The rental market in Portugal has experienced a significant increase, with the availability of rental properties soaring by over 60% this summer compared to the same period last year. This surge is attributed to a combination of rising demand and recent legislative changes aimed at reducing taxes on rental income.
The demand for rental properties in Portugal continues to outpace supply, leading to a steady increase in rental prices month after month. However, recent changes in legislation, particularly concerning tax reductions on rental income, have encouraged more property owners to enter the rental market. This has resulted in a notable increase in the number of available homes for rent.
According to data from leading property company Idealista the stock of rental properties has increased in 16 of the 20 major cities analyzed. Notable cities with significant increases include Viseu with a 97% rise, and Porto with a 75% increase.
Curiously, despite the significant national increases, some cities have seen a decline in available rental properties, including Bragança with 19% decrease.
The rental market in Portugal is undergoing a transformation, driven by increased demand and legislative changes that encourage property owners to rent out their homes. While the overall availability of rental properties has surged, the market remains competitive, particularly in major urban areas. As the summer season comes to a close, potential renters may find more options available, but they should also be prepared for rising rental prices as demand continues to grow.