A New Legal Era for Property Owners: Law n.º 67/2025 Strengthens Penalties for Illegal Occupations and Enables Immediate Eviction

The Portuguese Legislature has just enacted one of the most significant reforms in property-law enforcement in recent decades. With the publication of Law n.º 67/2025 on 24 November 2025, major amendments were introduced to Portuguese legislation, fundamentally altering how illegal occupations (“ocupações ilegais”) of both private and public properties are addressed by law enforcement and the courts. The new rules come into force on 25 November 2025.

Higher penalties for usurpation of property

Under the revised Article 215.º of the Penal Code, the mere invasion or occupation of a property without legal entitlement is now punishable by up to two years’ imprisonment or a fine of up to 240 days, where no violence, threat, or aggravating circumstance is involved.

If the occupation is carried out with violence or serious threat, or if the illegally occupied property is a private residential home, the penalty may rise to three years’ imprisonment (or a corresponding fine).

Where the occupier acts professionally or with intent to profit, using illegal occupation as a structured activity or business model, the penalty now ranges from one to four years. The law also expressly penalises attempts at illegal occupation, a new development for this offence.

These amendments reflect a clear shift: property usurpation is now treated as a criminal offence with substantial penal consequences.

Faster eviction and stronger procedural tools

The reform also introduced procedural mechanisms to expedite the restitution of property to its rightful owners. Under the revised Article 200.º of the Code of Criminal Procedure, a judge may order immediate restitution of the property during the investigation phase, provided there is strong evidence of illegal occupation and clear identification of the lawful owner. This substantially shortens the time properties remain unlawfully occupied.

Where the property belongs to the public housing stock, authorities must conduct a socio-economic assessment of the occupants first. Where applicable, social or housing support measures must be activated before eviction. If occupants voluntarily agree to leave, the complaint may even be withdrawn.

Why this reform matters now

Portugal has been facing severe pressure on the housing market and an increase in informal or irregular occupations of both private homes and public housing. Municipalities and private owners have long struggled with slow procedures, bureaucratic obstacles and limited enforcement tools.

By criminalising a broader range of illegal occupations, increasing penalties, and enabling swift restitution, the new law offers a more effective legal pathway for property owners, condominium associations, investors and public landlords.

Key points for occupants and landlords

• A criminal complaint by the owner is required to trigger the criminal procedure.
• Restitution can now be ordered early in the investigation phase.
• Public housing cases require socio-economic assessment and activation of support programmes.
• Illegal occupants may now face significant criminal penalties and quick eviction.

Practical implications for legal practice

• Encourage clients to file complaints immediately once illegal occupation is identified and ownership is documented.
• Prepare complete evidentiary packages for swift restitution.
• Act quickly to maximise the possibility of early restitution.
• For public-housing cases, coordinate with social services to ensure compliance with support obligations.

Law n.º 67/2025 marks a turning point in Portuguese property law and criminal enforcement. With tougher penalties and streamlined restitution procedures, property owners and investors now have real, effective instruments to reclaim illegally occupied properties far more quickly.

If you would like to discuss how the new law applies to a specific case, please contact us.