Is there an IMI exemption for people buying a home?

Who is entitled to the exemption?

The law sets these conditions:

• the home is your own permanent home, or your family's;
• its taxable value (VPT) does not exceed €125,000;
• your family's total gross income, in the previous year, does not exceed €153,300;
• you move in, with your tax address there, within six months of the purchase.

The same person or family can only get this exemption twice.

For how long?

Three years. The local council can extend it by two more, by a vote of the municipal assembly.

Do I have to apply?

When you buy a home, no. The exemption is automatic. The Tax Authority applies it with the data it holds.

Just make sure you have moved your tax address to the new home. That is what shows you live there.

What if I only move in later?

If you move in after the six months, the exemption starts in the year you move. But it ends in the same year it would have ended if you had met the deadline.

What if I also had IMT Jovem?

They are different exemptions, with their own rules. IMT Jovem is about the purchase. The IMI exemption is about the following years.

What is the taxable value?

It is the value of the home for tax purposes. It is on the tax record of the home («caderneta predial»). It is not the price you paid.

An example with the sums

You buy a home with a taxable value of €110,000. In your area, the IMI rate is 0.35%. IMI would be €385 a year, because 110,000 × 0.35% = 385.

With the exemption, you pay nothing for 3 years. You save €1,155. If the council extends it by two years, you save €1,925. These are example figures.

When do I lose the exemption?

When you stop meeting the conditions. For example, if you stop living in the home. In that case, you must tell the Tax Authority.

Are there other IMI exemptions?

There is an exemption for low incomes, also automatic. The limits depend on the social support index (IAS).

In 2026, your family's gross income cannot exceed about €17,300 a year. The taxable value of all your homes and land cannot exceed about €75,200.

You may also get a reduction for dependants, if your council approves it. See the guide What is IMI, and when do I have to pay it?

Where FINOVA helps

We include IMI in the home's costs, next to the repayment. In the home purchase simulator you can see how much you can borrow. See also Which taxes do I have to pay to the State at purchase?

Sources

• Tax Authority — Tax Benefits Statute, article 46 (in Portuguese)
• Tax Authority — IMI Code, article 11-A (in Portuguese)
• Tax Authority — IMI Code, article 112 (in Portuguese)
• Banco de Portugal — Current account: charges (IAS value in 2026)

Sources checked on 22 September 2026.