Sarmento says he has difficulty associating a moderate income of 2,300 euros with rising prices

The Minister of Finance, Joaquim Miranda Sarmento, expressed confusion over how defining moderate rent at 2,300 euros could lead to increased prices. He argued that it would actually lower rents just above this threshold. During discussions on the 2027 State Budget, he explained that landlords would benefit from reduced IRS rates for rents at or below this limit. Sarmento emphasized that market dynamics dictate rental prices, and if a property is valued at 1,200 euros, charging 2,300 euros is unrealistic. He highlighted that the government's incentives aim to reduce risks for landlords while increasing their net returns, ultimately benefiting the rental market.