A note from Steve
A buyer of mine is under offer on a new-build apartment here, and this week the developer finally sent through the full spec: fittings, delivery date, payment terms. One line came back blank. IMT timing.
It's worth being precise about this because I still hear buyers repeat the old numbers. Since 25 May, every non-resident buying residential property in Portugal pays a flat 7.5% IMT, no progressive brackets, no reductions. It isn't a future change and there's no deadline to beat, it already applies to any deed signed from that date onward. My buyer's completion is pencilled in for October, so the question we're actually working through with his lawyer isn't timing, it's whether either of the two carve-outs fits his plans.
If you're non-resident and haven't signed yet, that's the conversation to have with your lawyer this week.
Steve
The Number: 7.5%
The flat, no-exceptions IMT rate every non-resident buyer has paid since 25 May 2026
Decree-Law n.º 97/2026 was published 20 May, and this particular measure took effect immediately, on 25 May, with no transitional period. (There is a 1 September date elsewhere in the same law, but it belongs to a different part of the package, the accessible-rental and institutional-investment schemes, not the buyer surcharge.) Since 25 May, any non-resident buying urban residential property pays a flat 7.5% IMT, no progressive brackets, no reductions, no primary-residence relief. It applies at the deed, regardless of when the promissory contract was signed. Two carve-outs exist: become a Portuguese tax resident within two years of the purchase, or commit the property to long-term letting at a moderate rent (capped at €2,300 a month, tenancy signed within six months of purchase, let for at least 36 of the first 60 months). Miss both, and 7.5% is the number, full stop.
On a €600,000 purchase that's €45,000 in IMT at the flat 7.5%, versus roughly €35,300 (about 5.9%) under the old progressive scale that applied to the same non-primary-residence purchase before 25 May, before stamp duty and legal fees either way. That's an extra €9,700 straight to the flat rate.
What I'd do with this: if you're non-resident and haven't signed the deed yet, budget for 7.5% as the baseline, not a possibility. Then ask your lawyer whether either carve-out genuinely fits your plans, that's the only lever left to pull.
Source: Decreto-Lei n.º 97/2026 of 20 May 2026 (Diário da República); technical note from the Ordem dos Contabilistas Certificados; Andersen Portugal legal alert, 27 May 2026. General commentary, not tax advice. Confirm your own position with a lawyer or accountant before acting.
Working through the 7.5%, or just starting to look?
Either way, tell me where you are. If you're under offer, I can walk you through whether becoming a tax resident or a long-let commitment genuinely makes sense for your numbers. If you're only starting to look, I'll tell you what's actually available at your budget in Lagos, Luz, Burgau or further west, no sales pitch.