Since the approval of the legislation amending the rules for Local Lodging, 836 new units have been opened in Lisbon and 297 in Porto. President Marcelo Rebelo de Sousa has already signed the bill which should be published soon, coming into force 60 days after.
After the hubbub of the summer, many Local Lodging owners wish to book long-term rentals to assure low-season occupancy over the quieter winter months. As always, there are pros and cons, particularly when distinguishing between long and short term lets is not always easy. (more…)
Owners who remove their properties from Local Lodging and make them available for long-term letting can be spared mandatory CGT assessment. This push to long-term letting integrates the government’s package of proposals in the 2018 State Budget. Once confirmed, this measure will be the only Capital Gains Tax refuge once an owner stops an “AL” activity.
A new study by HomeAway reveals why Portuguese nationals prefer using Local Lodging for their vacations. For 79.5% of the respondents, choosing an “AL” accommodation is based on the possibility to prepare meals, thus making significant savings in the overall holiday budget. 70.2% of respondents prefer the scheduling flexibility and the ability to plan their vacation days without rigid time restrictions. In turn, 65% indicate that they can enjoy more space for leisure activities. 51.5% of holidaymakers appreciate the privacy and tranquility (as compared to 37.2% in hotels).
Local Lodging accommodated one third of visitors to Portugal in 2017, an annualised increase of almost 29%, according to ALEP (Association of Local Lodging in Portugal). As of July 2018, there are currently more than 72,000 Local Lodging establishments registered nationwide.
France is the EU country with the highest number of tourist beds available. According to 2016 data collected by the European Statistical Office, the French tourist industry registered 5.1 million beds or 16.4% of the EU total. Italy ranked a close second with 4.9 million beds (15.8%). Spain placed third with 3.5 million beds or 11.2%. Over the same period, Portugal recorded approximately 567,800 tourist accommodations, an increase of 16,100 beds (+3%) when compared to the previous year.
Airbnb, the internet Local Lodging reservation platform, collected and delivered €2,600,000 in Municipal Tourist Tax during the first six months of the year, reaching a grand total of €8,100,000 raised on behalf of the Lisbon Council since the tax began in January of 2016. In 2017, the aggregate holiday let levy revenues came to €18,500,00 taken in by the country’s capital city.