Buying a home in Lisbon, Porto or the Algarve (2026): are the costs different?
The purchase costs are the same anywhere on mainland Portugal. IMT, the 0.8% stamp duty and the Casa Pronta deed and registration fee are set nationally, so a home in Lisbon, Porto, Cascais, Faro or elsewhere in the Algarve costs the same to buy at the same price. What changes by municipality is IMI, the annual property tax, which each council sets between 0.3% and 0.45% of the tax value.
Key facts
- IMT rates are set in article 17 of the national IMT Code and are the same in every mainland municipality, despite the word municipal in the tax's name.
- Stamp duty on a purchase is 0.8% everywhere in Portugal (Stamp Duty Table, item 1.1).
- Casa Pronta charges one national fee for the deed and registration: €375 for a purchase, €700 with a mortgage (Regulamento Emolumentar, art. 27-A).
- IMI, the annual property tax, is 0.3% to 0.45% of the tax value, set each year by the municipal assembly (CIMI art. 112(1)(c) and (5)).
- For 2025 the Portal das Finanças lists Lisbon and Faro at 0.30%, Porto at 0.324% and Cascais at 0.35%.
- Only Madeira and the Azores have different IMT brackets, 25% higher than the mainland's.
Are buying costs different in Lisbon, Porto or the Algarve?
No. Every cost of the purchase is set nationally, so the same home at the same price costs the same to buy in Lisbon, Porto, Cascais, Faro, Lagos or anywhere else on the mainland:
| Cost | Who sets it | Same in every mainland municipality? |
|---|---|---|
| IMT, the property transfer tax | The IMT Code, article 17 | Yes |
| Stamp duty on the purchase, 0.8% | The Stamp Duty Table, item 1.1 | Yes |
| Deed and land registration through Casa Pronta | The national fee table (Regulamento Emolumentar dos Registos e Notariado, art. 27-A) | Yes |
| Lawyer | Each lawyer | Market rates, not set by law |
| IMI, the annual property tax, after buying | Each municipal assembly, within the legal range (CIMI art. 112(5)) | No |
The one cost that depends on the municipality is IMI, which is paid every year after the purchase and is not part of the buying costs. The only places in Portugal with different purchase taxes are Madeira and the Azores, whose IMT brackets are higher.
How much does it cost to buy a home in Lisbon, Porto or the Algarve?
For a tax-resident buyer of a home to live in, the costs on top of the price are the same on the whole mainland. The prices below are examples across a wide range, not typical prices for any city or area:
| Price | Taxes | Fees, typical | Total on top | Estimate range | Share of price |
|---|---|---|---|---|---|
| €200,000 | €5,142.04 | €2,875 | €8,017.04 | €7,517.04 to €9,842.04 | 4.01% |
| €300,000 | €12,942.04 | €4,125 | €17,067.04 | €16,317.04 to €19,642.04 | 5.69% |
| €400,000 | €21,436.65 | €5,375 | €26,811.65 | €25,811.65 to €30,136.65 | 6.70% |
| €500,000 | €30,236.65 | €6,625 | €36,861.65 | €35,611.65 to €40,936.65 | 7.37% |
| €750,000 | €51,000 | €9,750 | €60,750 | €58,875 to €66,700 | 8.10% |
| €1,000,000 | €68,000 | €12,875 | €80,875 | €78,375 to €88,700 | 8.09% |
| €1,500,000 | €124,500 | €19,125 | €143,625 | €139,875 to €155,200 | 9.57% |
On a €400,000 home, the full breakdown is:
| Line | Kind | Amount | Estimate range | Share of price |
|---|---|---|---|---|
| IMT (property transfer tax), own permanent home | Tax | €18,236.65 | 4.56% | |
| Stamp duty (Imposto do Selo, 0.8%) | Tax | €3,200 | 0.80% | |
| Lawyer (market rate) | Fee, estimate | €5,000 | €4,000 to €8,000 | 1.25% |
| Deed and land registration (Casa Pronta) | Fee, estimate | €375 | €375 to €700 | 0.09% |
| Taxes | €21,436.65 | 5.36% | ||
| Fees, typical | €5,375 | €4,375 to €8,700 | 1.34% | |
| Total on top of the price | €26,811.65 | €25,811.65 to €30,136.65 | 6.70% |
The fee lines are estimates with a range: Casa Pronta’s official fee is the same everywhere, while lawyers set their own fees. Both taxes are charged on the higher of the price and the property’s tax value (CIMT art. 12(1)). The buying costs by price guide has more prices and buyers.
Is IMT different in Porto, Lisbon or Faro?
No. IMT stands for Imposto Municipal sobre as Transmissões Onerosas de Imóveis, the municipal tax on property transfers, but its rates and brackets are written into article 17 of the national IMT Code. Councils do not set them, so a buyer in Porto, Lisbon, Faro or Cascais uses the same table:
IMT (property transfer tax), own permanent home
The taxable value (the higher of the price and the official value) times the rate of its band, minus that band's deduction.
| Value | Rate | Minus |
|---|---|---|
| up to €106,346 | 0% | €0 |
| €106,346 to €145,470 | 2% | €2,126.92 |
| €145,470 to €198,347 | 5% | €6,491.02 |
| €198,347 to €330,539 | 7% | €10,457.96 |
| €330,539 to €660,982 | 8% | €13,763.35 |
| €660,982 to €1,150,853 | 6% | €0 |
| over €1,150,853 | 7.5% | €0 |
Applies when it is for your main home; the buyer is tax-resident; except when the buyer is aged 35 or less and the buyer is a first-time buyer.
Kept only if you move in within 6 months and keep it as your own permanent home for 6 years (CIMT art. 11(8)).
An own permanent home pays no IMT up to €106,346 on the mainland. A second home or a home to let uses the other-housing table, which starts at 1%. Both tables are explained in IMT in Portugal.
What does a holiday home in the Algarve or Cascais cost to buy?
A second home pays IMT on the other-housing table, again the same in every mainland municipality:
| Price | Taxes | Fees, typical | Total on top | Estimate range | Share of price |
|---|---|---|---|---|---|
| €200,000 | €6,205.50 | €2,875 | €9,080.50 | €8,580.50 to €10,905.50 | 4.54% |
| €300,000 | €14,005.50 | €4,125 | €18,130.50 | €17,380.50 to €20,705.50 | 6.04% |
| €400,000 | €22,500.11 | €5,375 | €27,875.11 | €26,875.11 to €31,200.11 | 6.97% |
| €500,000 | €31,300.11 | €6,625 | €37,925.11 | €36,675.11 to €42,000.11 | 7.59% |
| €750,000 | €51,000 | €9,750 | €60,750 | €58,875 to €66,700 | 8.10% |
| €1,000,000 | €68,000 | €12,875 | €80,875 | €78,375 to €88,700 | 8.09% |
| €1,500,000 | €124,500 | €19,125 | €143,625 | €139,875 to €155,200 | 9.57% |
The rules for second homes and homes to let are in second homes and investment in Portugal.
Do non-residents pay more in Lisbon or the Algarve?
A buyer who is not tax resident in Portugal pays a flat 7.5% IMT on any home bought since 25 May 2026, wherever it is (CIMT art. 17(10)). The rate is the same in Madeira and the Azores. On a €400,000 home, IMT is €30,000.
| Price | Taxes | Fees, typical | Total on top | Estimate range | Share of price |
|---|---|---|---|---|---|
| €200,000 | €16,600 | €2,875 | €19,475 | €18,975 to €21,300 | 9.74% |
| €300,000 | €24,900 | €4,125 | €29,025 | €28,275 to €31,600 | 9.68% |
| €400,000 | €33,200 | €5,375 | €38,575 | €37,575 to €41,900 | 9.64% |
| €500,000 | €41,500 | €6,625 | €48,125 | €46,875 to €52,200 | 9.63% |
| €750,000 | €62,250 | €9,750 | €72,000 | €70,125 to €77,950 | 9.60% |
| €1,000,000 | €83,000 | €12,875 | €95,875 | €93,375 to €103,700 | 9.59% |
| €1,500,000 | €124,500 | €19,125 | €143,625 | €139,875 to €155,200 | 9.57% |
The exceptions and the refund route are in buying in Portugal as a non-resident.
How much is IMI in Lisbon, Porto and Faro?
IMI (Imposto Municipal sobre Imóveis) is the annual tax on owning property. For urban property, such as a house or a flat, the rate is between 0.3% and 0.45% of the property’s tax value (CIMI art. 112(1)(c)). Each municipal assembly fixes its rate every year within that range, and can set it by parish (art. 112(5)). It can also raise or lower the rate by up to 30% in areas under urban renewal (art. 112(6)).
The Tax Authority’s list of municipal rates gives these rates for urban property for 2025:
| Area | Municipality | IMI rate for 2025 |
|---|---|---|
| Lisbon | Lisboa | 0.30% |
| Lisbon | Cascais | 0.35% |
| Lisbon | Sintra | 0.30% |
| Lisbon | Oeiras | 0.45% |
| Porto | Porto | 0.324% |
| Porto | Vila Nova de Gaia | 0.36% |
| Porto | Matosinhos | 0.37% |
| Algarve | Faro | 0.30% |
| Algarve | Albufeira | 0.30% |
| Algarve | Loulé | 0.30% |
| Algarve | Lagoa | 0.36% |
| Algarve | Portimão | 0.37% |
| Algarve | Tavira | 0.30% |
Source: Portal das Finanças, Consultar Taxas IMI/CA por Município e Ano, districts of Lisboa, Porto and Faro, year 2025, checked on 2 November 2026. Rustic land pays 0.8% in every municipality listed (art. 112(1)(a)).
As an illustration, on a tax value of €200,000, a rate of 0.30% is €600 a year and a rate of 0.45% is €900 a year. The tax value (valor patrimonial tributário) is set by the Tax Authority and can differ from the price.
The 2026 rates. A municipality’s decision must reach the Tax Authority by 31 December to apply the following year; if it does not, the minimum rate of 0.3% applies (CIMI art. 112(14)). On 2 November 2026 the Portal’s list for 2026 did not yet include Lisboa, Porto or Faro, so their 2026 rates were not published there.
When IMI is paid. The tax for a year is charged to the owner shown in the property records on 31 December of that year (CIMI art. 113(1)). It is assessed in February to April of the next year (art. 113(2)) and paid in May, or in two or three instalments up to November when it is higher (art. 120(1)).
Households with dependants. A municipality can also grant a fixed reduction of IMI on an own permanent home, depending on the number of dependants in the household (CIMI art. 112-A).
How do you check a municipality’s IMI rate?
- Open the Portal das Finanças page “Consultar Taxas IMI/CA por Município e Ano” (linked in the sources below). No login is needed.
- Choose the year and the district: Lisboa for Lisbon, Cascais, Sintra and Oeiras; Porto for Porto and Gaia; Faro for the whole Algarve.
- The page lists each municipality’s rate for urban and rustic property, with links to any parish rates and household reductions.
A municipality missing from the list for a year has not communicated a rate for it yet. If no rate reaches the Tax Authority by 31 December, the minimum of 0.3% applies (CIMI art. 112(14)).
What this guide does not cover
- Property prices in each city or area.
- IMI exemptions, such as the one for some own permanent homes, and the additional IMI (AIMI) on large holdings.
- Estate agent fees, condominium fees and local charges.
- Buying through a company.
- Madeira and the Azores, which have their own guides.
Questions people ask
Is IMT different in Porto, Lisbon or the Algarve?
No. The IMT rates and brackets are in article 17 of the IMT Code and apply to the whole mainland, so a home in Porto, Lisbon, Faro or Cascais pays the same IMT at the same price. Only Madeira and the Azores use different brackets.
How much does it cost to buy a house in the Algarve?
The same as anywhere on the mainland at the same price: IMT, 0.8% stamp duty, and the deed, registration and lawyer fees. The tables on this page give the totals at prices from €200,000 to €1,500,000, for a home to live in, a second home and a non-resident buyer.
Is IMI higher in Lisbon or in Cascais?
For 2025, the Portal das Finanças lists Lisbon at 0.30% of the tax value, the legal minimum, and Cascais at 0.35%. Each council sets its rate every year between 0.3% and 0.45% (CIMI art. 112).
Where can I check the IMI rate of a municipality?
On the Portal das Finanças, under Consultar Taxas IMI/CA por Município e Ano: choose the year and the district, and the page lists each municipality's rate for urban and rustic property.
Do non-residents pay more in Lisbon or the Algarve?
Non-residents pay the same flat 7.5% IMT everywhere in Portugal, on homes bought since 25 May 2026 (CIMT art. 17(10)). The place makes no difference; tax residence does.
Sources
- Código do IMT, article 17 (rates)Portal das Finanças (Autoridade Tributária e Aduaneira)
- Ofício Circulado 40129/2026: IMT practical tables from 1 January 2026Autoridade Tributária e Aduaneira
- Código do Imposto do Selo and Tabela Geral (item 1.1)Portal das Finanças (Autoridade Tributária e Aduaneira)
- Custos dos serviços (Regulamento Emolumentar dos Registos e Notariado, art. 27-A)Instituto dos Registos e do Notariado
- Código do IMI, article 112 (rates; n.º 1, 5, 6 and 14)Portal das Finanças (Autoridade Tributária e Aduaneira)
- Código do IMI, article 112-A (reduction for households with dependants)Portal das Finanças (Autoridade Tributária e Aduaneira)
- Código do IMI, article 113 (annual assessment)Portal das Finanças (Autoridade Tributária e Aduaneira)
- Código do IMI, article 120 (payment instalments)Portal das Finanças (Autoridade Tributária e Aduaneira)
- Consultar Taxas IMI/CA por Município e Ano (districts of Lisboa, Porto and Faro, years 2025 and 2026)Portal das Finanças (Autoridade Tributária e Aduaneira)
Behind the figures
Every amount on this page is worked out by the engine from rule files that cite these pages.