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What this means for the Algarve and property investors Portuguese tourism is closing a historic cycle and entering a new phase. The latest figures confirm what many operators have already felt on the ground: Portugal continues to break records, but growth is becoming more conscious, more demanding, and more sustainable. In 2025, tourism revenues are expected to exceed €30 billion for the first time, representing around 10% of national GDP. With over 84 million overnight stays and 32 million passengers, tourism continues to outperform the wider economy. This is very positive news — but it also brings new challenges. At Westmark Real Estate, we closely follow these shifts in tourism and the Algarve property market. We believe this new phase creates strong opportunities for investors focused on quality, sustainability, and long-term returns. As tourism evolves, so does the property market — and the Algarve remains firmly at the center of that transformation.

The Portuguese Government has introduced a proposal to apply a flat IMT rate of 7.5% on all residential property purchases made by non-residents. This represents a major change from the current progressive IMT system, where tax rates range between 2% and 7.5% depending on the property value.

Over the past year, Westmark has experienced impressive growth — not only in numbers but also in reputation. The company has expanded its team and by the end of this year will count four real estate professionals, two property management specialists, a dedicated team of six property cleaners, and one financial professional. Westmark is steadily evolving into one of the most trusted all-round property businesses in the Algarve. Not necessarily the biggest in turnover or size, but undoubtedly among the highest in client satisfaction, now standing at an outstanding 98% overall.

A second home in Portugal is a dream come true for many Dutch people. Sun, sea and a stable real estate climate make the country popular for both holidays and investments. But if you are a Dutch resident, you have to take into account tax rules in both countries. A Dutch Real Estate Agent in Portugal can make all the difference.