Italians, Portuguese and Britons now account for much of Santa Maria's tourist apartment purchases

A market with a European accent

Buyers from Italy, Portugal and the United Kingdom are looking for apartments for holiday rentals.

Prices and yields as the main draw

A one-bedroom apartment costs between 8 and 14 million CVE, with yields of 6-9%.

Effect on available supply

New developments are marketed at European property fairs before reaching the local market.

Remote management, a business in its own right

A whole ecosystem of rental management companies for absentee owners has emerged.

Local agencies, between opportunity and challenge

Estate agencies in Santa Maria acknowledge that a large share of their client base now comes from outside Cape Verde, a notable shift from just a decade ago. Many of these agencies have taken on staff able to handle enquiries in Italian and English, in addition to Portuguese, to meet international demand. The buying process is usually completed remotely, with in-person visits limited to a single stay before signing. This dynamic has forced agencies to strengthen their digital documentation and video property tours.

Sal versus other tourist destinations in the archipelago

The profile of European buyers arriving in Santa Maria resembles that already seen for years in Boa Vista, though with higher transaction volumes given Sal's longer track record of tourism development. Agents consulted say Sal offers a more established hotel and leisure offering, which reinforces the island's appeal over other destinations in the country. This comparison has become a standard sales pitch at the European property fairs where new developments are presented.

Payment and financing methods

Most transactions are settled in cash, given the difficulty non-resident buyers face in obtaining Cape Verdean mortgages. Some developers offer staged payment plans tied to construction phases, an arrangement that particularly appeals to investors not seeking bank financing. Local notaries confirm a steady rise in deeds registered to foreign companies set up specifically to channel this type of investment. This route also allows absentee owners to simplify their tax arrangements.

Doubts over the effect on the local residential market

Not everyone in the sector views this trend with enthusiasm. Several Santa Maria residents warn that the concentration of European buyers in the tourist segment is indirectly pushing up the price of land available for regular residential housing. Municipal officials consulted acknowledge the challenge, though they insist that, for now, the tourist and residential segments continue to follow different price logics. Debate over whether some kind of limit or regulation on foreign purchases should be introduced is beginning to surface in local industry forums.