Prices likely to continue to grow due to strong demand and lack of new build
House prices keep rising in Portugal and are set to continue going up throughout 2025, according to Confidential Imobiliário.
In February, prices registered the largest increase like-for-like since September 2023, at 13.6%.
“I cannot rule out March seeing prices going up at an even higher rate,” said Ricardo Guimarães, director of Confidencial Imobiliário. “I should emphasise that this rate of appreciation is taking place for properties whose values are already very high.”
Sales made in the last three months on mainland Portugal revealed that the average price per square metre stood at €2,634. Ricardo Guimarães points out that the national increase is the result of asymmetrical variations.
“The cheapest places to buy a house are the ones that are experiencing the biggest price increases. At the end of 2024, Lisbon had an appreciation of 5.5%, yet prices in Santarém soared by 17.9%,” he illustrated.
The financial rating agency DBRS has predicted that house prices in Portugal will continue to grow, albeit at a slower pace, due to strong demand, lack of new build, high foreign interest, but also the effects of falling interest rates on mortgages.
Source: Essential Business
