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04, may 22 | Reading: 8 min.

Real Estate News 2022 | Casas do Barlavento

The year 2022 brings new rules for real estate. Keep up with all the changes and begin your transactions with a thorough understanding of the real estate market. The changes in real estate regulations will affect buyers and sellers who want to complete their real estate transactions. If you want to sell your house or buy a property in 2022, this article for the Casas do Barlavento blog is a short guide to the changes in the real estate market.


illustrative image on what's new in the real estate sector in 2022

Photo by Kelly Sikkema – Unsplash


What will change in real estate in 2022?


The year 2022 started five months ago, and there have been changes to the real estate market. Stay up to date with all the news affecting this sector.



  • Unique identification number


Every property now has a unique identification number under which all real estate information is grouped. The Real Estate Identification Number (Número de Identificação do Prédio - NIP) will begin to be used from the second half of 2022 as part of a pilot project. Initially, this project will only cover rural properties, but the goal is to, eventually, cover all properties.


This new measure in the real estate sector comes into force within the framework of the Single Property Desk (Balcão Único do Prédio - BUPi), which allows owners of rural properties to update their data on this platform. This measure aims to identify the owners of land without a cadastre. As a result, the project will first be implemented in municipalities where land without the owner’s details has not been verified. The main objective of this measure is related to the need to identify the owners of properties in areas with an increased risk of fire, such as in Pedrogão Grande, Proença-a-Nova or Góis. The so-called Integrated Landscape Management Zones (Áreas Integradas de Gestão Paisagística - AIGP) will be the beginning of this pilot project. It will begin in the pine forest areas of the country's centre, which were hard hit by the 2017 fires.


The development of this project will always be dependent on the owners' support, and registration on the platform is the only way to ensure the longevity of this database. The project will be extended to all municipalities in the future and will also include urban properties. This measure means that in Portugal, all information about real estate will be collected in a single place and updated in real-time. This is an innovation that will improve land planning in the country.


illustrative image on what's new in the real estate sector in 2022

Photo by Julian Ebert – Unsplash


  • House revaluation will count for IMI



A new proposal for the 2022 state budget will change the municipal property tax (Imposto Municipal sobre Imóveis - IMI) calculation. From now on, house revaluation will be used to calculate IMI and may increase or decrease the amount of tax payable.


Previously, the revaluation only used the Patrimonial Tributary Value (Valor Patrimonial Tributário - VPT) to calculate the municipal tax on transactions (Imposto Municipal sobre as Transações - IMT). With the new changes, the revaluation of real estate also has a direct impact on the IMI. The same applies to the additional property tax (AIMI).


Who can request a new valuation of the property? In addition to the owner, the tax authority or the municipality itself can also request a second valuation. These three entities can do so up to 30 days after receiving the result of the first valuation. If the values of the two valuations differ, a new VPT is calculated, which has implications for the IMT, IRS, IRC and, more recently, IMI. Before applying for a new valuation of their property, the owner needs to calculate well and understand if the values will decrease to pay less tax. Note that VPT revaluation requests are free of charge, and valuations can be done every three years.


illustrative image on the revaluation of houses.

Photo by Towfiqu Barbhuiya – Unsplash


  • Declaration of condominium fees


Another document has been added to the documents required for the sale of the property. Since April 10, 2022, it has been necessary to add a declaration of condominium fees to the other documents. The declaration must include the costs for the share in question to protect buyers from defaults by previous owners.


Who can issue this declaration? The condominium declaration should be drafted by the condominium manager within ten days of the seller's request to be delivered to the buyer or real estate agencies. In the case of a mortgage loan, the bank will also require this document. The condominium manager's declaration is one of the documents you should have with you at the house deed.


What information should be included in the condominium declaration? The statement must include all expenditures associated with the sale of the share. It must include the elements specified in Civil Code Article 1424-A.


The declaration must include the following information:


- Identification of the condominium and the property (property description and cadastre register);

- The amount of all charges encumbering the condominium:

  1. a) Type of encumbrance (ordinary and extraordinary costs, works, etc.).
  2. b) The amount of each cost.
  3. c) Deadlines for payment.
  4. d) Amounts owed and the dates they are due. If there are no debts, the administrator must explicitly states the current owner has no debts.

- Signature of the condominium manager.


illustrative image of several buildings in a city.

Photo by leohoho – Unsplash


  • New right of Pre-emption


In November 2021, the framework law on housing was regulated by Decree-Law 89/2021. The new right of pre-emption aims to grant entities such as municipalities, autonomous regions and the State the concession to acquire residential properties in urban pressure areas. This is the order of pre-emption for public entities, but they cannot override the preference of tenants and housing cooperatives, as was the case before this decree came into force.


Through the IRN platform Casa Pronta you should communicate the intention to sell the property. The conditions and other information about the property are described there. After the advertisement is published, public entities have ten days to come forward. If no party shows interest after this period, the deal can be closed with the buyer. This procedure on the Casa Pronta platform costs the seller €15, which can be paid via a bank reference.


If a public entity shows interest in the property, the seller must guarantee the same conditions of sale that it agreed to when selling to a third party. As a rule, public bodies need their right of pre-emption for cultural heritage protection, rezoning or areas designated for urban regeneration, commonly referred to as ARU.


illustrative image about the new right of pre-emption

Photo by Anna Dziubinska – Unsplash


  • New conditions for mortgage loans


There is news for those seeking a new mortgage loan. The Bank of Portugal has recommended that the maximum payment terms for home loans be limited. This adjustment takes effect on April 1, 2022, to limit the duration based on the applicant's age. This new measure aims to reduce the risk of defaulting on instalment payments and thus contain the negative impact on the financial system.


The most important changes will be felt by those who are over 30 and want to take out a mortgage. Previously, the maximum time limit for paying off a mortgage was 40 years. Those aged 30 to 35 can now only obtain a loan with a maximum term of 37 years, while those over 35 can obtain a house loan with a maximum term of 35 years.


What are the effects of the changes in the maximum terms for mortgage loans? For people over the age of 30, you can expect an increase in monthly payments. By the age of 35, you can expect to pay an average of € 20 more for a maximum term of 37 years. For 40-year-olds, the maximum term is reduced by five years to 35 years. The increase in the monthly instalment is then € 35 more on average.


This measure only affects new mortgage loans. In other words, there will be no changes for loans concluded before 1 April 2022, as the contractually agreed conditions will be maintained.


illustrative image on the new rules on mortgages.

Photo by Pickawood – Unsplash


  • Amendment of local accommodation rules


In April, the Supreme Court decided to change the rules on local accommodation in Portugal. Short-term accommodation for tourist purposes may now no longer be located in permanent residential buildings. This decision was taken on 21 April and unanimously approved by the Supreme Court.


There are still many doubts about this new rule, as this ruling does not change the legal regime of local accommodation. This measure was taken to avoid controversy between owners of permanent dwellings and owners of local accommodation whose dwelling is part of a horizontal ownership regime, i.e., condominiums.


Some cases were brought by the owners of the permanent living apartments, citing more wear and tear on the common parts of the building and higher turnover of unknown people, leading to greater insecurity. These cases have been treated differently by courts. Some local accommodation operations have continued, while others ceased operations in this horizontal property. This new ruling unifies the decisions of the Portuguese courts. The measure may lead to every apartment owner demanding the cessation of activity in their building, triggering even more disputes in court.


The role of the condominium manager is becoming more important, and he will have more competencies. He should mediate conflicts and be as impartial as possible by listening to the opinions of all unit owners.


Casas do Barlavento has several investment opportunities if you are looking for a short-term apartment to invest in without having to worry about the condominium's opinion on local accommodation. In our portfolio, you will find properties located in tourist resorts in the Algarve.


illustrative image of a local accommodation in Portugal.

Photo by Kelcie Papp – Unsplash


The real estate sector does not stop and will always follow world events. It is crucial to keep yourself informed for your transactions to be carried out correctly and without errors. Always opt for professionals in this domain when investing or selling your property. Casas do Barlavento will always be aware of any changes to speed up the buying and selling properties process.