A bill was submitted to the Portuguese Parliament seeking legislative authorization to define tax relief measures to promote the supply of housing.

Bank valuations rose by 17.7% year-on-year in October, bringing the median value to €2,025, the highest ever in the statistical series dating back to January 2011.

The program now covers beneficiaries of other forms of support for the same purposes, provided that in the last 15 years such support has been less than 20 times the value of the social support index (IAS).

According to the proposed State Budget Law for 2026 (LOE 2026), all acts and contracts necessary for the parcelling of contiguous or adjoining rural properties, regardless of their economic use, are exempt from fees.

The proposed State Budget Law for 2026 (LOE 2026) provides for a 2% increase in the Municipal Tax on Onerous Transfers of Real Estate (IMT) brackets on the purchase of urban buildings or autonomous units intended exclusively for housing, whether or not they are owned and permanent, as well as on the IMT Jovem (Youth IMT).

The average monthly payment fell to €393, down €1 from the previous month and €11 less than in the same period last year.

In August, building a new home in Portugal cost 3.8% more than in the same month last year, according to data from INE.

A proposal to ease state aid rules, particularly in the area of housing, is open for public consultation until November 4.

On September 25, the Council of Ministers approved a set of measures for construction and rental. Among the main changes are a reduction in VAT from 23% to 6% on the construction of housing with a sale value of up to €648,000 and on build-to-rent construction with rents of up to €2,300.

In August, home sales prices recorded their largest year-on-year increase in almost 40 years.

The Government and the European Investment Bank (EIB) have approved a €1.34 billion credit line to promote affordable public housing in Portugal, consisting of the construction and renovation of around 12,000 affordable rental homes.

Nine state-owned properties will be put up for public auction as part of efforts to combat the housing crisis. The plan is also for Estamo to map out the properties and then launch public tenders for concessions.