Portugal offers a variety of tax and financial incentives to encourage property purchases, urban rehabilitation, and rental housing. Here’s a breakdown of the main programs:
1. Permanent IMT Exemption for Primary Residence
- What it is: Full exemption from the Property Transfer Tax (IMT)
- Who qualifies: Portuguese citizens or permanent residents buying a home for their own use
2. Reduced VAT (IVA) for New Construction
- Applies to primary residences in urban rehabilitation areas or affordable housing projects
3. Rehabilitate-to-Rent Program
- Objective: Encourage long-term rental availability
- Benefits:
- IMT exemption on acquisition
- IMI exemption for 5–25 years
- Additional IRS benefits for owners
4. IMI Exemption for Urban Rehabilitation
- Temporary exemption (usually 3 years) for properties undergoing qualified rehabilitation
5. Support for Young People & Families (Porta 65 Jovem)
- Provides rental subsidies for individuals aged 35 or younger
- Helps save for a future property down payment
Key Takeaway:
Whether you’re buying your first home, investing in rental properties, or rehabilitating older buildings, Portugal offers a range of tax-efficient incentives to make property ownership and investment more attractive.
Popular Podcasts
On Purpose with Jay Shetty
I’m Jay Shetty host of On Purpose the worlds #1 Mental Health podcast and I’m so grateful you found us. I started this podcast 5 years ago to invite you into conversations and workshops that are designed to help make you happier, healthier and more healed. I believe that when you (yes you) feel seen, heard and understood you’re able to deal with relationship struggles, work challenges and life’s ups and downs with more ease and grace. I interview experts, celebrities, thought leaders and athletes so that we can grow our mindset, build better habits and uncover a side of them we’ve never seen before. New episodes every Monday and Friday. Your support means the world to me and I don’t take it for granted — click the follow button and leave a review to help us spread the love with On Purpose. I can’t wait for you to listen to your first or 500th episode!
The Joe Rogan Experience
The official podcast of comedian Joe Rogan.
Stuff You Should Know
If you've ever wanted to know about champagne, satanism, the Stonewall Uprising, chaos theory, LSD, El Nino, true crime and Rosa Parks, then look no further. Josh and Chuck have you covered.