Portugal Tool

Buy-to-Let ROI Calculator

Portuguese rental income net of IMI, condomínio, seguro multirriscos, mgmt, maintenance, and IRS autonomous taxation (28%). The number landlords actually see.

Property & Financing

Rental Income

Taxes & Management

Valor Patrimonial Tributário

0.3-0.8% of VPT

Autonomous taxation: 28% flat default

Gross Yield

5.60%

€16 800/year / price

Net Yield

2.67%

After costs, before debt

Cash-on-Cash

-8.33%

Net / deposit

Monthly Cash Flow

€-417

After mortgage

Operating P&L (Annual)

Gross rent€16 800
- Vacancy-€1008
Effective rent€15 792
- Condomínio-€720
- Annual IMI-€798
- Insurance-€300
- Maintenance-€1263
- Management-€1579
NOI€11 131
- IRS on rental (28%)-€3117
Net before debt€8015
- Mortgage-€13 013
Cash flow€-4998

Acquisition Costs

Deposit€60 000
IMT (secondary)€11 790
Imposto do Selo (0.8%)€2400
Notary / escritura / legal (~2%)€6000
Total cash in at completion€80 190

Monthly mortgage payment: €1084 at 3.55%

Portuguese rental tax notes

  • IRS on rental income: default autonomous taxation at 28% flat on net rental; optional progressive brackets (higher for most). Contracts ≥ 5 years get reduced rates (down to 14%).
  • Deductible expenses: IMI, condomínio, insurance, maintenance, mgmt, mortgage interest (not principal). Factored here as "NOI" before the 28% applies.
  • Condomínio: building association fees; mandatory and hard to avoid.
  • AL (short-let): different regime — Categoria B, not Categoria F. Check AL-specific calculator before assuming short-let numbers.