Pace of house price increases accelerate in 92% of Portugal’s districts in 1Q
The rate of residential house increases remained at a buoyant level in the first three months of 2025.
According to residential price indices from Confidencial Imobiliário between January and March this year, 92% of districts monitored on mainland Portugal (257 out of 278) saw sharper increases on the last quarter of 2024.
The number of districts with annual increases above 15% doubled, going from 93 to 186 in just three months. The peak of appreciation among the municipalities analysed also expanded, from 26% in the 4th quarter of 2024 to 31% in the 1st quarter of 2025.
This trend is predominant both in district capitals and in the markets of the metropolitan areas of Lisbon and Porto, as well as in the Algarve. The capital of the latter region, Faro, is precisely one of the cities in the country with the highest increase in the pace of price growth, from an increase of 11.5% at the end of 2024 to an annual growth of 22.9% in the period under review.
Other district capitals with strong increases in valuation are inland cities, such as Portalegre, Beja, Santarém, Castelo Branco and Vila Real, which recorded valuations of between 15% and 24% in the first quarter of this year.
Portugal’s two main cities, Lisbon and Porto also saw an increase in the pace of house price rises.
In the case of Lisbon, it was 8.6% and Porto 10.7% compared to 5.5% and 7.8% respectively in 4Q of 2024.
In the metropolitan region of Porto, all markets saw an increase in the pace of house price increases with Vila do Conde (+24.9%) standing out, while in the Lisbon Metropolitan Region, Mafra saw the biggest increase in prices (+22.1%), Moita, Alcochete and Seixal were exceptions showing a slow down or remaining stable for the period.
Other exceptions to the general trend were the district capitals of Aveiro and Leiria, and also Portimão, in the Algarve. All these municipalities maintained positive trajectories, in Aveiro the valuation is was 2.0%, one of the lowest in the whole country, in Portimão it was 3.3% and in Leiria the increase was 6.9%.
