This goal will only be achievable with "legislative stability, industrialization and truly fast licensing procedures," the association stated in a press release.
In a hearing before the Infrastructure, Mobility and Housing Committee on rent reforms and housing investment, held at the request of Chega, APPII leaders announced that Portugal faces a structural deficit of around 300,000 homes, accumulated over the last decade.
From the association's point of view, the imbalance between supply and demand is reflected in the high price of houses, which increased by 78% between 2012 and 2021, by another 9% in 2024 and by another 16.3% in 2025.
"In Lisbon, more than half of the houses currently for sale are above €500,000," APPII said in a statement.
Citing 2024 data, developers added that 155,000 homes were sold in Portugal despite only about 35,000 new homes being licensed, a volume less than half that recorded two decades ago.
"Each year of delay in a licensing process can represent an increase of about €500 per square meter in the final cost of housing," which means that a 75-square-meter house could become €37,500 more expensive in the space of twelve months, the association indicates.
Measures by the Government
APPII welcomed the Government and the parties that, on 20 February, approved two proposals with legislative authorisations, one with tax relief measures to encourage housing supply, and another with changes to licensing, urbanisation, and urban rehabilitation.
The proposals were approved with the favourable votes of the PSD, CDS-PP, and IL. The proposal with fiscal measures received abstentions from Chega, PAN, and JPP, and the licensing proposal received abstentions from Chega, PS, and JPP.
For the APPII leadership, the two proposals "introduced relevant changes, long requested by the sector, which now need to be worked on to have effective viability."
However, the association warned that "new administrative steps or the weakening of mechanisms such as tacit approval could increase uncertainty and discourage investment."
Within the 'build-to-rent' model, APPII argued that "objective criteria, contractual stability, and free transferability of investments" are essential for institutional investors.
"The discussion about housing has to start with licensing. Without predictability, without legal certainty, and without an effective reduction in bureaucracy, we will continue to have projects stalled for years and houses that do not reach the market," said Hugo Santos Ferreira, president of APPII.
APPII represents the main national and foreign real estate development and investment companies operating in Portugal.












Get the government and ridiculous overzealous environmental regulations out of the way and the free market will solve the problem.
By Tony from USA on 25 Feb 2026, 23:40
The housing sector, along with the construction sector, is a complete mess in Portugal. While I am in favour of logical and sound environmental assessments, it would be great to actually get to that point.
The licensing process is also a mess!
I hope this example illustrates: I receive Municipality approval 2.5 years ago, to renovate and upgrade 2 houses on my property. I was very pleased, since this had a taken more than a year to finally get the approval.
So, lets get a professional contractor and get started. I found a small local contractor after more than 8 months of looking to start one house. Their estimated program was 6 months for a 74 sq. m renovation. 13 months later it was finished. I then looked for a better contractor for the 240 sq. m second house.
To date: After 9 months of searching I do not have a contractor. In the meantime the Municipality has cancelled the construction because I did not start the construction on the house within 2 years.
The BIG problem with this all is that Government is NOT connecting the dots in their own processes. Does the Municipality know (or even care) that there are no builders in their region? Obviously not.
Why, in a country of unbelievable craftsman, are there no builders? Answer: Not enough people (and especially young people), to take on the jobs that are in huge demand.
In support of the Real Estate Developers and Investors - they are right! The government needs to get its ducks in a row - the Portuguese are screaming for houses - but you are fiddling around; you can reduce all the taxes on construction all you wish, but if you have nobody to mix cement, do roofing, tiling or electrical or plumbing, then simply put, it's not getting built.
By Anthony Williams from Other on 28 Feb 2026, 17:02