Tax Exemption: For Young People Buying their First Home

As of August 2024, young people (up to the age of 35) will be able to enjoy exemption from Municipal Property Transfer Tax (IMT) and Stamp Duty (IS) when buying their first home.

This measure will applied to properties with a value of up to 316,772 euros, while a partial exemption will be maintained for properties with a value higher than that and up to 633,453 euros. In a practical case, a property with an acquisition value of 250,000 euros will have around 9,478 euros in taxes (IMT and IS), which will allow a young person up to 35 years old to save 100% (Source: ECO - News item "Young people will be exempt from IMT when buying their first home as early as August, 26 June 2024).

It should be noted that this new legislation means that the young people must not be listed as dependents in the household with regard to the IRS; nor must they own another home, or have owned one for three years prior to the time of purchase. In addition, the property to be purchased must be solely and exclusively for their own permanent residence. 

The implementation of this decree-law, approved by the Council of Ministers on June 25, 2024, will allow young people to ensure high levels of savings, in what is proving to be an important step.

In this new chapter for young Portuguese, Urbibarra - Promotor Imobiliário offers several developments that can be purchased by them, and whose prices will allow them to take advantage of this new measure.

We would like to point out that some developments are currently under construction, such as Urbanização Pardal Monteiro 8 and Condomínio Monterainha.