The figure comes from the preliminary inflation data for August released by the National Statistics Institute (INE). This particular measure of inflation is used to calculate Portugal’s annual rent-update coefficient.

For someone paying €800 a month, the increase would be €20.48, taking the rent to €820.48. A €1,000 rent would rise by €25.60, while a rent of €1,200 would go up by €30.72.

The expected rise is higher than the 2.24% coefficient applied during 2026, but remains well below the exceptional increase of 6.94% recorded in 2024.

The annual coefficient is based on the average change in the Consumer Price Index over the previous 12 months, excluding housing. The relevant figure is the one available at the end of August.

INE is expected to publish the final inflation figures for August on 10 September. The official rent-update coefficient must then be published in the Diário da República before the end of October.

The increase will not be automatic or compulsory. Landlords can decide whether to apply it, and rental agreements may contain different conditions concerning annual updates.

In cases where the standard coefficient applies, a landlord can normally update the rent only once a year and at least one year after the contract began or the previous increase.

Tenants must also be informed in writing at least 30 days before the new amount takes effect. The communication should state the new rent, the coefficient used and how the amount was calculated.

If confirmed, the 2.56% increase could begin to be applied from January 2027, depending on the date of each contract and its most recent update.