Buying property in Portugal carries three main transaction taxes/fees on top of the price: IMT (Imposto Municipal sobre Transmissões, a progressive municipal transfer tax), Imposto de Selo (stamp duty, a flat 0.8% of the price or taxable value, whichever is higher), and notary/registration costs (often bundled into the fixed-fee "Casa Pronta" government service). Real estate agent commission is, by market convention, paid by the seller in most transactions. The IMT bands below are the tables in effect from 1 January 2026, as updated by Circular Notice No. 40129/2026 (published 6 January 2026) applying the 2% annual update mandated by the 2026 State Budget (Law 73-A/2025).
IMT and stamp duty are due before the deed can be signed, so buyers need to budget several percentage points of the purchase price in cash on top of the price itself — this is separate from, and in addition to, any deposit paid under the CPCV. Because IMT bands are updated annually and change with each state budget, figures from even one year earlier can be wrong; always check the current Portal das Finanças practical tables before budgeting.
Key Facts
IMT for a permanent own home (habitação própria e permanente, HPP) is progressive: 0% up to €106,346, rising through marginal bands of 2%, 5%, 7%, and 8%, up to €660,982; a flat 6% applies from €660,982 to €1,150,853; and a flat 7.5% applies above €1,150,853.
IMT for a second/non-permanent home ("outra habitação") starts at 1% (not 0%) for the lowest band up to €106,346, with the same escalating marginal structure, transitioning to the 8% band already at €330,539 (versus €660,982 for a permanent home), then flat 6% up to €1,150,853 and flat 7.5% above that.
Rustic (non-urban/agricultural) properties are taxed at a flat 5% IMT rate; other urban acquisitions not covered by the housing tables (e.g., not intended as a dwelling) at a flat 6.5%.
IMT Jovem: buyers up to age 35 purchasing their first permanent home are fully exempt from IMT and stamp duty on the purchase up to €330,539 (in 2026); between €330,539 and €660,982 the exemption is partial (tax is due only on the portion above €330,539, at the applicable marginal rate); above €660,982 there is no exemption.
Imposto de Selo (stamp duty) on the transfer of ownership is a flat 0.8% of the higher of the deed price or the Valor Patrimonial Tributário (VPT, the property's fiscal value) — this is item 1.1 of the official Tabela Geral do Imposto de Selo.
Both IMT and stamp duty must be paid (and payment proven) before the notarial deed is executed — in practice this is usually done online via the Finanças portal in the days before the deed.
Real estate agent commission in Portugal is not fixed by law and is freely negotiated; market reporting places typical commission around 5% plus 23% VAT of the sale price, with a range roughly between 2.5% and 8% depending on agency and market segment; by market convention the seller pays the agent, not the buyer.
The CPCV deposit (sinal) is a negotiated amount, not a tax; market convention commonly cites 10% of the purchase price as a reference point, though the parties are free to agree on a different figure.
Costs
IMT, permanent home (HPP), value up to €106,346: 0%
IMT, permanent home (HPP), marginal band €106,346–€145,470: 2%
IMT, permanent home (HPP), marginal band €145,470–€198,347: 5%
IMT, permanent home (HPP), marginal band €198,347–€330,539: 7%
IMT, permanent home (HPP), marginal band €330,539–€660,982: 8%
IMT, permanent home (HPP), flat band €660,982–€1,150,853: 6%
IMT, permanent home (HPP), above €1,150,853: 7.5% flat
IMT, second/other home, value up to €106,346: 1%
IMT, second/other home, above €330,539 up to €633,931: 8%
IMT, rustic property: 5% flat
IMT, other urban (non-housing) acquisitions: 6.5% flat
Imposto de Selo (stamp duty) on purchase: 0.8% of price or VPT, whichever is higher
IMT Jovem (buyers ≤35, first permanent home): 0% up to €330,539; partial exemption €330,539–€660,982
Real estate agent commission (market convention, seller-paid): approx. 5% + 23% VAT (reported range approx. 2.5%–8%) — not government-set, unconfirmed as an official figure
Casa Pronta one-stop deed/registration service: fee reported by financial-guidance sites as roughly €375 (cash purchase) to €700 (purchase with bank financing) — flagged as unconfirmed; not verified directly on an official government fee schedule during this research
Timelines
IMT and stamp duty payment: due before the deed (escritura) is signed, typically settled online in the days immediately prior
Required Documents
Proof of IMT payment (issued via Portal das Finanças before the deed)
Proof of Imposto de Selo payment
Caderneta Predial Urbana (for the property's Valor Patrimonial Tributário, used to calculate both taxes when it exceeds the price)
Common Mistakes
Budgeting only for IMT and forgetting stamp duty, which applies on top of IMT at 0.8% regardless of the IMT band.
Assuming last year's IMT bands still apply — bands are updated annually (a 2% update took effect 1 January 2026) and using stale brackets under- or over-estimates the tax due.
Assuming the buyer pays the agent's commission — by market convention in Portugal it is normally the seller who pays, though this is not set by law and can vary by contract.
Confusing the property's declared purchase price with its Valor Patrimonial Tributário (VPT) — both IMT and stamp duty are calculated on whichever figure is higher, so a low declared price does not reduce tax if the VPT is higher.