Prices rose nearly 17% and some see another 15% this year. What it means if you're buying, selling — or hunting for alternatives.

By Duarte Figueiredo

Illustrative · Photo: Neriman Özaydın / Pexels

The Bank for International Settlements looked at 57 economies. Real house prices fell in 14 of them and fell 1.2% globally — and nowhere rose faster than Portugal.

If you want to understand Portuguese housing, the most useful thing you can do is look somewhere else. The Bank for International Settlements — the central bankers' central bank — has just run the numbers on 57 economies. Real house prices rose in 39 of them, held steady in four and fell in 14. Nowhere did they rise as fast as here. Portugal posted 15.2% real annual growth in the first quarter, meaning after inflation has been stripped out. North…

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The Simplified Affordable Rental Regime came into force on 1 September and wipes out income tax on rent entirely, provided the rent stays under a municipal ceiling. The alternative, a flat 10%, expires in 2029.

Anyone with a flat to let in Portugal woke up on 1 September with two sums to do, and the answer changes from one council to the next. The Simplified Affordable Rental Regime, known here by its initials RSAA, has replaced the old rental support programme, and a second instrument came into force alongside it for developers. Both came out of the housing tax package approved in May. The first sum is the easy one. A residential tenancy with rent up to 2,300…

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A running tracker of Portugal's housing market — the INE price index, bank valuations, rents and affordability. Updated with each new data release.

We gather here, in one place, how Portugal's housing market is moving. Instead of one article per data point, we update this page with the essentials: the INE price index, bank valuations, rents and affordability for buyers and renters — which since 1 August also runs through the new mortgage rules, with the debt-service cap down to 45%. Official data is at INE.

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Twelve-month Euribor closed August at 2.954%, a two-year high. On a 150,000-euro loan over 30 years with a 1% spread, a contract resetting this month pays about 712 euros against 642 a year ago.

August is closed, and August is what governs the contracts being reset right now. Twelve-month Euribor finished the month at 2.954%, up 0.099 points on July and the highest reading in two years. The six-month rate, the one most Portuguese contracts follow, rose to 2.713%. Three-month came in at 2.513%. Put that on a loan. On 150,000 euros over 30 years with a 1% spread, an annual reset lands at roughly 712 euros a month. Last September, with twelve-month…

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Supply fell 11%, demand rose 27%, and the national median price moved just 1%. idealista's second-quarter figures show where the squeeze actually landed and where a room still goes for under 300 euros.

A room in a shared flat in Portugal cost 1% more in the second quarter of this year than it did a year earlier. That sounds like the market finally taking a breath. Underneath it, almost nothing was calm: demand rose 27% nationally while the number of rooms advertised fell 11%. The median held because the rises and falls cancelled each other out across the country. Rooms got more expensive in 13 of the 20 municipalities in the study. In two, they got…

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The implicit interest rate on Portuguese home loans rose to 3.135% in July, a second straight monthly increase. The national average now blends two housing markets that no longer resemble each other.

The monthly housing-credit bulletin INE published on Thursday led with two figures: the implicit interest rate across all outstanding mortgages rose to 3.135% in July, up 3.4 basis points on June, and the average monthly payment settled at 414 euros. Four hundred and fourteen euros a month sounds almost manageable. Which is exactly why the rest of the bulletin is worth reading.

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In the second quarter, 43% of rental adverts in the Évora district left the market inside a day. Lisbon managed 5% and Porto 7%. Nationally the figure fell from 11% to 7% quarter on quarter.

House-hunting in Évora is a different sport. Almost half the listings in the city vanish before most people manage to book a viewing. The figures come from idealista/data and cover the second quarter of this year. Across the Évora district, 43 per cent of homes advertised to rent left the market in under 24 hours. Narrow it to the city and the share climbs to half.

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Six-month Euribor fixed at 2.737% on Thursday, its highest since 22 November 2024. All three maturities rose on the same day, and the six-month is the one most Portuguese loans are tied to.

Six-month Euribor fixed at 2.737% on Thursday, the highest it has been since 22 November 2024. That is very nearly 21 months, and the move came on a day when all three maturities went up together: the twelve-month added 0.013 points to 2.990%, the three-month added 0.015 to 2.507%. None of those numbers is alarming on its own. What matters is where the increase lands, and it lands on the maturity most Portuguese households actually have in their contract.…

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Law 48/2026 reinterprets the reduced VAT rule for urban rehabilitation works back to 2009. Portugal's certified accountants warn that a four-year assessment window means only VAT due from 2022 onwards can realistically be recovered.

For fifteen years there was a trap buried in the VAT rules on urban rehabilitation. The building sat inside a properly delimited urban rehabilitation area, the contractor charged 6%, and then the tax authority disagreed: the council had never approved a rehabilitation operation for that area, so the rate was 23%. Law 48/2026 has now decided the contractors were right all along. It is an authentic interpretation of item 2.23 of List I of the VAT Code, the…

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The PRR clock stops on 31 August, and 1.º Direito was the housing target easiest to count. In a joint note on Saturday two ministries said the goal will be beaten, with 40,000 homes promised by December.

Portugal's Recovery and Resilience Plan has one date that does not move: 31 August 2026. That is when the country has to show Brussels it hit the milestones it signed up to, and housing was the chapter with the most countable target of all. Twenty-six thousand homes made available to families through 1.º Direito, the public housing access programme run by the IHRU alongside municipalities.

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Portugal's infrastructure minister says the Chelas–Barreiro rail-and-road bridge and the Algés–Trafaria tunnel will both be finished inside a decade, cutting ten minutes off the Lisbon–Barreiro run and thirty off Lisbon–Setúbal.

At the 25 de Abril bridge's 60th birthday, Portugal's infrastructure and housing minister chose to talk about what does not exist yet. Miguel Pinto Luz said the Tagus will gain two new crossings within ten years: a bridge from Chelas to Barreiro, and a tunnel between Algés and Trafaria. His framing was arithmetic, and it explains why the promise sounds large. Major Tagus crossings have historically arrived roughly every thirty years, the 25 de Abril six…

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The urban lease reform approved in cabinet cuts the arrears threshold from three months to two, gives landlords six months to act, frees the starting rent on new contracts and rewrites the rules for pre-1990 leases.

As the law stands, a tenant in Portugal has to fall three months behind on rent before the landlord can terminate the lease. Under the reform approved in cabinet, two will be enough. That is the bluntest change in a package the government presents as a way of coaxing empty flats back onto the rental market, and which it announced as a reform to increase housing supply. None of it is in force. This is a draft law: parliament has to debate and vote it, the…

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Faro hit €22.5 per square metre in July, edging past Lisbon district on €21.4 for the first time in the series. Nationally, rents rose 0.9%, ending six straight months of falls.

For years this question had one automatic answer. In July it stopped having one. Faro district now carries the highest median rent in the country at €22.5 per square metre, ahead of Lisbon district on €21.4. It is the first time that has happened in the series. The figures come from idealista's July rental price index, and they arrive with a second number that reframes the picture. Rents across Portugal rose 0.9% against July last year, to a national…

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Coimbra's agricultural cooperative sold the building beside the disused Estação Nova for €5.8 million after seven years on the market. It carries more than six thousand square metres of buildable area and the deed was signed on Thursday.

It waited seven years for a buyer and changed hands on Thursday. Coimbra's agricultural cooperative has sold the former Grémio da Lavoura building, beside the disused Estação Nova in the city's Baixa, to a Spanish property fund for €5.8 million. The price landed close to what the sellers wanted. Cooperative president Pedro Pimenta says the offers that arrived over the years were low and the internal target sat around six million. What the buyer gets is…

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