Once you have signed the CPCV on an Algarve property, the deal is done in every way that matters. The contrato-promessa de compra e venda is the binding commitment, and both sides are now legally locked in. What follows is not uncertainty but preparation.
This piece walks through the window between signing the CPCV and completing at the escritura. Overseas buyers ask us about it often, and the honest answer is that this stage tends to be quieter than people expect.
Quick Answer
- The CPCV is legally binding on both parties, not an informal reservation you can walk away from.
- The sinal (deposit) is protected under Portuguese law, with penalties for whichever side defaults.
- This window is used for mortgage drawdown, final registry checks, and clearing any CPCV conditions.
- It typically takes a few weeks to a few months, depending mainly on financing.
- The stage closes when the escritura (deed) is scheduled and signed.
What the CPCV Actually Commits Both Sides To
The CPCV is a full contract, not a placeholder. Once it is signed, the seller is committed to sell and the buyer to buy, at the price already agreed. This is what separates it from an early reservation, a much softer arrangement.
Because it is binding, the CPCV is where the security of the purchase really sits. From this point the seller cannot quietly accept a higher offer, and the buyer has a contractual right to complete. It is common to see buyers relax once this document is signed.
- The agreed price and property are fixed in writing.
- A completion deadline, or a window for it, is usually set out.
- Any conditions still to be met before the deed are listed in the contract.
The Sinal and What Happens If Someone Defaults
When you sign the CPCV you pay a deposit known as the sinal. This is not a booking fee that sits in limbo. Under Article 442 of the Portuguese Civil Code, the sinal carries real consequences for whichever party fails to complete.
In practice this cuts both ways, which is part of why the CPCV protects the buyer so well. The wider framework these transactions sit within is published by the Portuguese Tax Authority.
- If the buyer defaults, they tend to forfeit the sinal already paid.
- If the seller defaults, they are usually required to return double the sinal to the buyer.
- That double-back rule gives a defaulting seller a strong reason to see the deal through.
What Typically Happens in This Window
Most of the activity between the CPCV and the escritura is administrative rather than dramatic. If you are borrowing, the main task is finalising the mortgage and arranging the drawdown so the funds are ready for the deed. Cash buyers naturally move faster.
Alongside the financing, your lawyer will usually run a final set of checks so that nothing has shifted since the CPCV was signed. In many cases these simply confirm what earlier searches showed, but they matter, because the property must be clean and correctly registered on the day of the deed.
- Mortgage finalisation and drawdown, if you are borrowing.
- A final Land Registry check to confirm ownership and any charges.
- Clearing any conditions written into the CPCV, and confirming funds are in place.
A Realistic Timeline
There is no fixed length to this stage, but a few weeks to a few months is the usual range. Cash purchases can complete quite quickly, while mortgage cases tend to take longer because the lender sets much of the pace.
The CPCV usually frames this with a completion deadline or window, which keeps both sides moving. It is sensible to stay in contact with your lawyer and lender, since paperwork delays are the most common reason a timeline slips.
What Can Go Wrong and How the CPCV Protects You
Problems in this window are not common, but they do happen, and this is where the binding nature of the CPCV earns its place. Because the contract is enforceable, you are not relying on goodwill to reach completion.
If a mortgage falls through, a well-drafted CPCV will often have accounted for that as a condition. If the seller gets cold feet, the double-the-sinal rule and your contractual right to complete are strong protections. In many cases the CPCV alone is enough to keep everyone on track.
- Financing delays, usually managed through conditions or an extended window.
- A last-minute registry issue, caught by the final checks before the deed.
- A seller trying to withdraw, which triggers the double-back penalty.
Scheduling the Escritura
When the checks are complete and the funds are in place, the final step is to schedule the escritura, the deed of sale, booked with a notary once both sides confirm they are ready.
The notary handles the deed itself, and the framework for that is set out by the Portuguese notaries. Your own lawyer handles the legal side and coordinates the date with the notary, the lender, and the seller so that everything lands on the same day.
Common Mistakes
- Treating the CPCV as provisional. It is binding, and defaulting has a real cost.
- Leaving the mortgage drawdown to the last minute, which is the usual cause of delay.
- Assuming no checks are needed after signing, when a final registry review still matters.
- Not agreeing a realistic completion window in the CPCV itself.
Summary
The gap between the CPCV and completion is best thought of as preparation, not suspense. The CPCV has already secured the deal and the sinal is protected, so this window is mainly about finalising financing, confirming the registry position, and booking the deed.
If you are weighing up Algarve property for sale and want a clear view on a home before you reach this stage, our team is happy to help. As experienced estate agents in the Algarve, we can help you find the right property and understand where it sits, so the run to completion feels straightforward.
