What are Portugal’s housing measures for 2026?
- Valerie Charoux
- Oct 28
- 1 min read
Government of Portugal News – Here are Portugal’s housing measures for 2026, including significant tax reductions for landlords and tax deductions for tenants, according to the announcement made by Portugal’s Prime Minister on October 27th, 2025:
Here are Portugal’s housing measures for 2026:
1 – For landlords, Portugal will reduce the autonomous IRS tax rate on rents up to 2,300 euros from 25% to 10%.
2 - For tenants, Portugal will increase the ceiling on IRS tax deductions to 900 euros in 2026 and to 1,000 euros in 2027.
3 – Portugal will invest more than 9 billion euros of investment in public housing. Stating that "housing is an absolute priority", Portugal’s Prime Minister said that "we have doubled investment and secured financing beyond the RRP horizon" ending in 2026.
4 - The Government of Portugal has streamlined public procurement for projects funded by the EU and will make vacant public properties available for rent to the middle class through public-private partnerships.
5 – Portugal’s Government has "introduced a real shock to increase supply," to promote housing for all, including the middle class by reducing VAT rate for the construction of non-luxury housing.
