Portugal Real Estate Prices Surge 9.8%

House prices rise in 20 district capitals, with Leiria and Ponta Delgada seeing the highest increases. Discover the latest trends now.

In a rather intriguing turn of events, the real estate market in Portugal has experienced a notable surge, with house prices in all 20 district capitals on the rise. Leading the charge are Leiria and Ponta Delgada, which have seen some of the most significant increases. According to the latest price index from idealista, the average cost of purchasing a home in Portugal has escalated by a striking 9.8% in September compared to the same month last year. This translates to an average price of 2,735 euros per square meter (euros/m2) by the end of September this year across the national market.

When examining the quarterly variations, it becomes evident that house prices have risen by 2%. The last period ending in September saw a consistent trend of escalating prices in the 20 district capitals, with Leiria leading the pack at an impressive 17.4% increase, followed closely by Ponta Delgada at 16.8% and Portalegre at 16.3%. Other notable increases were observed in Funchal (13.1%), Viseu (10.7%), Braga (10.3%), Évora (10.1%), Santarém (9.4%), Castelo Branco (9%), Bragança (8.5%), Setúbal (8%), Coimbra (7.6%), Vila Real (7.5%), Porto (7.5%), Guarda (6.6%), Beja (6.5%), Aveiro (6.4%), Lisbon (6.2%), Viana do Castelo (3.4%), and Faro (2.7%).

Lisbon, unsurprisingly, retains its title as the most expensive city to purchase a home, with prices soaring to 5,674 euros/m2. Following Lisbon are Porto (3,667 euros/m2) and Funchal (3,473 euros/m2), occupying the second and third spots, respectively. The list of the priciest cities continues with Faro (3,019 euros/m2), Aveiro (2,557 euros/m2), Setúbal (2,475 euros/m2), Évora (2,229 euros/m2), Ponta Delgada (2,064 euros/m2), Coimbra (1,977 euros/m2), Braga (1,926 euros/m2), Viana do Castelo (1,883 euros/m2), Leiria (1,566 euros/m2), Viseu (1,523 euros/m2), and Vila Real (1,319 euros/m2).

Conversely, for those on a tighter budget, the most affordable cities to buy a house include Guarda (816 euros/m2), Portalegre (840 euros/m2), Castelo Branco (885 euros/m2), Beja (999 euros/m2), Bragança (1,016 euros/m2), and Santarém (1,260 euros/m2). It seems that while the housing market is bustling with activity, some regions still offer a glimmer of hope for prospective buyers seeking a more economical option.