|
| Gross yield range | 4.3%–6.5%as of 2026-04 · sourceIdealista reported a 6.3% national gross buy-to-let yield in Q1 2026 — down from 7.2% in Q1 2025 and 7.3% in Q1 2024. Lisbon is the LOWEST-yielding city in the country at 4.3%, because it has both the highest rents and the most expensive stock. Higher yields are found in Évora (5.8%), Braga (5.6%), Setúbal (5.4%) and university/secondary cities. Porto sits at 4.9%. | 4.4%–7.4%as of 2026-03 · sourceGlobal Property Guide reports a Spanish average of 5.45% (Q1 2026), down from 5.60% a year earlier and 6.17% in February 2024 — yields are compressing as prices outrun rents. Barcelona leads at 7.0–7.4%; Murcia around 6.1–7.4%; Palma de Mallorca is the weakest at 4.4–4.9%; Madrid prime districts sit at just 3–4% while outer districts (Carabanchel, Ciudad Lineal) exceed 6–7%. |
| Net yield range | 2.5%–4.5%as of 2025-09 · sourceNet yields typically run 1.5–2 points below gross. A Lisbon apartment at 4.5% gross realistically nets 2.5–3%. | Not published |
| Total entry cost (indicative) | roughly 10.5–12% of purchase priceas of 2026-04 · source | 10%–14% of purchase priceas of 2026-07 · source |
| Rental income tax | 25% flat for non-residentsas of 2025-12 · source | 24% for NON-EU non-residents — on GROSS income, with no deductionsas of 2026-03 · source |
| Capital gains tax | Non-residents taxed on 100% of the gainas of 2025-12 · source | 19% flat for non-residents (some sources cite 24% for non-EU — verify)as of 2026-07 · source |
| Annual property tax | IMI 0.3%–0.45% of VPT annually (urban property); AIMI wealth surcharge above €600,000as of 2026-06 · source | IBI 0.4%–1.1% of cadastral value; plus wealth tax exposureas of 2026-06 · source |
| Residency / citizenship | NONE via real estate — the Golden Visa property route was abolishedas of 2026-05 · sourceSeparately, the D7 passive-income visa requires roughly €920/month in foreign income (as at January 2026) and owning a Portuguese home counts as proof of accommodation for that application — but the property is incidental, not the qualifying investment. Note also that the NHR (Non-Habitual Resident) tax regime has closed to most new arrivals; the replacement IFICI regime is far narrower and targets specific highly-qualified professions. | NONE via real estate — the Golden Visa was abolished on 3 April 2025as of 2026-06 · source |
| Foreign ownership | No restrictions. Any foreigner may buy property in Portugal with the same rights as a Portuguese citizen. A NIF (Portuguese tax number) and a Portuguese bank account are required.as of 2026-05 · source | No restrictions. Non-EU nationals may buy freely with the same rights as Spanish citizens. An NIE (foreigner identification number) and a Spanish bank account are required.as of 2026-07 · source |
Neither market in this comparison carries a CoreSpaces transactional path. Use the individual market pages for regulator links and research-only notices.