Change to NRAU

With the publication and entry into force of Law No. 12/2022, of 27 June (approving the State Budget for 2022), the deadlines for the transition to the NRAU (approved by Law n.º 6/2006, of 27 February) of housing lease contracts whose tenant invokes and proves that the adjusted gross annual income (RABC) of their household is lower five national minimum wages, are 65 years of age or older or have a disability with a proven degree of incapacity equal to or greater than 60%, begins.

Under the terms of Law no. 6/2006, the transition of these contracts to the New Urban Lease Regime would only take place, in the absence of an agreement between the parties, after 10 years from the date of receipt by the landlord of the lessee’s response to the letter communicating the passage to the NRAU regime.

However, with the entry into force of Law no. 12/2022, the 10-year period will be suspended until the end of 2022 or, if later, after publication in the Diário da República of the report by the Housing and Urban Rehabilitation Observatory, which will identify the number of households covered by the situations identified above and carry out a diagnosis of the fundamental characteristics of these contracts, as well as propose the necessary measures for the regular functioning of the urban rental market.

This report must be submitted within 120 days, but its delivery may be extended for a further 60 days.

Regarding the lease for non-housing purposes, there can be no transition to the NRAU regime within the 5 years following the entry into force of the Budget Law if the leased is considered an establishment or entity of local historical, cultural or social interest. recognized by the municipality. If the establishment’s lease agreement is already covered by the NRAU regime, landlords cannot oppose the renewal of the new agreement for an additional period of 5 years.