Build or buy a house: What is the best option?

If you are thinking about buying a house, you may have some questions. For example, is it better to buy or build a house? It is important that you find the answer to all the questions. You must make a considered choice, as this could be the biggest investment of your life and a long-term burden.

Evaluate the positive and negative aspects of each solution, only then can you make a conscious and informed decision. In this article, we will show you some advantages and disadvantages of each of the options.


Do you want to buy a house?

When we talk about buying a house, we think about purchasing a property ready for dwell. Or, as a last resort, it needs some renovation work. Even subject to fluctuations in the supply and demand market, this is the preferred option for the Portuguese. In the vast majority of cases using bank financing. 


  • Advantages of buying a house:

1. Even if you use housing credit, the business requires less bureaucracy;

2. The process is faster and, if you comply with the requirements imposed by the bank, it guarantees you access to around 80% to 90% of the funds needed for the purchase;

3. Once the acquisition is complete, if the property is ready to live in, you can move in within a few days;

4. It does not require as much time and availability from the buyer.


  •   Disadvantages of buying a house:

1. You depend on the offer to choose the location of your home;

2. You cannot change the structure, organization, finishes and functionalities of the house, unless you opt for structural works;

3. If the property was built more than ten years ago, you are not entitled to any guarantee from the contractor;

4. You are subject to payment of costs associated with housing credit, such as Stamp Tax, and others, such as IMT< /strong>, superior when compared to construction work;

5. You must have at least 10% of the value of the property as a down payment.


Is your dream to build a house?

Having the possibility of building the house you have always dreamed of could be within your reach. In fact, in some situations this option becomes less expensive than purchasing a property. Let’s see:


  •  Advantages of building a house:

1. Possibility of build the house to your liking;

2. You can choose the area where you want to live, depending on the availability of land;

3. All decisions depend on you, so it is easier to avoid real estate speculationand save money on the construction process;

4. Bank credit conditions are more beneficial if you want to build a house, with longer financing terms;

5. The IMT is lower when compared to buying a house, whether for new construction or rehabilitation;

6. It has a construction guarantee of up to ten years.


  •   Disadvantages of building a house:

1. Longer and slower process. To be able to build, you must have council approval for your project;

2. Not all land has authorization for construction, which may escape less informed people. Take precautions to ensure there are no unpleasant surprises;

3. Credit approval for construction financing is more complex;
4. The amount granted to build a house is not released in full. Up to six tranches are made. Each slice is released upon proof of progress of the works;

5. If the work takes longer than expected, it may have an impact on financing, particularly on the amount of interest. To protect yourself, define completion deadlines and penalties for potential delays;

6. Unlike what happens when buying a house, in construction there are additional costs with licenses, authorizationsand project.


DECISÕES & SOLUÇÕES: With you throughout the entire process

Over the years, we have built a differentiating project that accompanies our clients at different stages of their lives. We help with choosing the house or insurance best suited to each family. We free our customers from bureaucratic burdens such as loan request for purchase or house construction. We have trusted partners who allow us to mediate the construction of works, with rigor and respect for meeting deadlines and budget< /strong>, previously stipulated.

AtDECISÕES & SOLUÇÕES, you will find several services provided by a multidisciplinary team that accompanies you from the first moment. A turnkey service that includes:

Real Estate Mediation;
Works Mediation;
Property Construction;
Insurance Mediation;
Credit intermediation.


We have everything you need to be able to live in the home of your dreams, with minimal hassle and worry. Whether you choose to build or buy a house, visit our website and discover more about our services . If you need more information, we always have an expert ready to advise you.




Decisões e Soluções – Credit Intermediaries, Lda., registered with the Bank of Portugal, as a Linked Credit Intermediary, under no. 926, verifiable at https://www. is a mediator registered with the ASF, since 29 September 2009, with the category of Insurance Agent, under no. 409311648/3, with authorization to Life and Non-Life Branches, available at The insurance intermediary does not assume risk coverage. Decisions and Solutions – Mediação Imobiliária, Lda., holder of AMI License No. 9300 issued by IMPIC, I.P.