With Lisbon’s high-end properties drawing international buyers and regional markets experiencing rapid growth, Portugal presents a prime opportunity for investors seeking value and long-term returns.
Property Market-Index research has found that house prices across the country rose by 4.2% in January 2025 compared to the same period in 2024.
This is in addition to the median cost of buying a house in Portugal, which reached €2,675 per square meter at the start of the year. In January, property prices also increased in 18 out of the 20 district capitals examined across property.
Experiencing the most property price growth were regions Évora (17.2%), Beja (16%) and Vila Real (15.4%), while housing has also become more expensive in the last year in Santarém (15.3%), Setúbal (14.4%), Leiria (12.2%), Ponta Delgada (10.5%), Bragança (10.1%), Ferragudo/Carvoiero (9.6%), Viseu (8.4%), Funchal (8.7%), Coimbra (7.9%), Guarda (7.5%), Braga (7.1%), Faro (4.6%), Porto (3.1 %), Castelo Branco (3%), Portalegre (2.9%) and Viana do Castelo (1.4%).
International property market researcher and Property Market-Index spokesperson Amanda Collison can see why investor interest is increasing across Portugal:
“Portugal’s property market continues to demonstrate remarkable resilience and growth, with both prime urban locations and regional hotspots attracting increasing investor interest.”
“The latest data underscores the strong demand across the country, particularly in cities like Évora, Beja, and Vila Real, where price surges reflect the evolving appeal of regional investment opportunities.”
Aveiro was the only district in Portugal where property prices remained predictably stable. The only location where property prices fell was the capital city, Lisbon (-1%).
However, the capital remains the most expensive location in Portugal to buy a property. It is also the only European city referenced in the latest Trend Report 2025 as one of the most attractive destinations for luxury real estate investment.
This was alongside international metropolises such as Dubai, Singapore, Barcelona and Melbourne.
“Despite a slight price dip, Lisbon remains Portugal’s premier real estate hotspot, attracting high-net-worth investors and international buyers looking for prime luxury properties,” said Amanda Collison, spokesperson for Property Market-Index.
“Its increasing global recognition further cements its status as a top-tier investment destination, on par with cities like Melbourne and Dubai. With strong long-term fundamentals, Lisbon offers exceptional opportunities for those seeking a luxury lifestyle and financial returns.”