Portuguese Government to Cancel Over 40,000 Inactive Tourist Rental Registrations
A nationwide 'cleanup' of Portugal's Alojamento Local (AL) registry is expected to result in the cancellation of more than 40,000 inactive licenses as soon as November. This represents a one-third reduction of the 125,000 short-term rental properties currently registered nationally. The Association of Local Accommodation in Portugal (ALEP) provided the estimate, noting that the process targets licenses that were never formally canceled by their owners but are no longer in use. This regulatory action is a key topic in our regulatory and legal frameworks blog.
The impact will be most significant in Portugal's main cities. In Lisbon, the number of active registrations is projected to fall from 18,600 to between 11,000 and 12,000. In Porto, the current figure of 10,690 is expected to drop to below 9,000. This move aims to provide a more accurate reflection of the true size of the short-term rental market, which has been a subject of intense debate. The issue has drawn attention from the European Commissioner for Housing, who has acknowledged the need for "more European rules" to address the pressure tourist rentals place on housing supply in many cities.
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The discrepancy between registered and active ALs has been a persistent issue in Portugal, complicating efforts to manage the housing market effectively. This cleanup is a direct attempt to rectify the official data, providing policymakers and market analysts with a clearer understanding of the landscape. For property owners, staying compliant with legal updates is crucial.
The process of removing these 'phantom' listings is now underway. By providing a more accurate count of active rental units, the government hopes to better assess the impact of the tourism industry on local housing availability and formulate more effective policies. This is particularly relevant for investors in the tourism sector. Navigate Portuguese property regulations with expert guidance at realestate-lisbon.com.