Portugal has introduced new measures aimed at helping young buyers access the property market with significantly reduced financial pressure. In a context where saving for a downpayment has become one of the main barriers to homeownership, this policy represents an important shift for residents aged 18 to 35 who are looking to purchase their first permanent home in the country.
The initiative, known as IMT Jovem, combines tax benefits with a state-backed guarantee system, making financing more flexible and lowering upfront costs. Eligible buyers may benefit from partial or full exemptions on property transfer taxes and registration fees, while the public guarantee offers additional support when negotiating mortgage terms with participating banks.
Key Benefits
Young buyers who meet the criteria may access:
• A public guarantee of up to 15% of the property value, allowing banks to potentially finance up to 100% of the purchase.
• Full IMT exemption for properties valued up to €316,272 and partial exemption up to €633,453.
• Stamp duty and registration fee exemptions, reducing initial closing costs.
While these measures can significantly ease entry into the real estate market, approval remains subject to standard bank analysis, and the guarantee protects the lender, not the borrower.
Applicants must also comply with residency requirements and maintain the property as their main home for at least six years.
Who Is Eligible
Applicants must:
• Be between 18 and 35 years old at the time of purchase
• Be tax-resident in Portugal
• Be buying their first home intended as primary residence
• Stay within value limits defined by the law
• Meet income criteria and current compliance obligations
Benefits may apply proportionally in the case of co-buyers, depending on each individual’s eligibility.
What This Means for the Market
This measure reinforces Portugal’s commitment to making homeownership more accessible while promoting long-term market stability. It is expected to generate greater interest in emerging residential areas, where price points remain compatible with eligibility thresholds and long-term value potential remains strong.
It may also encourage buyers to explore surrounding regions near Lisbon, Porto, and coastal lifestyle destinations, balancing affordability with quality of life.
A Thoughtful Next Step
Taking advantage of this initiative requires careful planning, especially when selecting the right location, evaluating long-term financial sustainability, and navigating administrative requirements.
At Bonte Filipidis, we specialise in guiding buyers through each stage of the process, from property selection to strategic market advice and coordination with the relevant professionals.
Our mission is to ensure that first-time homebuyers not only secure a property, but choose the right home, in the right place, with the right long-term vision.
