Cheapest Rental Spots in Portugal Revealed

Uncover the municipalities in Portugal where rental prices dip below the national median of €7.60/m². Your affordable living awaits!

House rents in Portugal are experiencing a notable upward trajectory, a phenomenon occurring concurrently with a supply that is struggling to keep pace with the burgeoning demand. However, a closer examination of the national landscape reveals a tapestry of disparate realities. Indeed, a significant number of municipalities boast rental prices that fall below the national median, which was established at a modest 7.60 euros per square meter (euros/m2) in the year concluding in June. Remarkably, there are ten municipalities where rents languish beneath the astonishing threshold of 3 euros/m2, rendering them the most affordable in the nation, as per a report by idealista.

“In the first half of 2024 (the last 12 months), 39 municipalities reported rents exceeding the national average (7.60 euros/m2),” the INE bulletin underscores. This statistic implies that a substantial majority of the 215 municipalities with accessible data—out of a total of 308 municipalities across the country—are characterized by rental prices that remain below the national median. Furthermore, there exist 106 municipalities where rental prices dip below 5 euros/m2, with 56 of these municipalities showcasing median rents beneath the 4 euros/m2 mark. To put this into perspective, one could secure a 100 square meter (m2) residence for less than 500 euros per month in these locales.

Curious about the ten most economical municipalities for renting a home? One must venture inland to uncover these hidden gems, the only locales in the country where median rents fall below the 3 euros/m2 threshold. Topping the list is Vila Flor, nestled in the district of Bragança, where the median rent plummeted to an astonishing 2.28 euros/m2 over the past year ending in June. Following closely are Vila Nova de Foz Côa in Guarda (2.35 euros/m2) and Sátão in Viseu (2.66 euros/m2). In these three municipalities, rental agreements were consummated for less than 270 euros per month, in median terms.

Moreover, it is worth noting that one could also secure a 100 m2 dwelling for less than 300 euros per month in Gouveia, Valpaços, Moimenta da Beira, and Borba, as evidenced by the data from INE.

Conversely, on the opposite end of the spectrum, we find the municipalities with the highest rental prices in the country, with Lisbon reigning supreme at a staggering 15.63 euros/m2. In the Portuguese capital, a 100 m2 residence commanded a median rental cost of 1,563 euros during this period. Cascais follows closely behind with a rent of 14.87 euros/m2, while Oeiras (13.46 euros/m2) and Porto (12.21 euros/m2) are not far behind. Renting a 100 m2 property in these municipalities incurs a median cost exceeding 1,200 euros per month.

It is evident that the majority of the municipalities populating the top ten list of the most expensive rentals are situated within the Greater Lisbon area, with the notable exceptions being Porto, Matosinhos, and Funchal. “The territorial pattern of rents per m2 for new rental contracts by municipality has highlighted that all municipalities in Greater Lisbon and the Setúbal Peninsula, as well as the Algarve (10 out of 15 with available information) and the Porto Metropolitan Area (5 out of 17), exhibit values surpassing the national average,” the INE document articulates.

While the rental landscape in Portugal is marked by stark contrasts, the overarching narrative is one of rising rents amid a complex interplay of supply and demand, with certain municipalities offering surprisingly affordable options for those willing to look beyond the urban centers.