Portugal’s Rental Prices Rise 5.1% in October

The prices of houses for rent in Portugal have increased by 5.1% in October, reflecting ongoing demand and market dynamics. Explore the latest rental trends.

The rental landscape in Portugal is experiencing a notable upward trajectory, with house prices for rent escalating by 5.1% in October compared to the same month in the preceding year. According to the idealista price index, the median cost of renting a house in Portugal reached an impressive 16.1 euros per square meter (euros/m2) by the end of October this year. 

In a rather intriguing twist, the quarterly analysis reveals a slight dip in house rents, which fell by 1.5%. A closer examination of the 13 capitals with representative samples uncovers that, over the course of a year, rental prices surged in 10 major cities. Coimbra leads this charge with a remarkable 11% increase, closely followed by Funchal at 10.9% and Viseu at 10.3%. Other cities witnessing a rise in rental costs include Braga (9.9%), Santarém (6.9%), Porto (6.1%), Lisbon (5.3%), Setúbal (4.3%), Castelo Branco (1.8%), and Viana do Castelo (1.1%). Interestingly, Leiria has maintained a stable rent price, while Évora and Aveiro saw decreases of 3.6% and 1.4%, respectively.

Lisbon, unsurprisingly, retains its crown as the most expensive city for renting a house, with a staggering rate of 22 euros/m2. Following closely are Porto at 17.5 euros/m2 and Funchal at 15.2 euros/m2. The subsequent contenders include Setúbal (12 euros/m2), Aveiro (11.4 euros/m2), Évora (11.3 euros/m2), and Coimbra (11.2 euros/m2).

On the more economical side of the spectrum, the cities offering the most budget-friendly rental options are Castelo Branco (6.6 euros/m2), Viseu (7 euros/m2), Leiria (8 euros/m2), Viana do Castelo (8.1 euros/m2), Santarém (8.3 euros/m2), and Braga (9.5 euros/m2). 

While the overall trend indicates a rise in rental prices across many urban centers, there remain pockets of affordability, providing a glimmer of hope for those navigating the often tumultuous waters of the Portuguese rental market.