
New Rules for Holiday Rentals in the Algarve
On November 1, 2024, Decree-Law No. 76/2024 came into effect, introducing significant changes to the regulations for Holiday Rentals (Alojamento Local – AL) in the Algarve, a region with a high concentration of properties catering to tourists.
Key Changes in the Algarve
- New Registrations and Conflict Zones
- The ban on new AL registrations has been lifted; however, municipalities such as Albufeira and Lagos can designate “conflict zones,” restricting the opening of new AL properties in over-saturated areas.
- License Transfers
- AL licenses can now be transferred in the event of a property sale or a change of operator, providing greater flexibility within the local market.
- Simplified Rules
- The mandatory renewal of licenses every five years has been eliminated. Property owners can now operate AL rentals year-round without any restrictions on the number of rental days.
- Maximum Capacity and Monitoring
- The maximum capacity per establishment remains at nine rooms, but the number of guests allowed has been reduced from 30 to 27. Detailed information on AL properties in the Algarve will be available on the Tourism of Portugal website.
- License Revocation
- Licenses can be revoked for reasons such as lack of insurance or repeated public disturbances. If a license is revoked, the property cannot be used as AL for up to five years.
Impact on the Algarve Market
The Algarve, as one of the regions with the highest concentration of holiday rentals in Portugal, will be significantly affected by these new rules. While some measures offer greater flexibility for property owners, such as license transfers and the removal of time limits, local regulations may impose restrictions on new AL registrations in over-saturated areas.
These changes aim to balance the needs of the tourism sector with those of the local population, fostering greater sustainability and quality in both the real estate and tourism markets in the region.
Invest in a Holiday Rental Property in the Algarve
At Home in Portugal, we offer a variety of excellent investment opportunities in holiday rental properties in the Algarve, one of Portugal’s most sought-after regions. Whether you’re looking for a property to manage yourself or prefer a hands-off approach with our professional management services, we have options tailored to meet your needs.
How Home In Portugal Can Help
With our expertise in the local market, Home in Portugal can guide you through every step of your investment journey. From selecting the right property to navigating the latest regulations and managing your rental, we’re here to make the process simple and stress-free.
Contact Us
Ready to explore your options? Whether you want more information about the best properties or details about our services, the Home in Portugal team is here to help.
Get in touch today and take the first step toward your Algarve investment!
What is Local Accommodation (AL)?
Local Accommodation refers to properties that are made available for temporary stays, generally intended for tourists. It is a type of accommodation widely used in Portugal, especially in regions such as the Algarve, where the demand for holiday homes is very high. Properties registered as AL can be apartments, semi-detached houses or even rooms in private homes, being an alternative to traditional accommodation, such as hotels.