Minister of Infrastructure and Housing, Miguel Pinto Luz, has announced today that he is discussing with banks the flexibility of access to housing credit and construction capital.
In a statement before journalists that did not allow questions, Pinto Luz said: “We are working with the Portuguese Banking Association and the banks to find new products that make access to housing credit more flexible, and also more flexible for those who need capital for construction.”
The minister also added that Luís Montenegro’s government intends to introduce more measures aimed at addressing the housing crisis, in addition to those approved today and last week.
“We are finalising measures to regulate the real estate brokerage sector, the housing emergency fund, evictions, revisiting the NRAU (New Urban Leasing Regime), undivided inheritances, public guarantees to finance PPPs (public-private partnerships), and how we will finance this private and public effort around affordable housing,” he said, saying the news measures would be presented by December.
The Council of Ministers today approved, the increase in IRS deductions for rent expenses to €900 euros next year and to €1,000 next year a reduction from 25% to 10% of the tax for owners who charge moderate rents, a VAT rate of 6% for housing construction whose sales value is around €648,000 and also a VAT rate of 6% for leases up to €2,300.
There were also measures penalising house purchases by foreigners. Speaking in the middle of the Council of Ministers today, prime minister Luís Montenegro announced the increasing of IMT – the municipal tax on property purchases – for non-residents in Portugal, excluding emigrés.
Sources: LUSA/ SIC
