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Managing a condominium takes organisation, knowledge of the law and patience. Whether the administrator is an owner elected by the neighbours or a professional company, there are condominium management rules that cannot be missed. Some come from the Civil Code and Decree-Law 268/94, others are good practice that prevents disputes. This guide brings together eight golden rules, with the obligations in force in Portugal in 2026, including those introduced by Law 8/2022.
In short
- The administrator’s post is remunerable and can be held by an owner or by a third party (article 1435(4) of the Civil Code).
- The condominium must have its own tax number (NIF), requested from the National Register of Legal Persons.
- The common reserve fund is compulsory: at least 10% of each owner’s share of the other expenses, deposited in a bank.
- The ordinary meeting takes place in the first half of January to approve the accounts and the budget.
- Financial penalties apply only if approved by the meeting or in the regulations, with an annual limit of a quarter of the unit’s taxable income.
- Decisions must be carried out within 15 working days, and the statement of debts issued within 10 days.
1. Management is a post with responsibilities (and can be paid)
The administrator is elected and removed by the general meeting. The law is clear about the nature of the post:
«4 – O cargo de administrador é remunerável e tanto pode ser desempenhado por um dos condóminos como por terceiro; o período de funções é, salvo disposição em contrário, de um ano, renovável.» — Civil Code, article 1435(4)
In plain English: the post can be paid, can be held by an owner or by an outside person or company, and lasts one year, renewable, unless the meeting decides otherwise.
Since 2022, an administrator who fails to perform their duties is liable for that failure (article 1436(3)). That is why the choice between a volunteer owner and a company deserves careful thought. If no administrator is elected, the duties fall provisionally on the owner with the highest permillage. See the role of the condominium administrator and the benefits of a management company.
2. The condominium needs its own tax number
To open a bank account, hire suppliers and receive invoices in the building’s name, the condominium needs a tax identification number. It is requested from the National Register of Legal Persons, usually by the administrator in office, with the minutes of their election and the horizontal property documents. With the tax number, the condominium can open its own bank account, so that the building’s money is never mixed with the administrator’s.
3. Common reserve fund: compulsory and in a bank account
The reserve fund is not optional. Decree-Law 268/94 sets the rules:
«2 – Cada condómino contribui para esse fundo com uma quantia correspondente a, pelo menos, 10 % da sua quota-parte nas restantes despesas do condomínio.» — Decree-Law 268/94, article 4(2)
In plain English: each owner pays into the fund at least 10% of their share of the condominium’s other expenses.
The fund is for the upkeep of the building and must be deposited in a bank, and the general meeting manages it. If the meeting uses it for another purpose, the owners must top it up within a maximum of 12 months. A common misconception is worth correcting: the 10% is calculated on each owner’s share of the condominium expenses, not on “the monthly charges” in the abstract. Learn more in our guide to the reserve fund.
4. A detailed budget and transparent accounts
The administrator draws up the annual budget of income and expenses and presents the accounts to the meeting (article 1436, points b) and l)). Good practice:
- Separate fixed costs (cleaning, electricity, lift, insurance) from variable ones;
- Allow a margin for unexpected repairs;
- Present the table of charges per unit, with the permillage;
- Make statements and invoices available for inspection;
- Compare actual spending with the previous year’s budget.
We explain what owners can ask for in our article on transparency in condominium accounts and how the monthly condominium fee is calculated.
5. Meetings: the January meeting and any others that are needed
The ordinary meeting takes place in the first half of January to discuss and approve the previous year’s accounts and the year’s budget (article 1431). It can be held in the first quarter if the regulations provide for it or the meeting approves it. Notice is sent 10 days in advance, by registered letter or by email to owners who have agreed to it (article 1432).
Besides the ordinary meeting, the administrator should call extraordinary meetings whenever there are works, serious problems or urgent situations. Since 2022, meetings can be held by videoconference. See ordinary condominium meetings and online condominium meetings.
6. Clear rules for non-compliance
The condominium can set financial penalties for those who breach the regulations, the meeting’s decisions or the administrator’s decisions, including late payment of charges. But there are limits:
- They must be set out in the regulations or approved by the meeting;
- The total applied each year cannot exceed a quarter of the annual taxable income of the offender’s unit (article 1434);
- For debts equal to or above the IAS (€537.13 in 2026), the administrator has 90 days to take legal action, unless the meeting decides otherwise (article 6 of Decree-Law 268/94). See debts to the condominium.
7. Meet the administrator's legal deadlines
Law 8/2022 set specific deadlines that should be in the calendar of any management:
| Obligation | Deadline |
|---|---|
| Carry out decisions that were not challenged | 15 working days |
| Issue a statement of debts (for example, for a sale) | 10 days |
| Notify absent owners of decisions | 30 days |
| Report on ongoing court cases | At least every six months |
| Present quotes for extraordinary works or improvements | At least 3 quotes |
The administrator must also check that fire insurance is in place, proposing the insured amount to the meeting (article 1436(1)(c)), and present at least three quotes for extraordinary works or improvements (article 1436(2)).
8. Clear communication and handling disputes
Many disputes in a building start with a lack of information. Good management:
- Replies in writing and within reasonable deadlines;
- Gives notice before water cuts, works or cleaning;
- Keeps documents and minutes where owners can find them;
- Mediates disputes between neighbours before they escalate;
- Records complaints and the follow-up given.
See our tips on disputes between neighbours.
How Condoroo applies these rules
Condoroo applies these rules in more than 600 condominiums, with a team of more than 20 professionals, and has held the DECO PROteste seal for the third year in a row. Each building has a bank account in its own name, and letters to owners are sent with tracking. Management starts from €6.50 per unit per month.
Condominium management: frequently asked questions
Does the condominium administrator have to be paid?
It is not compulsory, but the post is remunerable under article 1435(4) of the Civil Code. The pay is approved by the general meeting.
How much should go into the common reserve fund?
At least 10% of each owner’s share of the condominium’s other expenses. The meeting can approve a higher amount.
When must the annual meeting take place?
In the first half of January or, if the regulations or the meeting allow it, in the first quarter of the year.
Can the condominium impose fines?
Yes, if they are set out in the regulations or approved by the meeting, and without exceeding, each year, a quarter of the unit’s taxable income.
Where is the condominium's tax number requested?
From the National Register of Legal Persons, usually by the administrator, with the minutes proving their election.
How quickly must the administrator carry out the meeting's decisions?
Within 15 working days, for decisions that have not been challenged, under article 1436 of the Civil Code.
This article is for information only and does not replace legal advice on your specific case. Legislation and IAS checked on 26 October 2026.
