New Rules for the Rent to Sublet Program

The Institute for Housing and Urban Rehabilitation (IHRU) has launched the second tender for the Rent to Sublet Program (PAS), an initiative under the Mais Habitação (More Housing) program promoted by the Portuguese government.

This competition presents new rules aimed at broadening access to the program, especially for single-parent families. The aim of this article is to analyze the changes implemented and the potential benefits they bring to this specific group of applicants.

Changes to Income Calculation: According to information released by the ECO, single-parent families now no longer have a fixed amount for income under the PAS. Instead, the amount to be paid varies according to the household's income. This adjustment may result in more affordable rents for this group, since the minimum rent has been set at 287 euros per month, corresponding to 35% of the national minimum wage, while the maximum amount is determined by the fixed amount paid by other applicants.

Eligibility Criteria and Income Calculation: According to the definitions in the competition notice, the income for single-parent families is calculated without taking into account the number of dependents. The eligibility criterion covers a household made up of children or young people who are entitled to child benefit, together with a single person who is of legal age, a relative or akin, up to the third degree in a straight ascending or collateral line. This adjustment aims to ensure a fairer and more appropriate assessment of the needs of single-parent families when calculating income.

Program characteristics: PAS contracts have a maximum duration of five years and are renewable. They are intended for permanent housing, with a maximum household effort rate of 35%. The houses available come from private owners who sign rental contracts with the IHRU, with the state paying the full rent to the landlord.

The second PAS competition will raffle off 102 houses in 18 municipalities across the country, ranging from 1 to 5 bedrooms. These are the municipalities covered - click on this link to apply:
Almada;
Amadora;
Aveiro;
Entroncamento;
Fafe;
Figueira da Foz;
Gondomar;
Lisbon;
Oeiras;
Paredes;
Ponte da Barca;
Porto;
Santiago do Cacém;
Seixal;
Setúbal;
Sintra;
Valongo;
Vila Nova de Gaia.

Conclusion: The second call for proposals for the Arrendar para Subarrendar Program presents significant changes, especially with regard to calculating the rent for single-parent families. These changes have the potential to provide more equitable and affordable access to housing for this specific group, thus contributing to the promotion of social inclusion and the mitigation of housing inequalities in Portugal.