Median Housing Price in Portugal Rises 19% to €2,065 per Square Meter in Second Quarter
The median price for family housing in Portugal reached €2,065 per square meter during the second quarter of the year, marking a 19% increase compared to the same period in 2024. This follows an 18.7% year-over-year increase recorded in the first quarter. The data, published by the National Statistics Institute (INE) in its Local Housing Price Statistics report, also shows that the number of transactions involving family homes rose by 15.6% compared to the second quarter of the previous year, with a total of 41,608 sales recorded. These figures point to a market characterized by both rising values and growing activity, a key focus of our real estate market insights blog.
According to the INE, median housing prices increased across all 26 NUTS III sub-regions when compared to the homologous period in 2024. The Baixo Alentejo region registered the highest growth rate, at 38.7%. However, the highest median prices were found in the country's primary real estate markets. The sub-regions of Greater Lisbon, the Algarve, the Setúbal Peninsula, the Autonomous Region of Madeira, and the Porto Metropolitan Area not only presented the highest overall median housing prices but also recorded the highest transaction values for buyers from both domestic and foreign tax domiciles.
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The report highlights a significant disparity in prices paid by domestic and international buyers, particularly in the main metropolitan areas. In the Greater Lisbon sub-region, the median price of homes purchased by buyers with a fiscal domicile abroad was 61.9% higher than the price paid by buyers with a fiscal domicile within Portugal. A similar, though less pronounced, trend was observed in the Porto Metropolitan Area, where the premium for foreign buyers was 29.0%. This data underscores the impact of international investment on property valuations in prime urban centers. Navigating these dynamics often requires specialized support, such as that provided by English-speaking accountants.
The statistics confirm that the appreciation in housing values is a widespread phenomenon across Portugal, but with varying intensity depending on the region. The persistent premium paid by foreign buyers in Lisbon and Porto suggests strong international demand for properties in these key cities, which continues to be a major driver of the local real estate markets. The combination of increasing prices and a rising number of transactions indicates a resilient and dynamic market, even as affordability challenges persist. Stay informed on Lisbon property market developments at realestate-lisbon.com.