Montenegro admitted that the reduced tax for the construction of rental homes up to 2,300 euros may seem a bit high, but he argued that it is a "maximum" and that it is intended to cover the construction of homes for families in areas under greater pressure, such as the Lisbon Metropolitan Area and Porto.

This tax regime, he explained, will be in effect until 2029.

"It's a shock policy; we want to shake up the construction and rental markets," he said.