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Tiny Houses in Portugal are still legal ?

Jovan Eco Hause

What happened to tiny houses in Portugal, are they still livable? Here's a guide to the changes in the law and smart solutions


According to the Civil Code of Portugal, Article 2024, tiny houses are considered movable property, and therefore subject to the same legal regulations as other movable property. However, the legality of placing and residing in a tiny house on a specific piece of land is subject to municipal regulations and zoning laws


Simple Tiny house

tiny houses in Portugal

It is important to note that there are different types of tiny houses, and the legal permissions required may vary depending on the type of tiny house being built. For example, if the tiny house is intended to be a private house, it may require a building license, while a tiny house intended for use as a tourist project may require a different type of license.


In addition, the rules and regulations regarding the use of tiny houses may vary depending on the municipality. Therefore, it is essential to consult with the local council before starting any building project. It is also important to use common sense when building a tiny house and ensure that it complies with the relevant laws and regulations.


In summary, building a tiny house in Portugal requires obtaining the necessary planning permission and adhering to building codes. The type of tiny house being built will determine the legal permissions required, and it is important to consult with the local council before starting any building project. It is also important to use common sense and ensure that the tiny house complies with the relevant laws and regulations.


What now? What says Portugal legislation ?


As mentioned above, every construction, regardless of its execution, is subject to the same building regulations from 2024. In general, obtaining a building permit depends mainly on the intended use of the building. Here we consider the question of whether it is possible to live legally in Tiny House? so what does the construction law say ?


House for permanent living - permanently reside licensee


Here it was based on the size of the house, so the type of construction is not important, whether it is a trailer house or a traditional brick house. (besides there are conditions depending on the plot and the region of Portugal) but general:

  • T0 studio house - minimum 35 m2 living area

  • T1 studio house - minimum 52 m2 living area

  • T2 studio house - minimum 72 m2 living area

  • T3 studio house - minimum 91 m2 living area

  • T4 studio house - minimum 105 m2 living area

any other size will not be accepted, so it will not be possible to accept and register such a building. In practice this means that if we build a Tiny house that does not match the size, it will have to be removed even though it is located on your private plot.


House for Business - tourist license


There are no regulations here regarding the size and type of building, so we have no restrictions, which means that our Tiny house will be legal, but...

You have to realize that even for one of our small houses we have to register a tourist form and get a license, currently renting on Airbnb is not enough. Moreover, depending on what project we will register, it will depend on the size of your land and many other factors.


With this guide, building a house in Portugal becomes an achievable dream, with all the tools needed for success.



 

Heading #1: How to register tiny House or small house in Portugal ?


In the past it depended on the type of building, today we have to think carefully about what we really want and whether we will be staying in our house permanently? The second question is when do we want to have our house ready? In a few weeks, months or maybe years? Many of us want to settle in Portugal but it is not as easy as it seems. What if we introduced a new category of home registration like Mix Home incl. residency ?


Mix Home residency what it is ?

Let's imagine that we already have our dream small house in a beautiful area, will you stay there 365 days a year? or maybe you are going on vacation for 2-3 months? and what if during this time your house was taken care of and rented out? You could relax and earn money during this time. This is Mix Home residency, You have a permanent residence in Portugal and at the same time a small house where you live most of the year. We can also add that your house will be completely self-sufficient and will not generate any permanent maintenance costs. How to achieve this and how to register?



Heading #2: Steps of registration


  1. Research the Portuguese Property Market

The first step is to study the real estate market. Portugal offers a wide range of locations, so choosing the right place to build your house is critical. 

On the one hand, you have Lisbon and Porto, which will be full of city life, but can expensive and strict. On the other hand, it might be possible to have a little more dramatic scenery in the Algarve and interior parts, with lower house prices. 


  1. Find the Right Location

A good location is fundamental to building a house in Portugal. It should incorporate today’s preferences together with future valuation. Hence, you need to consider things like:

  • Proximity to schools, hospitals, and shopping centers if you plan a family home.

  • Access to public transport if you’re not planning on driving everywhere.

  • Local climate: for example, Northern Portugal is rainier, which might affect building materials and methods, whereas the south enjoys more sunny days.


  1. Get Professional Help

Navigating the legal and construction landscape requires professional help:

  • Hire a team of legal consultants, like Jovan Eco House to assist with the legal intricacies of land purchase and construction permits when building a house in Portugal.

  • decide on the type of project, if it is to be a mixed house residence, you must choose one of the available projects for tourism or join existing projects such as Orange Eco Land

  • Engage with a reputable renowned real estate agent at PRA who knows the ins and outs of the local market.

  • Moreover, you may consult an architect through Portugal Residency Advisors who can design a home that meets your needs while adhering to local building codes.


  1. Planning for Architecture

If you are building a house in Portugal, plan the design of your home by working closely with your architect.  You can be creative about your living spaces but also ensure that everything is above code and environmentally friendly. Addittionally, you could also discuss materials and techniques suitable for the local climate and landscape.


  1. Planning for Lanscape

Find a landscape architect who will help you with green space and water solutions.

This is one of the very important points in Portugal, the management of waste and sewage on their own land. There are wonderful biological solutions officially allowed in portugal where you don't need to do anything in the next years


  1. Obtaining Preliminary Information

The first step in building a house in Portugal is to obtain the previous information request, otherwise known as “Pedido de Informação Prévia,” from the City Council.

This essential document determines whether you are legally eligible to build a house in Portugal on the plot you’ve picked and explains the specific regulatory conditions.

Suppose the lot is within a planned development (“loteamento”). In that case, this document is not required since, among other things, a construction permit is already included in the legal documents about the development.


  1. Conducting Topographical Survey and Architectural Design

Before you can start building a house in Portugal, you must carry out a plot survey. This survey provides more accurate information concerning the land’s topography, which is very important in creating the architectural design for the building.

Such detailed drawings and site plans show precisely where your house will sit on the plot and its design relative to the surroundings of the architectural project.

These documents, along with proof that water and electricity will be available, are attached. Together, they comprise an application to be submitted for consideration and approval with the City Council.

This will be a massive step because everything that could go wrong will be covered before the construction in Portugal starts.


  1. Submission of Engineering Projects

The topology step is followed by submitting an engineering project, the plans of which are approved after the architectural ones for building a house in Portugal.

They contain detailed plans concerned with the technical execution of construction related to water, sewage, thermal and acoustic insulation, gas supply, communications, and electric systems.

More plans will be required depending on the kind and area of the property. Such projects also have to undergo the City Council’s approval; therefore, the local safety and sustainability levels are assured when they approve engineering designs.


  1. Monitoring the Approval Process

During construction in Portugal, all these steps are supposed to be done with the city council’s approval. These are mostly paperwork, and we will communicate with you in case of specifications or any change in the procedure.

After the City Council officially releases a building permit, the builder will finally inform you that construction in Portugal can start.


  1. Construction Supervision

The process of building a house in Portugal requires a legally qualified civil engineer. The engineer controls every stage of the building process so that he may realize it is conducted as validly approved and follows the laws in place.

He will also be responsible for the future certification of the construction works, and a team of experts will accompany him. 

Such a team ensures everything, from designing the structure to picking up your house’s keys, is implemented under stern quality and safety measures that would eventually lead to the successful conclusion of your home.



Heading #3: Eco-Friendly building, materials and Insulation


Sustainability is a key consideration for many people who choose to live in tiny houses. Using eco-friendly materials and insulation can help to reduce the environmental impact of the dwelling. In Portugal, there are many options for sustainable building materials, such as cork and bamboo, which are both renewable and locally sourced.


Insulation is also an important consideration, especially in a country like Portugal where temperatures can be extreme. Using high-quality insulation can help to keep the dwelling comfortable and energy-efficient. Additionally, using passive solar design principles can help to maximize natural light and reduce the need for artificial lighting.


an example solution could be a Mountain Eco passive house using LSF technology with a ventilated facade in different scale.




By considering customisation and local craftsmanship, as well as eco-friendly materials and insulation, tiny house owners in Portugal can create a comfortable and sustainable dwelling that meets their specific needs.



Heading #4: Questions and smart answers


What are the zoning regulations for tiny houses in Portugal?

Zoning regulations for tiny/small houses in Portugal vary depending on the location. In some areas, tiny houses are allowed as long as they comply with the local zoning regulations. In other areas, they may not be allowed at all. It is important to check with the local authorities to determine the zoning regulations for the specific area where you plan to build or park your tiny house. It is best to consult the size and materials of which the house will be built with an official architect office. Smart solution is a choice house which already have approval in Portugal.


How much time it takes build houses in Portugal?

If you’re planning on building a house in Portugal, it typically takes about one to two years to complete, from starting the design to moving in. This timeframe includes everything from drawing up plans to actual construction.

‘Key-in-Hand’ Option

Building a house in Portugal usually takes one to two years, from the start of designing to the end of moving into the house. This time covers everything: putting forward plans and general construction. The ‘key-in-hand’ is the most direct way of building a house in Portugal. In this procedure, most of the final decisions on the house’s design and obtaining permissions are done in advance for you. It’s still a personal choice of interior finishes and materials but without the burden of starting from scratch.


‘Key-in-Hand’ off grid Option

A new trend in Portugal is building off grid houses on rural land. The latest change in regulations simplifies the construction of houses in areas outside the city where it is basically empty and there is no infrastructure. Here comes Jovan Eco House who specializes in building eco houses where it seems impossible. as a result you get a self-sufficient house in an amazing landscape


Can I permanently reside in a tiny house on my own land in Portugal?

Yes, it is possible to permanently reside in a tiny house on your own land in Portugal.

Here is coming conclusion of Mix House Residency. However, you will need to obtain the necessary building permits and comply with local zoning regulations and project. To avoid many problems, smart solution is to build your house in an existing project, such as Orange Eco Land. In this case, you can register your residence on the basis of the general project, regardless of the type of registration of your house you choose.


What is the process for legally establishing a tiny house as a residence in Portugal?

The process for legally establishing a tiny house as a residence in Portugal involves obtaining the necessary building permits and complying with local zoning regulations. This includes submitting building plans, obtaining approvals from the local authorities, and ensuring that the construction meets all safety and building code requirements. Unfortunately you can't just build a mobile home or a container home. Each construction must be done by a Portuguese licensed construction company that will take care of all the documents. Smart solution is a find a construction company that will install the house you chose from the manufacturer


Are there any specific building codes for constructing a tiny house in Portugal?

Yes, there are specific building codes for constructing a tiny house in Portugal. These codes vary depending on the location and size of the tiny house like we present above. It is important to work with a licensed and experienced builder who is familiar with the local building codes and regulations. Smart solution it is best to choose a house that meets the size requirements as described above, then you will be flexible as to the direction of registration


Is it possible to set up a tiny house as a rental property in the Portuguese market?

Yes, it is possible to set up a tiny house as a rental property in the Portuguese market. However, you will need to comply with local zoning regulations and obtain any necessary permits. It is important to note that rental properties are subject to additional regulations and taxes. Also is a question of renting process, platform what you will use, check in, cleaning etc. Smart solution is a build more Tiny houses on one property and connect to one project and one rental system even you will living there permanently. Jovan Eco House deals with such solutions, so if you have any questions, write


How is Taxes and Fees ?

One cannot estimate only the cost of the land and building construction when there is a journey called building a house in Portugal, for many taxes and fees are involved.

The construction cost can vary, but it can be as low as €300 to purchase a square meter in Portugal. From there, quite a lot of space is usually available to spend based on your budget and preference.

Understanding the Tax Structure

As you move forward with building a house in Portugal, you’ll encounter several essential taxes:

  1. IMT (Property Transfer Tax): This is applicable when you purchase land. The rate varies depending on the property’s value and location. For rural properties: Flat Rate: 5% on the entire value.  

  2. VAT (Value Added Tax): Applied to construction services and materials, this is a significant part of your budget planning. In Portugal most use for construction is 23 %

  3. Stamp Duty: Paid at the time of the property transaction.

  4. Other Fees: These can include legal fees, notary fees, and administrative costs involved in registering the property.


Smart solution is a sign develop contract with developer which will buy property for you and build whatever house on it. Once house will be ready developer will transfer the plot of land and the house to you on a single notarial deed, of this case you will pay only one IMT (Property Transfer Tax)

The Property Transfer Tax (IMT) is a tax paid in Portugal when purchasing a property. The IMT rates vary depending on the type of property (urban, rural), its purpose (primary residence or secondary/investment), and the value of the property.


IMT Rates Table (2024):

For properties intended as a primary residence:

Property Value (€) Rate (%) Deductible Amount (€)

Up to 97,064 Exempt 0

97,064 – 132,774 2.00% 1,941.28

132,774 – 181,034 5.00% 5,896.79

181,034 – 301,688 7.00% 9,581.68

301,688 – 603,323 8.00% 12,118.08

Above 603,323 Flat 6% on the entire value 0

For properties not intended as a primary residence (e.g., secondary or investment):

Property Value (€) Rate (%) Deductible Amount (€)

Up to 97,064 1.00% 0

97,064 – 132,774 2.00% 970.64

132,774 – 181,034 5.00% 4,925.15

181,034 – 301,688 7.00% 8,610.04

301,688 – 603,323 8.00% 11,146.44

Above 603,323 Flat 6% on the entire value 0



What are the legal requirements for setting up a tiny house community in Portugal?

The legal requirements for setting up a tiny house community in Portugal vary depending on the size and location of the community. It is important to work with a legal professional who is familiar with the local regulations and can help you navigate the process. Some of the requirements may include obtaining permits, complying with zoning regulations, and ensuring that the community meets all safety and building code requirements. There are also regulations regarding the division of land on which you want to establish a community and you need to remember about the social aspect of the entire project. Smart solution is create philosophy of your community, you can use the existing universal Philosophy of life in a small group


Good Luck


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