The essentials
Short-term rental regulation in Portugal is governed by Decree-Law 128/2014, republished by Decree-Law 76/2024 which has been in force since 1 November 2024. This amendment reversed the restrictions of the Mais Habitação programme, making registrations permanent and transferable with the property, and delegated detailed regulatory powers to municipalities, which can designate containment zones and sustainable growth zones by parish. To operate legally, operators must register with the RNAL (Portugal’s national short-term rental registry), hold civil liability insurance with a minimum cover of €75,000 per claim, display the mandatory identification plaque, provide the guest information booklet, and report guests to AIMA via the SIBA system. Rental income is subject to personal income tax (IRS), and operators with annual turnover above €15,000 must also register for VAT.
Short-term rental legislation in Portugal is built on a single piece of legislation: Decree-Law 128/2014 of 29 August, republished in full by Decree-Law 76/2024 of 23 October, in force since 1 November 2024. This legislation defines the legal framework for the activity, the requirements for establishments, operators’ obligations, and municipal powers.
This guide covers the complete legal picture: what the law says, what changed with DL 76/2024, what obligations are in force, and what happens in cases of non-compliance.
The legal framework for short-term rentals
DL 128/2014 defines short-term rental (alojamento local — AL) as the provision of temporary accommodation services to tourists, for remuneration, in establishments that do not meet the legal requirements for tourist developments. The distinction matters: an AL is not a hotel. It is subject to registration, not a tourism establishment licence.
The law defines five types of short-term rental:
| Type | Description | Maximum capacity |
|---|---|---|
| Moradia (villa) | Standalone residential unit | 9 rooms / 27 guests |
| Apartamento (apartment) | Autonomous unit in a building | 9 rooms / 27 guests |
| Estabelecimento de hospedagem (guesthouse) | Group of rooms or units | 9 rooms / 27 guests |
| Quartos (rooms) | Rooms in the owner’s primary residence | Max. 3 rooms |
| Hostel | Includes dormitories; specific requirements | No capacity limit |
The maximum capacity of 27 guests was reduced by DL 76/2024 (previously 30 guests). Up to 50% of fixed beds may be supplemented by convertible or pull-out beds.
For hostels in buildings under the horizontal property regime (condominiums), the prior notice must include the building’s assembly minutes authorising the installation.
What changed with Decree-Law 76/2024
Decree-Law 76/2024, in force since 1 November 2024, introduced the sixth amendment to DL 128/2014 and repealed the most restrictive measures of the “Mais Habitação” programme (Law 56/2023). The changes with most impact for operators:
Transferable registration
Short-term rental registrations are no longer personal and non-transferable. Since November 2024, the RNAL (Registo Nacional de Alojamento Local — Portugal’s National Short-Term Rental Register) registration number follows the property when ownership changes, without requiring a new prior notice process. This increases the value of properties with an active registration, as the buyer inherits both the property and its registration history.
In containment zones, municipalities may impose conditions on transferability. Mandatory exceptions apply: inheritance, gratuitous transfer between spouses, descendants and ascendants, and division of assets upon divorce or dissolution of civil partnership.
End of Mais Habitação restrictions
The “Mais Habitação” programme (Law 56/2023) had introduced three measures that significantly affected the sector:
- 5-year validity period for existing registrations, requiring renewal
- National suspension of new apartment registrations
- Extraordinary levy on short-term rental operations (CEAL)
All three measures were repealed by DL 76/2024. Registrations returned to indefinite duration, new apartment registrations are once again permitted (subject to municipal regulation), and the extraordinary levy was eliminated.
Municipal regulatory powers
Rather than uniform national regulation, DL 76/2024 returns to municipalities the power to regulate short-term rentals in their territory. Municipalities with more than 1,000 registrations must decide within 12 months whether to adopt a municipal regulation. During that period, they may suspend new registrations.
Municipalities that adopt a regulation may appoint a “short-term rental ombudsman” (provedor do alojamento local), with mediation functions between operators, building residents and the municipality.
Containment and sustainable growth zones
Municipalities may designate two types of zone by parish or geographic area:
- Containment zones — where AL density justifies restrictions on new registrations. In containment zones, the municipal opposition deadline rises from 60 to 90 days.
- Sustainable growth zones — where additional requirements apply regarding conservation state (minimum average condition) and energy efficiency (minimum class D).
These designations must be reassessed every 3 years (previously 2 years). To check whether a property is in a containment zone, see the dedicated articles on containment zones in Porto and containment zones in Lisbon.
Condominiums: new opposition thresholds
The condominium opposition regime was reformed. Two scenarios apply:
| Situation | Required majority |
|---|---|
| Prohibit short-term rental across the entire building | Two-thirds of the building’s permilagem (ownership share) |
| Oppose a specific unit | More than half of the permilagem + proof of repeated and proven disturbance |
When a condominium opposes a specific unit, the municipality has 60 days to conduct a negotiation process assisted by the short-term rental ombudsman. Only if no agreement is reached will the registration be cancelled. For more detail on condominium rights and obligations, see the guide on short-term rentals in condominium buildings.
Summary of key changes
| Issue | Before (DL 128/2014 + Law 56/2023) | After (DL 76/2024, from 01/11/2024) |
|---|---|---|
| Registration transferability | Personal and non-transferable | Transferable with the property |
| Registration validity | 5 years (renewable) | Indefinite duration |
| New apartment registrations | Suspended nationally | Permitted (subject to municipal regulation) |
| Extraordinary levy (CEAL) | Applicable | Repealed |
| Maximum capacity | 30 guests | 27 guests and 9 rooms |
| Reassessment of containment areas | Every 2 years | Every 3 years |
| Condominium prohibition (full building) | Simple majority of permilagem | Two-thirds of permilagem |
Mandatory legal requirements
DL 128/2014 sets out obligations applicable to all short-term rental establishments, regardless of type. These fall into five areas:
RNAL registration
Registration is mandatory before welcoming the first guest. It is completed through a prior notice (comunicação prévia) submitted at the Balcão Único Eletrónico (BUE) on ePortugal.gov.pt. The RNAL registration number is assigned automatically upon submission. The complete guide to short-term rental registration in Portugal (RNAL) covers each step, the required documents and the municipal opposition deadlines.
Civil liability insurance
Mandatory civil liability insurance with a minimum coverage of €75,000 per claim is required under Portaria 248/2021 of 29 June. For properties in buildings under the horizontal property regime, fire insurance is also required. Proof of insurance must be submitted to the municipality via the BUE. Any renewal or change must be communicated within 10 days. The guide to short-term rental insurance in Portugal covers the requirements and the submission process.
Identification sign (placa)
All short-term rentals — except standalone villas — must display an identification sign at the entrance under Portaria 262/2020 of 6 November. Specifications are set by law: transparent crystal acrylic, 10mm thickness, 200×200mm, Arial typeface in Pantone Blue 280, installed 50mm from the wall with stainless steel screws. The guide on short-term rental signage in Portugal covers requirements, measurements and where to purchase the sign.
Guest information booklet and complaints book
The guest information booklet is mandatory under Lei 62/2018 of 22 August and must be available in Portuguese, English and the predominant language of guests. The complaints book is required under Decree-Law 156/2005. The guide to the guest information booklet covers the mandatory content, required languages and accepted formats.
Guest reporting via SIBA
Operators must report each guest’s identification details to AIMA (Agência para a Integração, Migrações e Asilo — Portugal’s agency for integration, migration and asylum) through the SIBA system (Sistema de Informação de Boletins de Alojamento) within 3 working days of check-in. This obligation replaced the previous requirement to report to SEF (dissolved in October 2023).
Taxation: the general framework
Short-term rental income is subject to personal income tax (IRS). The most common classification is Category F (property income), when the activity is not conducted in a business context. Operators with a more regular or business-like activity are taxed under Category B. VAT exemption applies to operators with annual turnover of €15,000 or below; above this threshold, the standard VAT regime applies at 6% on accommodation services. The activity code (CAE) required to register a short-term rental is 55201 — the guide to the CAE code for short-term rentals in Portugal explains how to activate it with the Portuguese Tax Authority.
Enforcement and penalties
Enforcement of the short-term rental regime is shared between three bodies: ASAE (Portugal’s Food and Economic Safety Authority), the local municipality, and the Autoridade Tributária (AT — Tax Authority). ASAE and the municipality oversee compliance with operational obligations; the AT oversees fiscal compliance.
Non-compliance with the short-term rental regime can result in sanctions applied by ASAE or the local municipality, including closure of the establishment and suspension of the activity for up to 2 years, under Article 24 of Decree-Law 128/2014.
What you need to know
- Primary legislation: DL 128/2014, republished by DL 76/2024, in force since 1 November 2024.
- Registration: Mandatory before opening. The RNAL number is assigned automatically upon submission of the prior notice via ePortugal.gov.pt.
- Transferability: Since November 2024, the registration follows the property when sold — no new prior notice required.
- Insurance: Mandatory civil liability insurance, minimum €75,000 per claim (Portaria 248/2021).
- Mais Habitação repealed: The 5-year validity period, the national suspension of registrations and the CEAL levy were all eliminated in November 2024.
From legislation to operations
The short-term rental legal framework in Portugal is more stable today than it was between 2023 and 2024, when the Mais Habitação restrictions created significant uncertainty in the sector. With DL 76/2024, registrations returned to being permanent and transferable, and regulation shifted to municipalities, which must now deliberate expressly on local rules.
For anyone looking to open a short-term rental in Portugal, the first step is RNAL registration — but legal compliance does not end there. Insurance, signage, the guest information booklet and guest reporting are ongoing obligations that require attention throughout the operation.
At Host Wise, we accompany the owners we manage from initial registration through to ongoing legal compliance. If you would prefer to delegate full management of your short-term rental, get in touch for a free property assessment.
Frequently Asked Questions
Yes. Since 1 November 2024, under Decree-Law 76/2024, the RNAL registration number follows the property when ownership changes, without the need for a new prior communication. In containment zones, municipalities may impose conditions on transferability.
Civil liability insurance with a minimum cover of €75,000 per claim is mandatory, under Portaria 248/2021. For apartments in a building with horizontal ownership, fire insurance is also required. Proof of insurance must be submitted to the municipality via BUE, with any renewals communicated within 10 days.
Containment zones are areas designated by municipalities where short-term rental density justifies restrictions on new registrations. In containment zones, the municipal opposition period for new registrations rises to 90 days (instead of 60). Municipalities must reassess these designations every 3 years.
Portuguese law recognises five categories: detached house (moradia), apartment, lodging establishment including guesthouses, rooms in the owner’s primary residence (maximum 3 rooms), and hostel. All categories except rooms have a maximum capacity of 9 rooms and 27 guests.
DL 76/2024, in force since 1 November 2024, reversed the Mais Habitação programme restrictions: it removed the 5-year validity period for registrations, reopened new apartment registrations and abolished the extraordinary CEAL tax. It also made registrations transferable with the property and delegated detailed regulation to individual municipalities.
It depends on annual turnover. Operators with annual revenue of €15,000 or below are exempt from VAT. Above this threshold, the standard VAT regime applies at 6% on accommodation services. When in doubt, consult a certified accountant.