On page 125 of the book in the chapter on “Renting” I make reference to a new and more stringent law that had been introduced with regard to the licensing of rental property. This turned out to be unworkable, and after many months of confusion and frustration on the part of those wanting to obtain a licence, in order to legally rent out their “holiday homes,” a by-law (Portaria Nº 517/2008) that regulates the law (Decreto-Lei Nº 39/2008) was finally published on June 25th. It came into immediate effect.
This new by-law defines three kinds of accommodation, which had already been defined under artigo (article) 3 of the previous law:
1. A villa (detached for habitation purpose)
2. An apartment (autonomous fraction in a building)
3. An accommodation establishment (composed of several rooms e.g. a guest house)
The following things are now required:
1. A valid licença de habitação (habitation licence) issued by the local câmara municipal (municipal council);
2. A written request to the câmara municipal’s president according to the format published in the by-law;
3. Proof of legal ownership of the property i.e. escritura/certidão de registo predial (deed/land registry certificate);
4. A declaration of responsibility from a technician in relation to the electricity and gas installations;
5. Plans of the property as filed at the câmara municipal ;
6. Cadernetas (property tax documents) issued from the serviço das finanças (tax office).
A stamped document showing that the relevant department in the câmara municipal has received the application will be sufficient to proceed with renting the property.
It will be up to the câmara municipal as to whether they actually physically verify the requirements above and they have 60 days after the application has been made within which to do it.
If the câmara municipal does decide to verify the requirements and finds anything amiss they will then inform the Autoridade de Segurança Alimentar e Económica (ASAE), who will investigate and initiate the process, if there has been a breach of the law and an offence committed.
The by-law also divides accommodation into two further categories according to their capacity:
1. Less than 50 people
2. 50 or more people
Under number 2 there is an obligation to have a security project against fire hazards.
The rental property may be identified outside by a sign with the letters “AL.” This sign will be supplied by the câmara municipal according to the provisions of the by-Law. A livro de reclamações (complaints book) will also be compulsory.