(Article first published at portugalresident.com; also read story on P34)
It is foolish to enjoy the value of your house rising! Because… 1. The locals who earn a static and low wage will not be able to afford a house in their home area; 2. Your children, who can easily speak English, will not be able to afford a home and will move to other countries where they can earn more and pay less taxes and then buy a home there; 3. The houses in Portugal will be inherited by those that left Portugal and they will sell to other foreigners at a high price which deprives the newer young people from being able to buy, so they also move away; 4. So Portugal loses all its new and younger workforce and no one is left to pay taxes to the government, so the government raises taxes and creates new ones to create revenue; 5. Only the old will be left. All the educated younger workforce will not return to the higher tax environment created by the short-sighted idea that selling homes to outsiders is a good idea… The outsiders are not working here and do not pay taxes here. These homes are for fun and holidays and for them to rent out to other holidaymakers through internet business channels that NONE of which are obliged by law to pay taxes here; 6. Therefore, ALL the money will leave Portugal.