New move from the EU to address the housing crisis: Airbnb, empty house and second home rules may change in Portugal

The European Commission has proposed a new legal framework that will make it easier for local governments to intervene in short-term tourist rentals, long-term vacant residences and some second home uses in cities and regions where the housing crisis has worsened.

For Portugal, the regulation is especially important due to regions such as Lisbon, Porto and Algarve, where housing prices and tourist accommodation demand are high.

But there is a critical distinction:

Brussels hasn't banned Airbnb, hasn't introduced a new EU tax on second homes, and hasn't given municipalities the power to seize homes from today.

The text presented by the European Commission is still a legislative proposal. It needs to be negotiated by the European Parliament and the EU Council.

Why is the EU involved in the housing market?

Housing policy has traditionally been the province of member states and local authorities.

However, as the economic and social effects of the housing crisis in Europe grew, Brussels began to become more directly involved in the issue.

According to Eurobarometer data provided by the European Commission, more than half of Europeans living in cities see housing as an urgent problem where they live.

The commission also argues that the housing crisis is not just a social issue.

Labor force as high housing costs make it difficult for people to move to other cities for work or travel to certain regions for education It can also affect the mobility and competitiveness of the European economy.

One of the first targets is short-term rentals

One of the most notable areas of the new framework is short-term accommodation.

The most well-known equivalent in Portugal is alojamento local (AL).

The Commission aims to create legal room for local governments in areas with high housing pressure to impose stronger restrictions if they can show that short-term rentals seriously reduce the housing supply.

However, this does not mean an automatic ban.

In order to impose restrictions, municipalities will need to be able to show that there is real pressure on the housing market and that the measure to be taken is necessary and proportionate.

Existing alojamento local licenses will not be automatically canceled

One of the most important questions for those currently operating AL in Portugal is what the current licenses will be.

The proposal does not automatically eliminate existing short-term rental activity.

New restrictions need to be compatible with principles such as legal security, legitimate expectations of existing businesses and access to court.

Therefore, a comment such as "the EU is canceling existing Airbnb licenses" is not correct.

The main change is that in future municipalities in areas with high housing pressure will be able to use a clearer European legal basis when intervening in new AL activities or uses. it could be.

No EU tax on empty houses

Another controversial topic of the proposal is residences that have not been used for a long time.

The European Commission acknowledges that leaving homes vacant for long periods of time in areas with a housing shortage could aggravate the supply problem.

However, the proposal does not create a new EU-wide empty homes tax.

Taxation authority remains primarily at the national level.

In response, the Commission encourages member states to develop tax incentives or financial measures that can bring long-term unused housing back into the market.

Portugal already has a system where increased IMI can be applied for real estate classified as “prédio devoluto” under certain conditions.

The new European approach could create a broader framework for such policies, but it does not automatically create a new tax in Portugal.

Not every empty house can be considered "devoluto"

One of the important safeguards in the commission's approach is to take into account why the house is not used.

If there are reasons such as a person temporarily living elsewhere due to work or education, health problem, addiction or social emergency, it cannot be automatically assumed that the house is kept vacant speculatively.

Therefore, the target is not short-term and justified vacancies, but long-term disuse that reduces market supply in areas where there is a housing shortage. situations.

Second homes are also in the discussion

The proposal also opens a new discussion in terms of second homes and holiday homes.

Buying a second home is not banned across the EU.

However, in regions where housing pressure is severe, if national law allows, there is room for the competent authorities to impose restrictions on some real estate acquisitions or uses that do not serve the purpose of primary residence.

Here too, an outright ban does not have to be the first option.

The commission's approach calls for considering lighter tools, such as numerical limits, protections for existing property owners, exemptions or financial incentives, before imposing a more severe restriction.

What could it mean for Lisbon, Porto and the Algarve?

The most important potential impact of the new regulation for Portugal may occur in regions where housing pressure is intense.

The relationship between short-term tourist rentals and housing supply in the central areas of Lisbon and Porto has been a subject of political debate for years.

In the Algarve, the balance between tourism, second homes, foreign demand and local people's access to housing is discussed in a different way.

However, the European Commission has not automatically declared these areas "under housing pressure".

In order for a region to impose restrictions using the new framework, it will need to demonstrate the existence of the problem with local data.

Therefore, in Lisbon, Porto or the Algarve, It is wrong to conclude that new bans will begin.

Rent increases are not the subject of this regulation

There is another important distinction for tenants in Portugal.

The new European regulation is not a legislation that determines general rent increases or rent ceilings.

Rent update coefficients, general property taxes, inheritance and donation rules, general zoning regulations and public housing supports largely remain under national jurisdiction.

For example, in Portugal, the system of updating 2027 rents up to 2.56 percent is independent of this European proposal.

Offer not yet valid

This is the most important information at this point.

The text announced by the European Commission is not a final and effective EU law.

The proposal will be discussed in the ordinary legislative procedure by the European Parliament and the EU Council representing the member states.

The text may change during this period.

Once the final regulation is accepted and published, its implementation date will be finalized.

Therefore, today in Portugal there is no new ban that starts directly for a homeowner, AL operator or second home owner.

So, will this regulation solve the housing crisis?

The Commission's own approach also acknowledges that this alone will not be enough.

Limiting short-term rentals, bringing vacant houses to the market or some measures regarding second homes may enable the existing housing stock to be used more effectively in certain regions. can provide.

However, these do not produce new housing.

In order to increase the housing supply in Portugal, other problems such as new construction, rehabilitation of existing buildings, developable land, licensing capacity of municipalities, workforce in the construction sector and public housing investments need to be solved.

Therefore, rather than being a package that will solve the entire housing crisis, the new EU regulation should be seen as a legal framework that can provide local governments with stronger intervention tools, especially in cities where housing pressure is high.

What should those who own a home or run an AL business in Portugal do now?

For now, there is no new action that needs to be done directly.

Existing Portuguese legislation and municipal rules remain valid.

There are two main steps to follow:

First of all, the changes that the European Parliament and the EU Council will make to the proposal.

Then what local measures the Portuguese government, and especially the municipalities in Lisbon, Porto or the Algarve, will bring forward using the new European framework.

Therefore, at this stage, it is not correct to say "the EU is banning Airbnb" or "a new tax is coming on second homes".

However, if the proposal becomes law in its current form, in Portuguese regions where the housing crisis is severe, municipalities will have a stronger legal mandate than they do today regarding AL, homes that have been vacant for long periods of time, and some residential uses that are not for primary residence purposes. It is possible to have a ground.

Resources

European Commission — Representation of Portugal — 9 September 2026 — “União Europeia cria novas regras para ajudar os órgãos de poder local a enfrentar a crise da habitação”

European Commission — Affordable Housing Act legislative proposal, September 2026

ECO — Luís Leitão, 10 September 2026 — “O que pode mudar na habitação com a proposta de Bruxelas”

ECO — Alexandre Batista, September 9, 2026 — “Comité das Regiões saúda Lei Europeia para conter arrendamento de curta duração e negócios imobiliários”