# Motor Cars - Buy in UK or Portugal?



## Colin Robinson

Hello all you knowledgeable people!

My good lady and I have just completed a three month tour of Western Europe and returned to the UK just before Christmas. After long and careful consideration (about 5 minutes!), we reached the conclusion that the Silver Coast region of Portugal is where we want to be!

Many of you may think us ill-prepared but we deliberately chose to find the place that was "right" for us BEFORE doing the investigations necessary for a smooth move and a happy life there - what would have been the point of researching, for example, Spain in depth (which was where we THOUGHT we would like to live) when having toured round the country, we find it was not for us?

And so the preparation begins.... I realise there is a lot to look at and I am sure most of the answers (or, at least, tips on where to find the answers) are hidden within these forums - questions such as "As Brits, do we get free medication out there?", "My partner is disabled and has a blue badge so do we still have to pay road tolls?", "Is it permitted to hate Cristiano Ronaldo while living in Portugal?", "Where is the best place to exchange large amounts of Sterling to Euro's?" and so on, but :focusur immediate concern is with motor cars.

Please forgive me if the answer to this question is already posted somewhere but I can't immediately find it. The situation is this:- I want to sell my current car and buy a newish 4X4 which I can drive in Portugal while living there. I have heard that cars are quite expensive there so should I buy a left-hand drive car in the UK, change the headlight lenses and have it re-registered in Portugal or would it simply be cheaper to buy the same make and model IN Portugal? If I buy a car there, can I even BUY car insurance in Portugal with just a rented property address? 

Any information anyone can offer would be greatly appreciated but before being TOO helpful - a word of warning! I am the opposite of most men in that I am more than happy to ask for help and advice so really helpful posters (particularly if you live on the Silver Coast) may find I become a bit of a nuisance.......


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## silvers

Hi Colin,
a silver coaster here, I am regularly found with a glass on top of my head. 
Unless you have owned the car for the previous 12 months, forget it. You will be hit with import duties beyond the value of the car.


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## Silverwizard

Colin Robinson said:


> Hello all you knowledgeable people!
> 
> My good lady and I have just completed a three month tour of Western Europe and returned to the UK just before Christmas. After long and careful consideration (about 5 minutes!), we reached the conclusion that the Silver Coast region of Portugal is where we want to be!
> 
> Many of you may think us ill-prepared but we deliberately chose to find the place that was "right" for us BEFORE doing the investigations necessary for a smooth move and a happy life there - what would have been the point of researching, for example, Spain in depth (which was where we THOUGHT we would like to live) when having toured round the country, we find it was not for us?
> 
> And so the preparation begins.... I realise there is a lot to look at and I am sure most of the answers (or, at least, tips on where to find the answers) are hidden within these forums - questions such as "As Brits, do we get free medication out there?", "My partner is disabled and has a blue badge so do we still have to pay road tolls?", "Is it permitted to hate Cristiano Ronaldo while living in Portugal?", "Where is the best place to exchange large amounts of Sterling to Euro's?" and so on, but :focusur immediate concern is with motor cars.
> 
> Please forgive me if the answer to this question is already posted somewhere but I can't immediately find it. The situation is this:- I want to sell my current car and buy a newish 4X4 which I can drive in Portugal while living there. I have heard that cars are quite expensive there so should I buy a left-hand drive car in the UK, change the headlight lenses and have it re-registered in Portugal or would it simply be cheaper to buy the same make and model IN Portugal? If I buy a car there, can I even BUY car insurance in Portugal with just a rented property address?
> 
> Any information anyone can offer would be greatly appreciated but before being TOO helpful - a word of warning! I am the opposite of most men in that I am more than happy to ask for help and advice so really helpful posters (particularly if you live on the Silver Coast) may find I become a bit of a nuisance.......



Silvers comments about the tax you pay to matriculate your car are bang on.
When we moved here we wanted to register both our cars,we were allowed to
register one without the payment of tax (subject to stringent provisos).
My wife's car, which in the UK was valued at around £7000 they wanted almost
€9000 tax,crazy but that's how it is.
Typically a used car in good condition here will set you back two to two & a half times the equivalent cost in UK.
I drive a Volvo S60 saloon which at UK prices is worth around £9000,I have seen the same age car here in not so good condition for €18000!


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## Colin Robinson

Silverwizard said:


> Silvers comments about the tax you pay to matriculate your car are bang on.
> When we moved here we wanted to register both our cars,we were allowed to
> register one without the payment of tax (subject to stringent provisos).
> My wife's car, which in the UK was valued at around £7000 they wanted almost
> €9000 tax,crazy but that's how it is.
> Typically a used car in good condition here will set you back two to two & a half times the equivalent cost in UK.
> I drive a Volvo S60 saloon which at UK prices is worth around £9000,I have seen the same age car here in not so good condition for €18000!


Thank you "Silvers" and "Silverwizard" - I am most grateful

Naturally, being a Spurs supporter, I am extremely concerned about saving money and the thought of paying exorbitant fes does NOT appeal! Likewise, I am not keen on paying more than twice the UK value of a car either!

So, may I ask, what's the answer? WE intend to sell our property in the UK so, for the first time ever, can afford to spend Money (note the capital "M") on a car which, we hope, will last us for many years without huge repair bills. From your answers, it would seem that, cost-wise, we are better off buying it in the UK but where do I find a list of the "provisos" you mention which enabled you to avoid paying tax on one of your cars? If it's a question of owning it for a year or more, can't I buy it now and keep it's UK registration for a year before "importing" it into Portugal?

Again, any advice would be MUCH appreciated and rewarded with copious quantities of alcohol as soon as we get out there!


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## robc

Given the proliferation of pick ups that are appearing on Portuguese roads, 
Is there some "loophole" which means lower tax and duty rates on them?
I do not know the answer but I am sure someone will be along shortly who can.


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## Silverwizard

Colin Robinson said:


> Thank you "Silvers" and "Silverwizard" - I am most grateful
> 
> Naturally, being a Spurs supporter, I am extremely concerned about saving money and the thought of paying exorbitant fes does NOT appeal! Likewise, I am not keen on paying more than twice the UK value of a car either!
> 
> So, may I ask, what's the answer? WE intend to sell our property in the UK so, for the first time ever, can afford to spend Money (note the capital "M") on a car which, we hope, will last us for many years without huge repair bills. From your answers, it would seem that, cost-wise, we are better off buying it in the UK but where do I find a list of the "provisos" you mention which enabled you to avoid paying tax on one of your cars? If it's a question of owning it for a year or more, can't I buy it now and keep it's UK registration for a year before "importing" it into Portugal?
> 
> Again, any advice would be MUCH appreciated and rewarded with copious quantities of alcohol as soon as we get out there!


Hi Colin,

Ok,the list I was sent when matriculating my car:

1. That I intended to remain a resident of Portugal for a minimum of 1 year from date of registration.

2. That I undertook not to sell or transfer title of the car to anyone for a minimum of five years.

3. That if I did sell/transfer title within that period I should be required to pay the outstanding tax at a rate of 20% for each remaining year/part year.

4. That I met all costs for conversion of lights etc to Portuguese standards & agreed to keep my vehicle taxed , tested & insured at all times.

5.That I could prove I had owned the car for a minimum of 1 year in a member state of the E.U. & had paid the appropriate taxes.

I should mention that there are a lot of Expats who "Take the Risk" & don't bother to matriculate,I would not condone this,if you are caught (they do check foreign vehicles quite often in car parks etc...)you will be prosecuted which may ultimately involve a fine & confiscation/destruction of the vehicle if you don't pay the tax.

If you intend to buy a new vehicle,I would say you have no choices other than to buy here & pay between 3000-6000€ more than U.K. or buy in U.K. and delay coming here for a year....Sorry to sound so pessimistic,but that's how it is here. 

On the Good side......Here on the Silver Coast we have fantastic beaches & coastline,good fishing if that's of interest,excellent seafood & friendly local
people,I should perhaps add that a little spoken Portuguese would be invaluable, as we are not in a high tourist area, little English is spoken.


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## silvers

Pick-ups can be attributed as "company vehicles" if they have one bank of seats, any costs then associated are tax deductable, if you have a business.


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## silvers

http://www.expatforum.com/expats/portugal-expat-forum-expats-living-portugal/65948-cars.html
Have a look at Siobhan's post.


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## didimjms

I am also keen to buy a car in the UK, and then take it to Portugal. For me however, I am not sure how long I will be in Portugal for. It may be that I am only there for 6 months, and then go back to the UK. Could I bring the car across to use for a limited period of time and then send it back to UK?


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## Silverwizard

didimjms said:


> I am also keen to buy a car in the UK, and then take it to Portugal. For me however, I am not sure how long I will be in Portugal for. It may be that I am only there for 6 months, and then go back to the UK. Could I bring the car across to use for a limited period of time and then send it back to UK?


Hi,

You can legally keep a UK registered vehicle here for a maximum of 180 days in any one year.


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## didimjms

Silverwizard said:


> Hi,
> 
> You can legally keep a UK registered vehicle here for a maximum of 180 days in any one year.


Thanks :clap2:


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## silvers

Your twelve months of owning the vehicle begin the day you buy it, your residency in Portugal begins the day you become visible in Portugal, i.e. applying for residency, fiscal numbers, buying a home, cartao de saude, etc etc. 
In short, you must start the process of importing you car within 6 months of taking residency. It really will be much simpler buying one here. I can help you locate a vehicle and give you the advice you need, without using the dealers, who charge a fortune for the privilege. Just make sure that when you buy a car that it is the right one as trade-ins will lose you a lot of money.


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## Colin Robinson

Silverwizard said:


> Hi Colin,
> 
> Ok,the list I was sent when matriculating my car:
> 
> 1. That I intended to remain a resident of Portugal for a minimum of 1 year from date of registration.
> 
> 2. That I undertook not to sell or transfer title of the car to anyone for a minimum of five years.
> 
> 3. That if I did sell/transfer title within that period I should be required to pay the outstanding tax at a rate of 20% for each remaining year/part year.
> 
> 4. That I met all costs for conversion of lights etc to Portuguese standards & agreed to keep my vehicle taxed , tested & insured at all times.
> 
> 5.That I could prove I had owned the car for a minimum of 1 year in a member state of the E.U. & had paid the appropriate taxes.
> 
> I should mention that there are a lot of Expats who "Take the Risk" & don't bother to matriculate,I would not condone this,if you are caught (they do check foreign vehicles quite often in car parks etc...)you will be prosecuted which may ultimately involve a fine & confiscation/destruction of the vehicle if you don't pay the tax.
> 
> If you intend to buy a new vehicle,I would say you have no choices other than to buy here & pay between 3000-6000€ more than U.K. or buy in U.K. and delay coming here for a year....Sorry to sound so pessimistic,but that's how it is here.
> 
> On the Good side......Here on the Silver Coast we have fantastic beaches & coastline,good fishing if that's of interest,excellent seafood & friendly local
> people,I should perhaps add that a little spoken Portuguese would be invaluable, as we are not in a high tourist area, little English is spoken.


Thanks again Silverwizard!

My plan is to come back to the Silver Coast and rent a property for six months, during which time we will look at what is available to purchase and go through the formalities of conveyancing. We will maintain an address in the UK for the first year as this will enable both my partner and I to continue with our necessary supplies of medication (whilst we find out how we get them in Portugal). Effectively then, we will still be UK "residents" with a "Holiday Home" in Portugal and will be travelling backwards and forwards at least every three months.

It would seem from what you say of the provisos then, all the rest of which we are happy to comply with, we just have to keep the car owned, registered, taxed and insured in the UK for the first year and when we make official our move - that is, give up our UK address, bank accounts and so on - Import" the vehicle then?

The beaches and coastline and the incredibly friendly local people are amongst our top reasons for coming to the Silver Coast (although not the fishing - patience, to me, are people in hospital!) and we are already frantically trying to learn something of the language but on our travels, we found that whilst many locals could not speak English, our feeble attempts to speak Portuguese were met by APOLOGIES from them for not being able to speak our language properly (!!!) and a willingness to communicate in sign language, just to be helpful to us! The Silver Coast of Portugal appears to us to be what England was, some 40 odd years ago....

We can't wait to get there!


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