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The Right to Durable Housing
5 September 2019
By Decree-Law no. 1/2020, the Right to Durable Housing (DHD) was created, which appears as an alternative to house acquisition or housing leasing.
The holder of the right shall have the right to reside, throughout his life, in a dwelling upon the payment of an initial deposit (10% to 20% of the value of the property), provided for 30 years, to which a monthly installment is added, the value of which is freely established between the right holder and the owner of the property.
The deposit serves as a guarantee. If the resident leaves the property in the first 10 years, he is entitled to a full refund of the security deposit provided. Only from the 11th year, the owner will retain 5%, which, only then, is considered his income.
After 30 years, the resident loses the right to the deposit but if death occurs, before the expiry of that period, the right of reimbursement is transferred to the heirs of the holder of the right.