The Government sets the income ceilings for affordable rental housing by municipality

Ordinance No. 454/2026/1, of October 13, sets the maximum rent limits per typology applicable in each municipality within the scope of the Simplified Affordable Rental Regime (RSAA). The regulation is published in the Diário da República, 1st series, no. 198, of October 13, 2026, and is signed by the Minister of State and Finance, Joaquim Miranda Sarmento, and the Minister of Infrastructure and Housing, Miguel Martinez de Castro Pinto Luz.

The ordinance regulates the provisions of paragraph 1 of article 4 of annex III to Decree-Law No. 97/2026, of May 20, which approved the RSAA with the aim of promoting public and private offers of residential rentals with rents below market values. Under this regime, the monthly rent of the covered contracts must be equal to or lower than the maximum limit per typology, calculated based on 80% of the median rent values disclosed by the National Institute of Statistics, I. P. (INE, I. P.) for the municipality where the property is located.

The calculation also took into account the gross area limits per typology of the controlled-cost housing regime and the values set under paragraph 1 of article 2 of Ordinance No. 176/2019, of June 6. The annex to the ordinance lists the values municipality by municipality, for typologies T0 to T5 and above T5.

Rent ceilings: from 224 euros to 2,066 euros per month

The values vary significantly between municipalities. Some examples from the annex:

• Lisbon: T0 €785, T1 €1,006, T2 €1,309, T3 €1,612, T4 €1,763, T5 €2,066.
• Porto: T0 €652, T1 €866, T2 €1,118, T3 €1,341, T4 €1,510, T5 €1,715.
• Cascais: T0 €752, T1 €964, T2 €1,254, T3 €1,544, T4 €1,690, T5 €1,980.
• Oeiras: T0 €703, T1 €901, T2 €1,172, T3 €1,443, T4 €1,579, T5 €1,850.
• Almada: T0 €612, T1 €784, T2 €1,021, T3 €1,257, T4 €1,375, T5 €1,612.
• Funchal: T0 €620, T1 €794, T2 €1,034, T3 €1,273, T4 €1,393, T5 €1,632.
• Abrantes: T0 €265, T1 €340, T2 €442, T3 €545, T4 €596, T5 €698.

The minimum value for T0 is €224, applicable to dozens of municipalities, among which Bragança, Castelo Branco (€244), Fafe, Lamego, and Vila Real de Santo António are not included in this list. For typologies above T5, the limit is calculated as T5 + n × €50, €75, €100, or €150, depending on the municipality, where n is the number of bedrooms above five.

10% increases for parking and energy efficiency

The determined values may be increased by cumulative additions:

• 10%, if the rental includes private parking.
• 10%, if the leased property has an energy performance level of A or higher, proven by a valid certificate on the date the contract is signed.

In the case of residential units, the limit is defined by the formula Vref(ph) = Vref(h) × Auq/Aut, in which the useful area of the room is increased by 25% when it has private sanitary facilities.

Annual review, IHRU platform and revocation of the 2019 ordinances

The limits must be reviewed periodically by amending the ordinance, with effects as of January 1st of the following year. In years without a review, they are automatically updated on January 1st by the factor provided for in Article 24 of the NRAU published in the previous year.

The disclosure is the responsibility of an electronic platform managed by the Institute of Housing and Urban Rehabilitation, I. P. (IHRU, I. P.), which provides a calculation tool for the increases and limits applicable to residential units. IHRU, I. P. also promotes interoperability protocols with the Institute of Registries and Notaries, I. P. (IRN, I. P.), INE, I. P., the Energy Agency (ADENE) and municipalities and intermunicipal entities.

The ordinance revokes Ordinance No. 175/2019, Ordinance No. 176/2019, and Ordinance No. 177/2019, all dated June 6. It enters into force on the day following its publication, but the revocatory effect takes place on September 1, 2026; between that date and the entry into force, the values of Ordinance No. 176/2019 apply.

Impact for landlords and tenants

The regulation defines the price framework that landlords and developers must respect to access the RSAA tax incentives — IRS and IRC exemptions on property income and IMT and IMI exemptions — and provides tenants with an objective reference for the maximum value to be paid per typology in their municipality. The revocation of the 2019 ordinances and the automatic annual update anchored in the NRAU provide predictability for both existing and new contracts.

Source: Diário da República, 1st series, no. 198, of October 13, 2026, section I, page 1 (official reference: Ordinance No. 454/2026/1).