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Many individuals envision living in an old farmhouse nestled within a serene forest or revitalizing an ancient agricultural dwelling amidst the olive-strewn hills in Portugal. However, few grasp the intricacies and challenges tied to making this dream a reality.



While certain real estate agents or enthusiasts might present the notion that reviving an old building, be it a farmhouse, stable, or ruin, is a straightforward endeavor in Portugal—perhaps even off-the-grid, exempt from regulations or licensing requirements—this narrative is far removed from reality.

In truth, Portugal stands as a modern nation, equipped with a comprehensive array of rules and laws akin to its European counterparts. A solitary law, like the 1951 regulation, cannot provide an all-encompassing picture of the undertaking.

In the Portuguese context, the rehabilitation of aging structures typically necessitates compliance with guidelines outlined by local municipal authorities, regional planning agencies, and the National Directorate of Cultural Heritage (Direção-Geral do Património Cultural). These guidelines span diverse facets, encompassing architectural design, materials selection, structural soundness, and the preservation of historical significance. Securing requisite permits and approvals prior to initiating any restoration work stands as an indispensable prerequisite.

Why we talk so much about the 1951 rule when talking about buying old farmhouses/dwellings/ruins?

It is the rule that specifies if a certain building/dwelling/ruins can be reformed, to a certain extent, without a license to do so. That is not to say, that it means you can reform it, any way you want or that you wont need a project depending on the extent of the intervention or even less so, that you wont need a license for habitation.

Let’s dive in, head first onto the rule of law.

It was only with the approval of Regulation for General Urban Buildings (RGEU), Decree-Law no. 38 382/51, on August 7, 1951, that a legal framework for “right of existence” in property law was established. This implies that constructions predating this regulation were built under the prior law (before RGEU came into effect).

For a building constructed before 1951, where only maintenance work has been carried out over time, is it possible to sell it without a Usage Authorization Permit? Yes. Municipal councils certify the dispensation of the usage authorization for properties constructed before the RGEU's effective date of August 7, 1951, provided no reconstruction, expansion, or significant alteration work has been undertaken that would significantly modify the building's characteristics. It should be noted that this certificate only certifies that the building predates 1951; it doesn't exempt it from requiring an occupancy license for this reason.

For a building constructed before 1951 that has undergone some form of reconstruction, alteration, or expansion, is it also exempt from requiring a Usage Authorization Permit? No. Municipal councils, upon recognizing physical alterations to the building (modifications to an existing building, even if modified), based on the right the building had under the previous law due to its pre-1951 construction, inform that the initial step involves a prior evaluation of the building (licensing/legalization, including architectural and specialty projects). This is essential to enable the issuance of the Usage Authorization Permit following the submission of a request (as per article 63 of RJUE). Once issued, this permit grants the individual the right to utilize and transact the property.

Various interventions impacting existing buildings could have each, their own specific application area. Consequently, a given intervention can be categorized as conservation, alteration, reconstruction, expansion, or demolition.

Additionally, in accordance with article 51 of Decree-Law no. 307/2009 dated October 23 (under authorization from Law no. 95-A/2009 dated September 2), which approves the Legal Regime of Urban Rehabilitation (RJRU), the protection of existing structures within the context of urban rehabilitation allows for works that either do not worsen conformity with current regulations or result in enhanced safety and habitability conditions for the building. Such works must adhere to construction options suitable for the structural and seismic integrity of the building.

Furthermore, article 51 of Decree-Law no. 307/2009 dated October 23, within the framework of urban rehabilitation, permits works in preexisting buildings (structures in consolidated urban situations) that enhance performance, functional, structural, and construction safety conditions, and conform to options suitable for the structural and seismic safety of the building. Amplification operations in the context of urban rehabilitation "may be exempt from compliance with subsequent legal and regulatory provisions since an improvement in performance and functional, structural, and construction safety conditions exists, and the sacrifice due to compliance with existing legal and regulatory provisions is disproportionate to the non-conformity created or worsened by these actions".

A case study.

For instance, a noticeable trend has recently emerged, with a significant number of foreign individuals expressing interest in acquiring land or dwellings in Central Portugal, drawn in by remarkably low prices. Within this context, a prevailing notion among some prospective buyers is to purchase a dilapidated structure and personally undertake its restoration themselves. However, it's essential to recognize the complexities associated with such an endeavor.

Numerous real estate agents and agencies will full social media channels, showcasing properties in the heart of inland Portugal—often secluded and part of the new hot niche attracting international buyers. These channels often emphasize the pre-1951 rule, yet fail to provide a comprehensive understanding of its implications. While they promote an ostensibly straightforward buying and renovation process, highlighting the cooperation of local Juntas (smaller, popular governing bodies), they overlook the necessity for thorough due diligence and adherence to national law.

While it's true that locals welcome investments, seeking to rejuvenate Portugal's depopulated inner territories, they cannot circumvent the required legal procedures. The crux of the matter lies in obtaining the necessary permits, a process that can extend over several years. Furthermore, even after securing these permits, navigating the subsequent acquisition of habitation licenses can be an intricate and time-consuming endeavor.

Given these considerations, prospective buyers must approach the prospect of purchasing and restoring ruins in Portugal with a realistic perspective. While the allure of low land prices is enticing, it must be counterbalanced with an awareness of the intricate regulatory processes and timeframes associated with obtaining construction and habitation permits. While the aspiration to restore a ruin is achievable, individuals should be well-prepared for the legal and bureaucratic aspects integral to this journey.

Our Sincere Recommendation.

It is highly advisable to seek the assistance of Solicitors and Property Lawyers, thoroughly acquaint yourself with local property laws, and familiarize yourself with essential national documents such as the "Cardeneta Predial." Engage in discussions and gather information from regional officials (Câmaras Municipais, a type of municipal governing body) to gain insights into regulations, incentives, and the step-by-step process of rehabilitating an old building while adhering to existing rules. Knowledge empowers you, and the more informed you are, the less likely you are to fall into a real estate "scam" or an ambiguously transparent deal.

Pursuing a purchase without proper information can lead to severe penalties and potential demolition orders. Buildings erected without proper permits are vulnerable to disaster, as unregistered properties lacking official planning documents are more susceptible to fire hazards, particularly during the summer months. Furthermore, it's important to acknowledge that investments in unauthorized constructions may not significantly increase property value; in fact, they could potentially lead to devaluation.

Practical Insights about the 1951 Rule.

- Specific regulations concerning measurements, engineering, and architectural details can vary among different Câmaras (municipal governing bodies). However, all Câmaras must adhere to the overarching national laws.
- Structures like barns, old commercial buildings, agricultural presses, and agricultural support buildings are not considered residential dwellings. To convert them into residences, you'll need to submit a project for residential conversion and subsequently obtain a habitation license.
- While the 1951 rule allows certain modifications to a dwelling, such as adding a roof and enclosing it with doors and windows, more significant changes like altering structural elements or installing a new kitchen will negate the benefits of purchasing a pre-1951 building.
- If you plan to renovate a remote old structure, you should ensure that the access tracks to the land are registered, serving firefighters, and that a usable water source is available.
- Living on the land while overseeing the rehabilitation of a dwelling, whether in a motor home, tent, small wooden house, container, or other temporary structure, is permissible on rustic or mixed land. However, this structure must be disassemblable in under 90 minutes.
- Temporary year-round living is allowed on rustic land with a ruin or old dwelling, provided you're engaged in a registered agriculture/farm-related activity. Adding certain amenities like a bathroom, rustic oven, or waste cesspits will require a permit.
- If you purchase a house with a collapsed roof but sound structural integrity, you could repair the roof and reside there for 9 months under the 1951 rule, as long as you refrain from adding a kitchen or bathroom. In this scenario, you can apply for a permit for a temporary structure during the renovation process. However, this requires pre-approved architectural and engineering plans, as well as cesspit plans, among others.

In conclusion, it's not that living the dream is impossible; it's just that achieving it isn't as effortless as some agents and sellers might portray. Keep in mind that their motivation to sell aligns with your motivation to buy. As mentioned earlier, ensure you're well-prepared and well-informed, armed with as much information as possible. This way, you'll be well-equipped to find the perfect property for turning your renovation dreams into reality.


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Marisol Ferreira