Dennis K. Says:
Dear Ronan:
I read your piece on the silver coast of Portugal.
What are your thoughts about the Algarve as a place to retire to and rent? I am planning a scouting trip for several weeks in the area. I picked the area due to the sun, few hills, etc. to navigate due to walking issues. I want a smaller town, possibly not too touristy.
Real Estate Trend Alert Founder Ronan McMahon Says:
Hi Dennis,
My thoughts on the Algarve can vary depending on whether I’m wearing my investor hat or thinking about it as a place where I want to personally spend time.
As you probably already know, it’s a hugely popular destination for European vacationers.
It’s a place of rich culture, great food… soaring cliffs, white-washed villages, stunning beaches, and 300 days of sunshine a year. I personally love the incredible golfing options in that part of Portugal.
However, I don’t usually like to be there in the height of summer. It gets too hot and crowded for my taste. But wearing my investor hat, that can be a big positive. There is always huge demand for rentals in the Algarve. So, one could adopt a strategy of staying there in the shoulder seasons and then renting out their home during the peak season, which could easily allow you to generate enough income to cover all your costs.
But back to your question, if you’re looking for a relatively small town that’s not too crowded or touristy, where you can still find good value, I recommend looking in the eastern Algarve.
I recently brought a deal to members of my Real Estate Trend Alert group in Tavira in the eastern Algarve. Because Tavira didn’t develop primarily as a tourist town, it’s kept its authenticity as well as its livability. And it’s proving popular with Scandinavians and Northern Europeans who come for extended periods, to live, work, or spend the holidays.
It’s arguably the Algarve’s prettiest town, and exudes an authentic Portuguese charm. And it’s flatter than towns in the western Algarve, which are often set against cliffs, which might make it more suitable if you have any mobility issues.
It’s also just 30 minutes from Faro International Airport, which gives it great connectivity across Europe.
But I do recommend you take in as much of the coast as possible on your scouting trip. Check out Lagos, Faro, Carvoeiro, Fuseta, Olhão, and as many places as you can in between.
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