19 March 2024

Different Types of Residential Lease Contracts in Portugal

The residential lease contract in Portugal can have different durations depending on the type of contract established between the parties. 

As established in the Portuguese Civil Code, in Section VII, Subsection VI, Division II, Article 1094, the urban lease contract for housing can be entered into for a fixed term or for an indefinite duration.

If the contract is entered into for a fixed term, it must contain a clause inserted in the contract. However, the term cannot be less than 5 nor more than 30 years, unless otherwise specified in the contract. Additionally, the contract can be automatically renewed upon its expiry and for successive minimum periods of three years, unless one of the parties opposes the renewal, as established in Article 1096.

On the other hand, if the contract is for an indefinite duration, it can be terminated by denunciation by one of the parties, in accordance with Articles 1099 to 1104 of the Portuguese Civil Code. The tenant may terminate the contract, regardless of any justification, by communicating to the landlord with a notice period of not less than 120 days before the intended termination date. Similarly, the landlord may terminate the contract under certain circumstances, such as the need for housing by themselves or their first-degree descendants, for demolition or for carrying out extensive remodeling or restoration works, among others.

Regardless of the type of residential lease contract, it is important to emphasize that Castilho International Legal Corporation is available to assist you in all stages of this process. We are here to provide guidance and legal assistance, ensuring the protection of your rights and the safeguarding of your interests.

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