Portugal’s housing market continues to demonstrate institutional strength as government data reveals that more than 70,000 young buyers have benefited from the property tax exemption introduced in 2024. The figures, announced by Finance Minister Joaquim Miranda Sarmento, underscore Portugal’s commitment to housing accessibility and market stability.
The IMT (property transfer tax) and stamp duty exemption targets first-time buyers under 35 purchasing permanent residences. Combined with a public mortgage guarantee program that has assisted approximately 23,000 additional buyers, these measures represent a comprehensive approach to addressing housing demand in one of Europe’s most sought-after property markets.
The mortgage guarantee allows qualified buyers to secure financing for up to 100 percent of a property’s appraised value, compared to the standard 90 percent limit. This structural support has proven particularly effective in a market characterized by limited housing supply and sustained international demand.
For international investors and those considering Portugal for relocation, these policy developments offer important context. Government engagement with housing fundamentals signals the kind of institutional stability that sophisticated buyers evaluate when making significant property decisions.
“Understanding how Portugal’s regulatory environment supports the broader market is essential for anyone considering a substantial property investment here,” notes Cristina Pereira, founder of Residential Advisory Portugal. “These policies reflect a government actively engaged with housing dynamics, which contributes to the long-term stability that international buyers value.”
The programs, set to continue through 2026, arrive amid Portugal’s ongoing appeal to high-net-worth individuals and families seeking European residency. While the specific tax exemptions target younger domestic buyers, the broader policy framework demonstrates Portugal’s strategic approach to housing market management.
Portugal’s property sector has attracted approximately 800 high-net-worth individuals in recent years, drawn by factors including safety, quality of life, and favorable climate. The government’s willingness to deploy multiple policy instruments to address market pressures suggests confidence in sustained demand across market segments.
For those navigating Portugal’s property landscape, awareness of the regulatory environment provides valuable context for investment decisions, whether acquiring a permanent residence, a holiday home, or a portfolio asset in one of Europe’s most dynamic real estate markets.
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