New rent law in 2026: what changes in the rental market

The rental market in Portugal has been the subject of several legislative changes in recent years, reflecting the growing concern with access to housing and the balance between owners and tenants.

The so-called "new rent law", which results from different measures approved under the housing policy, introduces relevant adjustments to the urban lease regime, with an impact on both owners and tenants.

Understanding these changes is essential for those who own rental properties or want to invest in the real estate market.

Annual rent update

One of the central aspects of rent-related legislation is the annual rent update mechanism, usually defined on the basis of inflation and published annually by the National Statistics Institute.

In recent years, the Government has established maximum limits for this update in certain periods, with the aim of mitigating the impact of inflation on household budgets.

For owners and investors, following these rules is essential to understand the evolution of the income generated by lease contracts.

Incentives for long-term rentals

Another objective of recent policies has been to encourage leases with longer durations.

In some cases, tax benefits have been created associated with long-term contracts, with lower tax rates on property income when contracts exceed certain periods.

This type of incentive seeks to promote greater stability in the rental market and increase the supply of available housing.

Protection measures for tenants

Recent legislation has also introduced measures to strengthen the protection of tenants, especially in situations of economic vulnerability.

These measures may include specific rules related to the renewal of contracts, temporary limits on rent updates or public support programs for rent payments.

The objective of these policies is to seek to balance the functioning of the market with the need to guarantee access to housing.

Impact for owners and investors

For real estate owners and investors, the legislative changes in the rental regime reinforce the importance of closely monitoring the evolution of the legal framework.

Issues such as the definition of the initial rent, the type of contract, the duration of the lease and the tax framework can have a direct impact on profitability and the management of real estate assets.

An informed analysis allows you to make more strategic decisions regarding the use of a property, whether for rent, sale or long-term investment.

The importance of keeping up with legislative developments

The real estate market is strongly influenced by legislative changes and public policies related to housing.

For this reason, both owners and investors benefit from regularly monitoring legal changes that may affect urban renting in Portugal.

At Bricksy, we closely monitor the evolution of the market and the legal framework of the sector, helping our clients to understand the different options available and make informed decisions about their real estate assets.

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Information note

The content of this article is for information purposes only and reflects the legal framework known at the time of its publication, in accordance with the legislation in force.

The rules applicable to the rental market may be subject to legislative changes.