Lisbon, Mar. 31, (dpa/GNA) - Portugal’s left-wing government wants to fight the severe housing shortage with a number of measures, including the controversial forced rental of vacant properties.
The government of Prime Minister António Costa announced on Thursday evening that forced renting would be possible if a flat remained unoccupied for more than two years.
The measure is part of the “Mais Habitação” (More Housing) programme announced in February and now approved by the Council of Ministers.
According to official estimates, there are more than 700,000 vacant residential properties in the country of 10.3 million inhabitants.
Costa stressed on Thursday that forced rentals will only occur in regions with higher population density and, in principle, only for flats.
Subsidies are also foreseen for the construction of affordable housing. Licences for holiday rentals will no longer be granted.
Lisbon also wants to permanently freeze the rents of old contracts. For newer contracts, rent increases are to be limited to 2% per year. At the same time, landlords are to receive tax relief. In future, the state wants to release unused public real estate for rent.
The controversial “Golden Visa Programme” which grants non-EU citizens a right of residence in Portugal if they invested in real estate, will also be ended.
Costa’s press conference was disrupted by loud protests. The opposition and property owners had previously criticized the plans.
“Since I don’t have a magic wand that can turn a stone into a habitable house tomorrow, we have to take measures to improve this situation,” Costa said.
The socialist head of government said that parliament still had to debate and vote on the measures. His government has an absolute majority of seats.
GNA