CPCV Explained: The Promissory Contract in Portugal

The deed is when a house changes hands. The CPCV is when it was really decided.

If you are buying property in Portugal, you will sign a CPCV, the contrato-promessa de compra e venda. Many buyers treat it as a reservation form on the way to the deed. It is not: it is a binding contract, and most of the risk in a transaction is fixed the day it is signed. This is what a CPCV is, what it should contain, how the deposit works under Portuguese law, and how informed buyers approach it.

Before the keys, a contract. Before the contract, the questions.

What is a CPCV?

A CPCV is a promissory contract: buyer and seller promise to sign the final deed of sale on agreed terms and by an agreed date. It is governed by the Portuguese Civil Code and, once signed, carries real financial consequences for whoever fails to complete.

The deed is the moment of completion. The CPCV is the moment of commitment.

Formal requirements

A CPCV for a building must be in writing and signed by both parties. For urban property, the signatures are certified in person (reconhecimento presencial) by a notary, lawyer or solicitor, who also confirms the identity and powers of whoever signs. Missing formalities do not always make the contract void, but they weaken it, and they are easy to avoid.

What a CPCV should include

• Full identification of buyer and seller, and of anyone signing on their behalf.

• Identification of the property, matching the land registry and the tax record.

• The price, the deposit and how and when each payment is made.

• The deadline for the deed, and who schedules it.

• The property's legal situation: licensing, mortgages to be discharged, tenants, charges.

• Conditions, such as a financing clause or the delivery of missing documents.

• What is included in the sale: furniture, equipment, parking, storage.

• Who pays which costs, and what happens if either party fails to complete.

What matters is not only what is included, but how precisely it is written. Ambiguity creates friction later, usually at the worst moment.

A terrace, a parking space, a storage room. If it is part of the deal, it belongs in the contract.

The deposit, and what the law says

The deposit (sinal) is paid when the CPCV is signed, and is usually 10% to 20% of the price, sometimes reinforced later. Article 442 of the Civil Code sets the rule: if the buyer walks away without cause, the deposit is lost; if the seller walks away, it is returned in double.

Beyond the deposit, the party who keeps their word can ask a court to enforce the sale itself (execução específica). In a CPCV for an urban building with a deposit, this right cannot be excluded by the contract.

“A CPCV is not paperwork. It is the price, the deadline and the exit, written down.”

How buyers protect themselves

• Due diligence before signing: land registry certificate, tax record, licensing, condominium and planning checks.

• A financing clause if the purchase depends on a mortgage, with a clear deadline and refund mechanism.

• Realistic deadlines that leave room for the bank's valuation and approval.

• Provisional registration of the acquisition at the land registry, which protects the buyer against later sales or charges.

• An independent review of the contract, rather than a template signed under time pressure.

Common mistakes

• Signing before the meaningful checks are done.

• Assuming the mortgage will be approved in time.

• Agreeing to deadlines that create pressure rather than progress.

• Overlooking licensing, unregistered extensions or condominium debts.

• Negotiating hard on price and not at all on terms.

Furniture, fittings, the bookshelves. Agree it before, not on the day.

CPCV, due diligence and the rest of the process

Due diligence is the verification. The CPCV is the commitment. The order matters: the checks that could change your decision belong before you sign. See where the CPCV fits in buying property in Portugal step by step, and budget the taxes due before the deed with our guide to property taxes in Portugal.

Frequently asked questions

Is a CPCV legally binding in Portugal?

Yes. The CPCV (contrato-promessa de compra e venda) is a binding contract under the Portuguese Civil Code. Both parties promise to sign the deed on the agreed terms, and breaking it has financial consequences through the deposit and, in many cases, can be enforced in court.

How much is the deposit on a CPCV?

There is no legal amount. In practice it is usually 10% to 20% of the price, sometimes paid in stages. If the buyer withdraws without cause, the deposit is lost; if the seller withdraws, it must be returned in double.

What happens if my mortgage is refused after the CPCV?

Only what the contract says. Without a financing condition, a buyer who cannot complete may lose the deposit. A well-drafted CPCV makes completion conditional on the loan being approved within a set period, and states how the deposit is returned if it is not.

Can I sign a CPCV without being in Portugal?

Yes. Many international buyers sign through a lawyer acting under a power of attorney, or sign abroad with signatures certified locally and legalised where required.

How long between the CPCV and the deed?

Typically one to three months. The period should leave enough time for the bank's valuation and approval, and for any documents the seller still needs to produce.

Further reading: Estate Agent Fees in Portugal: Contract, Exclusivity, Commission, and Cost of Buying a House in Portugal: the Full Budget for 2026.

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About to sign a CPCV in Portugal? Request a private conversation before you commit, or read our independent guide to buying property in Portugal.

Updated October 2026. Sources: Portuguese Civil Code, articles 410, 442 and 830. General information only; not legal advice. Wiseguys Properties, AMI 23109 · info@wgpadvisors.com