Nearly 32,000 asset-sharing disputes are currently pending in courts and notary offices, with resolution times stretching up to seven years and the total number of affected properties remaining unknown.

Recent severe weather events have triggered a 20% to 35% surge in demand for new insurance policies, as both individuals and businesses seek enhanced coverage and better risk management.

The government has proposed new measures to speed up evictions (despejos) for tenants who fail to pay rent, arguing that increasing owner confidence will help the rental market. Critics of the plan argue it repeats failed approaches from the 2012 “Cristas Law” (Lei Cristas) and fails to protect vulnerable residents. Tenants should note that the proposal was discussed in a recent Council of Ministers (Conselho de Ministros) meeting as part of a broader housing package.

Homeowners with a mortgage (crédito habitação) that is due for review in April will see an increase in their monthly bank repayments. While the impact on very recent contracts may be limited, those with older variable-rate agreements face higher costs due to interest rate trends. Mortgage-holders should note that many younger borrowers are increasingly opting for mixed interest rates (taxas mistas) to ensure more predictable monthly costs.

The government is preparing changes to housing policy that would allow one heir to force the sale of an inherited property even if others disagree. The plan also includes measures to accelerate evictions for non-compliance to encourage more owners to put houses on the rental market. While the government is ending the previous policy of forced leasing (arrendamento forçado), critics argue the new “forced selling” measure is equally controversial. Property owners and heirs should be aware of these upcoming legal shifts.

The government has approved new regulations to resolve undivided inheritances, aiming to boost housing supply and enhance fire prevention efforts.

The government is set to approve changes to tenancy laws (Lei do Arrendamento) this Thursday to expedite judicial decisions for non-payment of rent. The measures, led by Minister of Infrastructure and Housing Miguel Pinto Luz, aim to restore landlord confidence and bring thousands of vacant properties back to the market. Tenants should note that while the reform targets persistent non-payment, the government has stated it will include protections for vulnerable residents.

Update: New rules for undivided inheritances and evictions

The Council of Ministers (Conselho de Ministros) has approved three bills to resolve impasses in undivided inheritances (heranças indivisas) and speed up evictions for rent arrears. Minister of the Presidency (Ministro da Presidência) António Leitão Amaro explained that after two years of an inheritance being accepted, a single heir can now initiate a property sale to prevent one person from blocking the process. The government will consult Parliament next week, aiming to finalize the laws by the end of the month.

Complaints regarding real estate mediation (mediação imobiliária) reached a historic high in 2025, driven by issues with property reservations and customer service. Many disputes involve the promissory purchase and sale agreement (Contrato de Promessa de Compra e Venda or CPCV). Those seeking housing should be aware of their rights when dealing with agents and ensure all reservation payments are properly documented.

The Tax and Customs Authority (Autoridade Tributária e Aduaneira) has clarified that the capital gains tax (mais-valias) exemption for reinvesting in a primary residence is limited when a property owned by one person is sold to buy a home jointly. In such cases, the tax benefit only applies to the share of the new property corresponding to the original owner, typically 50%. Homeowners planning to sell a property they purchased while single to buy a new home with a partner should be aware of these potential tax liabilities.

The Portuguese government is putting five state-owned properties up for public auction (hasta pública) on March 31st to raise funds for national housing policies. The buildings, located in Lisbon and Porto, have a combined starting bid of €17.9 million, with two Lisbon properties expected to generate 96% of the total revenue. This sale is the first phase of a larger plan to liquidate 16 state assets to finance affordable housing initiatives. Those seeking housing or investment opportunities should note that the Ministry of Finance intends to channel all proceeds directly into public housing projects.

The Portuguese real estate market saw record highs in 2025, with prices and transactions on the rise. The five largest real estate agency networks in Portugal reported a significant revenue growth of 24.4%, attributed to an influx of nearly 25,000 house sellers contributing to the booming market.

The Oeiras City Council has approved a significant real estate development at the former Foundry site, which contradicts the foundational principles of New Oeiras.

Buying real estate in Portugal involves more than just a property transaction for international families; it is a strategic decision that encompasses tax implications, succession law, and asset management.

Costs associated with obtaining a municipal construction permit can be deducted when calculating real estate capital gains for income tax (IRS), provided they genuinely enhance the property and are still valid at the time of sale, clarifies the Tax Authority (AT). This allows the fee paid for the urban planning permit to be added to the value of the property, potentially reducing the capital gains tax owed upon sale.

Update: New Guidance on Permit Costs The Tax Authority has released additional guidance stating that homeowners must retain all documentation related to the permits to ensure eligibility for the deductions, emphasizing the importance of proper record-keeping during property transactions.

Mortgage repayments for loans with the most commonly used term are set to increase, with an average rise of nearly five euros for a loan amounting to 150,000 euros.

Azul Empírico, a subsidiary of the Davidson Kempner fund, has proposed a significant investment of 203 million euros to acquire the agricultural company Herdade da Comporta, indicating a strong interest in the agricultural and real estate market in the region.

A real estate businessman has been charged with 52 counts of qualified fraud, stemming from fictitious transactions involving the sale of properties that were seized by the state. This case highlights significant issues within the real estate market and raises questions about legal reforms needed to prevent such fraudulent activities.

The municipal council of Loulé has formally acquired 60 housing units for public rental in a €15.1 million investment backed largely by national recovery funds. The public deed was signed The post Loulé buys 60 homes for public housing in €15.1 million deal appeared first on Portugal Resident.

Update: Public deed signed and financing confirmed

The public deed has been signed, formalising the €15.1 million purchase, with the cost largely covered by national recovery funds to secure 60 units for public rental in Loulé.

In 2023, Portugal ranks among the EU countries with the lowest purchasing power, with its average annual income allowing for the purchase of only 11 baskets of essential goods, significantly less than the 24 baskets that can be afforded by an average Luxembourger. This disparity highlights the economic challenges faced by Portuguese residents, particularly in the context of rising housing costs.

Portugal has experienced significant increases in house prices since 2020, according to data from Pordata. Despite this rise, the country still ranks among those with the lowest purchasing power, with only Greece having higher housing costs relative to income.

Almost a month after storm 'Kristin', many families, like Filomena's in Souto da Carpalhosa, are still displaced and living in temporary accommodations. This situation has disrupted their plans to return to their homeland after decades abroad, highlighting the ongoing impact of the storm on local communities.

The maximum 'moderate' selling price of houses has increased to 660,000 euros, reflecting a 2% rise since the measure's introduction. This price cap is determined by the IMT Code and is updated annually to align with market conditions.

The recent approval of the housing package has garnered support from the PSD, CDS-PP, and IL parties, focusing on two key proposals that involve legislative authorisations aimed at addressing housing issues.

The Lisbon City Council has cancelled 40% of local accommodations due to inactivity, marking a significant move in the city's management of 'ghost' AL licenses. This week's highlights also include insights from César Araújo on the influx of Asian products into Europe, discussions on the PRR, and advancements in Quantum Computing. Other topics cover the unpredictability of European funds and TAP's potential role within the Air France/KLM group.