Market
5 min
Jun 20, 2026
Lisbon rents after the 2026 cap
Portugal capped yearly rent increases on existing leases at 2%. What changes for our fourteen Lisbon buildings, and what does not.
Inês Duarte
Chief executive
Ran a family office's Lisbon portfolio for twelve years before founding Rentroll in 2021.
2%
/ yr
the cap on increases for existing Lisbon leases
The rule
From January, rents on existing leases in Portugal can rise by at most 2% a year. New leases are not capped, but the law asks landlords to justify any large jump.
Most of our Lisbon tenants were already below the cap: we index rents once a year and rarely by more than inflation.
What it means for the fund
The effect on income is small, because our Lisbon apartments turn over slowly and most increases were already under 2%. Buildings like Rua de São Bento 112, fully let since 2022, are barely affected.
The bigger lever in Lisbon is keeping apartments let. Every empty month costs more than the cap will, which is why we repair fast and renew early.
02·L
In this letter
3 takeaways
Key takeaways.
Increases on existing Portuguese leases are capped at 2% a year.
Most of our Lisbon rents were already below the cap.
Keeping apartments let matters more than the cap.
