Room Rental Prices in Portugal See 8% Nationwide Increase in Q2 2025
\nA new report from leading property marketplace Idealista has revealed a significant 8% year-over-year increase in the price of rooms for rent in shared accommodations across Portugal for the second quarter of 2025. This data confirms a sustained upward trend, accelerating from the 4% increase observed in the first quarter of the year, as students and professionals face an increasingly expensive market.
\nThe analysis, which covered 20 major municipal councils, indicates a widespread rise in rental costs. The source of the data is Idealista's own market report, which tracks thousands of listings on its platform, providing a comprehensive overview of the current rental landscape. The methodology involves comparing the average cost of room rentals in Q2 2025 with the same period in 2024.
\nThe most significant price surge was recorded in Bragança, where room rents jumped by 15%. Other notable increases occurred in Guarda and Castelo Branco, both with a 13% rise, and Coimbra, which saw a 12% increase. The regional capitals of Ponta Delgada in the Azores and Funchal in Madeira also experienced a 10% hike in rental prices. Viseu and Viana do Castelo both registered an 8% increase, while Vila Real saw a 6% rise. More moderate increases were noted in Évora, Portalegre, and Leiria, all at 4%, and Setúbal at 3%.
\nInterestingly, several key cities, including Aveiro, Beja, Braga, Faro, and the capital, Lisbon, saw prices remain stable during this period. However, Lisbon continues to hold the title for the most expensive city to rent a room, with average monthly prices reaching €550. Following Lisbon are Funchal at €440 per month and Porto at €430 per month. In a surprising turn, Porto was the only city in the analysis to record a price decrease, with room rents falling by 3% over the last year.
\nThe data shows a clear geographic disparity in rental costs. While major urban centers command the highest prices, more affordable options are available in smaller cities. Guarda is listed as the most economical city, with an average room price of €200 per month, followed by Bragança at €230. Other cities with rents below €300 include Leiria (€290), Viseu (€270), and Castelo Branco, Vila Real, Portalegre, and Beja, all at €250.
\nIndustry experts note that these trends reflect the broader pressures on Portugal's housing market. A spokesperson for the National Association of Landlords commented, “The demand for affordable housing far outstrips supply, particularly in metropolitan areas. While new student residences are being built, they are not keeping pace with the number of students and young professionals entering the market.” This sentiment is echoed by real estate analysts, who point to a combination of factors including increased tourism, foreign investment, and a slow-moving construction sector.
\nThe government has acknowledged the housing crisis, with the Minister for Housing recently stating, “We are actively exploring measures to increase the supply of affordable rental properties, including incentives for landlords and streamlining the approval process for new construction.” However, the effects of these policies have yet to be felt in the market, and no immediate response to the latest rental data has been issued.
\nHistorically, room rentals were predominantly associated with the student population. However, the current data indicates a significant shift. The report from Idealista highlights that renting a room has become a long-term housing solution for many young professionals and single individuals who are priced out of the traditional apartment rental market. This trend is expected to continue as property prices and full-apartment rental costs remain high.
\nLooking ahead, market analysts anticipate that rental prices for rooms will continue to climb, albeit potentially at a slower pace as affordability ceilings are reached. Future reports will be watched closely to see if government interventions begin to stabilize the market or if the trend of rising costs persists. Stay informed on Lisbon property market developments at realestate-lisbon.com.
