Understanding Temporary Accommodation in Portugal

What Are Short-Term Rentals?

Temporary accommodation in Portugal, also known as short-term rentals, refers to self-contained flats rented for brief periods. Unlike annual rentals in the unfurnished apartment market, temporary accommodations are typically well-furnished and can be considered alternatives to hotels. These properties are commonly used for relocation and holiday renting, providing a comfortable base while you settle into your new life in Portugal.

Short-term rentals are particularly valuable for newcomers who need time to explore different neighborhoods and understand the local housing market before committing to a long-term lease. They offer the flexibility to experience daily life in Portugal while maintaining the comfort and privacy of having your own space.

Why Choose Temporary Housing When Moving to Portugal?

For those planning to move to Portugal, especially from abroad, securing housing is a major decision that comes with numerous challenges. Finding the ideal property can be difficult due to questions about prices, regions, and the search process. It is not easy to rent an apartment in Portugal while still in your home country, making temporary accommodation an essential stepping stone.

One recommended approach is to travel to Portugal beforehand to view possibilities in person. However, if this isn’t possible, renting temporary accommodation upon arrival allows you time to see suitable housing options and sign a long-term contract. Platforms like Uniplaces or Airbnb provide a good way to ensure you have a comfortable place to stay while you look for medium or long-term rentals.

Reserving a temporary apartment for at least 30 days is suggested to provide enough time for property viewings and to make informed decisions about your permanent housing situation. This approach reduces the pressure of finding immediate long-term accommodation and allows you to make choices based on actual experience rather than online research alone.

How to Search for Temporary/Short-Term Rentals

Online Platforms for Temporary Rentals

Websites are widely used for advertising rental properties and allow you to begin your search from anywhere in the world. Popular platforms include Uniplaces, Idealista, Imovirtual, Casa Sapo, Spotahome, and Airbnb. These platforms offer comprehensive search filters that allow you to narrow down options by region, property type, price range, and other specific features.

Using multiple advertising websites is recommended to understand the different qualities and availability of short-term rentals. Each platform may have unique listings and pricing structures, so comparing across several sites will give you a more complete picture of your options. Many platforms also provide detailed photos, virtual tours, and reviews from previous tenants.

Working with Real Estate Agents

Local real estate agents often have access to a variety of homes, including furnished short-term rental accommodations, particularly in resort areas. An agent can help with property visits, negotiations, and contract presentation, providing valuable local expertise and language support.

It’s important to ensure the agent is reliable and transparent about the market, costs, and any limitations that may apply to foreigners. Well-known real estate agencies like Remax, ERA, and Century 21 have established websites that can be accessed directly, offering additional credibility and professional standards.

Using Facebook Groups (With Caution)

Facebook groups can offer insight into the local rental market and sometimes provide access to properties not listed elsewhere. However, extreme caution is advised when closing deals through social media platforms. Be particularly wary of requests for advanced payment before signing a contract or visiting the property, as scams are common through this method.

Never send personal documents or banking information via social media. If you find a promising lead through Facebook groups, always insist on viewing the property in person and signing a proper contract before making any payments.

Word of Mouth Recommendations

Getting a recommendation from someone you know who is familiar with the area can be very helpful and potentially shorten the search process. Personal connections sometimes allow you to secure a place before it’s publicly listed, giving you access to better properties at competitive prices.

Network with expat communities, colleagues, or friends who have experience with the Portuguese rental market. Their insights can provide valuable information about neighborhoods, fair pricing, and reliable landlords.

Exploring Neighborhoods on Foot

If you are already in Portugal, walking around different neighborhoods and looking for “For Rent” signs can lead to finding available properties. These signs are often placed by real estate representatives and may advertise properties not yet listed online.

This approach allows you to get a feel for different areas while actively searching for accommodation. You can assess the neighborhood’s amenities, transportation links, and general atmosphere while identifying potential rental opportunities.

Costs of Temporary & Short-Term Rentals in Portugal

Monthly vs. Weekly Rental Prices

Short-term rentals generally have substantially higher rents than longer lets, especially in popular tourist destinations. The cost structure varies significantly based on rental duration, with monthly rates offering better value than weekly rates.

For minimum one- or two-month rentals, a typical furnished one- or two-bedroom apartment or townhouse can range from €600 to €900 per month during the off-season. However, rentals for less than a month are more expensive, with a two-bedroom apartment in the low season potentially costing between €300 and €450 per week.

Monthly rentals are usually more cost-effective than standard short-term rentals for stays of approximately three months, making them ideal for people in transition who need temporary accommodation while searching for permanent housing.

Price Differences by Region

Location significantly impacts rental costs, with substantial variation between different regions and cities. A three-bedroom apartment in a city center typically starts at at least €1,200 per month. These rates can fluctuate dramatically, being almost 50% higher during high season periods.

Cities in the interior, like Castelo Branco, may have lower monthly rents, potentially as little as €300 per month, although typical prices are closer to €460-€560. Conversely, a similar-sized home in a trendy Lisbon neighborhood could cost significantly more, reflecting the premium for desirable urban locations.

Cost-Saving Tips for Medium-Term Stays

To minimize costs for medium-term stays, consider booking during off-season periods when rates are substantially lower. Negotiate directly with landlords for stays longer than one month, as they may be willing to reduce rates for guaranteed longer-term occupancy.

Look for properties in residential areas rather than tourist zones, as these typically offer better value while still providing good access to city centers. Consider sharing accommodation or renting a room in a shared apartment if you’re comfortable with communal living arrangements.

Required Documents and Rental Procedures

Key Documents You’ll Need

To rent temporary accommodation in Portugal, you’ll need several essential documents. Identification requirements include a passport, Autorização de Residência, or Cartão de Cidadão. Additionally, you’ll need a NIF (Número de Identificação Fiscal), which is required for rental negotiations and is a fundamental document in Portugal that can be obtained at the Finanças (Tax Office).

Proof of funds is almost always required by landlords to demonstrate that you can afford the rent. This can include an employment contract, recibos verdes (for independent workers), or a Declaration of IRS (Income Tax). Having these documents prepared and translated if necessary will streamline the rental process.

Understanding Rental Contracts

You will need to sign a tenancy agreement, or contrato de arrendamento, for any rental arrangement. The contract should clearly specify the lease duration, rent review dates, and required notice periods for vacating the property. Always demand a written contract and read it carefully before signing, ensuring all terms are clearly understood.

Ensure the contract is registered with the Finanças for legal protection and potential tax deduction purposes. This registration provides official documentation of the rental arrangement and protects both tenant and landlord rights under Portuguese law.

Security Deposits and Advance Payments

It is common to be required to pay a caução (security deposit), usually equal to 1 or 2 months of rent. Portuguese law states that the caução should not exceed 2 months of rent. This deposit is held by the landlord and should be returned when the property is vacated in the same condition it was rented.

Adiantamento de aluguel (advance rent payment) is also common practice. By law, the maximum advance rent that can be required is 4 months’ value. However, especially if a guarantor is not provided, landlords may ask for additional advance payments for security. All terms regarding caução and advance payments should be detailed in the contract and registered with the Finanças.

Key Considerations for Temporary Rentals

Furnishings and Property Condition

Temporary or short-term rental properties (AL properties) are typically fully furnished, including all necessary appliances and household items. However, it’s important to check the condition of all furniture and appliances upon arrival and document any existing damage to avoid disputes when leaving.

Check for issues like dampness, mold, infiltration, and insulation problems, especially in older buildings. Ensure windows have good sealing and double glazing for better insulation during winter months. AL properties must be in good condition with functional installations and proper ventilation according to Portuguese regulations.

Viewing the Property Before Renting

Never make a payment before seeing the accommodation in person and signing a contract. This is crucial for avoiding scams and ensuring the property meets your expectations. If you cannot visit yourself, consider using a relocation service that offers property viewing on your behalf.

Take time during viewings to assess not just the property itself, but also the neighborhood, nearby amenities, and transportation connections. This will help ensure the location meets your practical needs for work, shopping, and daily activities.

Importance of a Registered Written Contract

Always insist on a written contract that clearly outlines all terms and conditions of the rental arrangement. The contract should specify rental duration, payment terms, what’s included in the rent, and conditions for early termination. Verbal agreements are not sufficient and provide no legal protection.

Registration with the Finanças is essential for legal protection and may provide tax benefits. This official registration creates a legal record of the rental arrangement and ensures compliance with Portuguese rental laws.

Utilities and Additional Costs

Verify whether the cost of utilities (water, electricity, gas, internet) is included in the rent. If utilities are not included, note meter readings upon check-in to establish baseline usage. Understanding what additional costs you’ll be responsible for helps you budget accurately for your stay.

Some properties may include all utilities in the rent, while others may charge separately or include a cap on usage. Clarify these details before signing to avoid unexpected bills.

Pets and Other Restrictions

Some landlords do not allow pets, so check this policy if you plan to bring or adopt an animal during your stay. Pet policies should be clearly stated in the rental contract, along with any associated deposits or fees.

Unlike some countries where tenants might make modifications and return the property to its original state, many contracts in Portugal do not allow changes like painting or putting nails in walls. Understand these restrictions before signing to avoid conflicts later.

Check-In and Communication Requirements

AL properties must provide a check-in reception service, either in person, by phone, or electronically, along with house rules and a means of ongoing communication. This ensures you have support if issues arise during your stay.

Establish clear communication channels with your landlord or property manager for reporting problems or asking questions. Having reliable contact information is essential for resolving any issues that may arise during your tenancy.

Making Secure Payments from Abroad

It is highly recommended to make payments at the time of signing the contract, rather than making unverified bank transfers beforehand. This protects you from potential scams and ensures you receive what you’ve paid for.

Online platforms like Wise and Remessa Online are recommended for transferring funds from abroad due to lower fees and enhanced security features compared to traditional bank transfers. These services provide tracking and protection for international money transfers.

Short-Term Rental Regulations

Legal Requirements for AL Properties

From the property owner’s perspective, operating a short-term rental in Portugal requires obtaining an AL (Alojamento Local) license. This involves registering the activity with the Portuguese Tax and Customs Authority and the local town hall, ensuring compliance with local regulations and tax obligations.

There are specific requirements for AL properties regarding capacity, with a maximum of 9 bedrooms and 27 guests (excluding hostels). Properties must also meet safety requirements including fire extinguishers, first aid kits, and instruction booklets for guests.

Recent Regulatory Updates (as of November 2024)

Recent law changes in November 2024 have relaxed some restrictions on AL licenses, making it easier for property owners to obtain permits in certain areas. However, some restrictions still apply, particularly in areas with housing shortages or high tourist density.

These regulatory changes aim to balance the needs of the tourism industry with local housing availability, ensuring that short-term rentals don’t negatively impact long-term housing options for residents.

Where AL Licenses Are Restricted

New AL properties are banned in certain neighborhoods in cities like Lisbon and Porto due to concerns about market saturation and housing shortages. These restrictions aim to preserve housing availability for long-term residents while managing the impact of tourism on local communities.

It’s important to note that monthly rentals (not short-term AL arrangements) do not require an AL permit, making them a different category of rental with different regulatory requirements.

Renting a Room in Portugal

Platforms Specializing in Room Rentals

For individuals arriving alone in Portugal, renting a quarto (room) is a common and cost-effective choice. This option provides affordable accommodation while offering opportunities to meet other people and learn about local culture through shared living arrangements.

Room rentals are particularly popular among students, young professionals, and people in transition who want to minimize housing costs while maintaining access to urban amenities and transportation.

Using Uniplaces for Safe and Flexible Bookings

Uniplaces is particularly recommended for finding rooms or temporary apartments, offering a secure platform for international renters. The platform allows viewing photos and videos, checking house rules, and conducting negotiations online, acting as an intermediary with safety features including temporary contracts and verified properties.

Uniplaces requires payment of the first month’s rent plus a service fee upfront, but provides protection against scams and ensures that properties meet certain standards. The platform’s verification process and customer support make it a reliable choice for people renting from abroad who cannot view properties in person before booking.