Many who move to Portugal prefer to pay rent rather than buy a new house or apartment. Some of them want to explore the city they moved to before buying a property, while others are not ready to make a long-term investment. If you plan to move to Portugal, it is important to know the rights and obligations of tenants and landlords in this country. Those who want to rent a property for a few months or years should first rent a vacation apartment for a week or two to give themselves time to look for a long-term rental.
Properties for rent are advertised in local newspapers and magazines such as Algarve Resident, Portugal News, Diario de Noticias and Publico. Finding a good landlord can be difficult. Tenants and landlords are two parties involved in property transaction case. Like property owners, tenants occupying the house or apartment must meet certain standards. There are specific deadlines according to which tenants can give notices to landlords about the non-renewal of the contract. Notice are:
• Contracts for less than 90 days: one third of the duration
• Contract from three months to one year: 30 days
• Contract from one to six years: 60 days
• Contract of more than six years: six months
Portuguese law stipulates that if the rental apartment or house is in poor condition, tenants can demand that the property owner make repairs. If the landlord defaults, the tenants can purchase the apartment at the officially appraised value, as long as they make the repairs. If they are unable to do so, the property will be returned to the owner. The law is heavily tilted in favor of tenants, despite the drastic changes that were made in 2006 as a result of the Novo Régimen de Arrendamento Urbano (New Urban Leasing Law).
This European country does not offer many long-term rental properties in tourist areas, where it is more common for people to buy. The villas and apartments in the tourist areas are fully furnished. Long term rentals are usually left unfurnished. Rental costs vary significantly depending on the quality and size of the property. The amount of the rent can be freely agreed between tenants and owners, with the exception of low-cost housing (supported rent or conditional rent). They may agree to pay one month’s rent in advance.
The landlord may terminate the contract if the property is used for illegal practices or if the tenant allows someone to use the property for a purpose other than that agreed with the owner. If the tenant fails to pay rent on time or lends the property without the landlord’s permission, the lease may be terminated.
