The Portuguese government has published a decree regulating the Simplified Affordable Rental Regime (RSAA), which aims to increase the supply of affordable housing in the country. The regime, part of the government's program to incentivize the construction of new homes, sets maximum rent limits for different types of housing. The decree, published in the Official Gazette, defines the maximum rent limits for different municipalities, including Lisbon, Porto, and Faro.
In Lisbon, the maximum affordable rent for a T0 apartment is set at 785 euros, while a T1 apartment will cost 1,006 euros, and a T2 apartment will cost 1,309 euros. The rent limits vary depending on the municipality and the type of housing. For example, in Porto, the maximum affordable rent for a T0 apartment is 652 euros, while in Faro, the rent limits range from 447 to 1,176 euros. The decree also establishes that the rent can be increased by 10% if the rental includes private parking or if the housing has an energy performance level of A or higher.
The RSAA regime offers benefits to property owners who rent their properties at prices 20% below the median price in their region. These benefits include exemptions from IRS and IRC taxes on rental income, as well as exemptions from IMT and IMI taxes on investments in affordable housing. The decree also allows for the reclassification of rural land to urban land for the construction of affordable housing.
The Association of Lisbon Property Owners (ALP) had criticized the delay in publishing the decree, which was expected to be released within 30 days of the approval of the decree-law. The ALP president, Luís Menezes Leitão, stated that the delay has caused uncertainty among property owners who are already renting their properties at below-market prices. Leitão argued that the government's delay in publishing the decree has created uncertainty and made it difficult for property owners to understand their rights and obligations.
The decree comes into effect on Wednesday, and property owners are expected to benefit from the new regime. The government hopes that the RSAA will increase the supply of affordable housing in the country and help to alleviate the housing shortage. According to Ana Tavares, the decree is an important step towards creating a more sustainable and affordable housing market in Portugal.
The maximum rent limits set by the decree will be subject to periodic review, and in years when no review is conducted, the limits will be automatically updated based on inflation. The decree also allows for the possibility of dispensing with urban planning compensations if the promoter of an urban development project includes affordable housing in the project.
The introduction of the RSAA regime is seen as a positive step towards addressing the housing shortage in Portugal. However, some critics argue that the regime may not be sufficient to address the scale of the problem. The government has announced that it will continue to monitor the implementation of the regime and make adjustments as necessary.
Key points
- The Portuguese government has published a decree regulating the Simplified Affordable Rental Regime (RSAA), which sets maximum rent limits for different types of housing.
- The regime offers benefits to property owners who rent their properties at prices 20% below the median price in their region.
- The decree allows for the reclassification of rural land to urban land for the construction of affordable housing.
