Members of Portugal’s government and MPs from parties backing a reform of the rental housing market own 1,039 properties worth a total of around €55.6 million. The figures come from an investigation by Público, which examined asset and income declarations filed with the Constitutional Court. The investigation covers 220 politicians: government members and MPs from the ruling Social Democratic Party (PSD), led by Prime Minister Luís Montenegro, its junior coalition partner CDS-PP, the Liberal Initiative (IL) and the far-right Chega party. The 60 members of the government account for 436 properties worth around €23 million. Only two of them declared no property holdings.
The government’s biggest property owner is Marisa Garrido, Secretary of State for Public Administration, with 62 properties, including five urban properties. But the prime minister is not far behind: Luís Montenegro owns 55 properties, six of them urban. I wonder if any expats are renting a flat from the prime minister. A total of 41 politicians declared rental income amounting to €807,000. According to ECO, the actual figure may be higher, as rental income is sometimes reported under a different heading in the declarations. Another 31 politicians hold stakes in 43 property-related companies. Most declarations were filed in 2025, with income figures relating to 2024.
What the reform changes
Parliament approved the government’s rental law bill in its first reading on 30 September. The PSD, IL and CDS-PP voted in favour, Chega abstained, and all left-wing parties voted against. The bill is now being revised by the relevant parliamentary committee and may still change.
The reform largely expands landlords’ rights. Under the proposed legislation, landlords would be able to evict tenants after two months of unpaid rent instead of three, as well as if a tenant pays more than eight days late on four occasions within a year. Eviction proceedings would be shortened. Landlords would be able to refuse to renew a tenancy agreement by giving advance notice, without the current minimum three-year term. The existing 2% cap on rent increases when a new contract is signed with the same tenant would be scrapped, except for tenants over 65, people with disabilities and those earning less than €64,400 a year. Landlords would be able to demand three months’ rent in advance instead of two, and security deposits would no longer be capped at two months’ rent.
Older contracts signed before 1990, often with very low fixed rents, would be brought under the general rules. Rents could rise for tenants earning more than €64,400 a year. At the same time, an emergency housing fund would be created for families at risk of losing their homes.
Why the reform?
The government argues that landlords are reluctant to rent out their properties because they fear it can take months to evict tenants who fail to pay. It believes more flexible rules will bring more homes onto the market and help curb rising rents. Lisbon Mayor Carlos Moedas has backed this argument. Property developers’ associations have welcomed the reform, while Lisbon’s landlords’ association says it does not go far enough in addressing older tenancy agreements.
Left-wing parties and Lisbon’s tenants’ association argue that the reform makes evictions easier and leaves renters with less housing security. To prevent the bill from failing, the PSD reached an agreement with Chega to soften some of its provisions: limiting demands for advance rent and security deposits, protecting older tenants with legacy contracts, strengthening the emergency housing fund and distinguishing deliberate non-payers from people who cannot afford rent because of sharp increases.
Meanwhile, protesters demanding the right to housing are setting up tent camps in Lisbon and Porto. A tent camp in Porto was recently forcibly dismantled, after which the protest moved to Lisbon. The discontent goes beyond the proposed rental law: people are protesting against rising housing costs and the government’s broader policies. Their demands also include scrapping the new rental rules, rent controls and the construction of social housing.
