House prices in Portugal rose by 9.8% year-on-year in the third quarter of 2024, new data from INE, the Portuguese statistics body, has found.
Prices for second-hand dwellings rose by 10.5%, while new dwellings saw prices rise 8.1%.
The house price increase in the third quarter was the most significant rise since the fourth quarter of 2022, according to the data. It was also two percentage points higher than the year-on-year increase recorded in Q2.
Compared to the previous quarter, meanwhile, house prices in Portugal rose by 3.7% in Q3, again with second-hand dwellings (3.8%) outpacing new dwellings (3.3%).
Number of transactions
Between July and September 2024, there were 40,909 transactions for houses and apartments in Portugal, a 19.4% increase compared to the same quarter in 2023. The total value of these transactions reached almost €9.1 billion, a 28% rise from the previous year.
Second-hand dwellings accounted for 86.7% of all transactions in the third quarter. The percentage of foreign buyers in the Portuguese market was slightly down (by 3.1%) year-on-year, however.
Sales by region
The largest regions of Portugal accounted for the largest share of transactions in the quarter, with the Norte region recording 12,407 transactions, while Grande Lisboa had 7,949 transactions. Together, these two regions accounted for almost half of all housing transactions in Portugal.
The value of transactions in Grande Lisboa was €3.0 billion, or 32.6% of total sales, while the Norte region accounted for €2.3 billion, or 25.4% of total sales.
This was followed by the Algarve region, which totalled €956 million, corresponding to 10.6% of total sales, down 1.2 percentage points on the same period in 2023.
Portuguese residents accounted for 93.5% of all transactions made during the third quarter, which is a 21.4% increase year-on-year, with foreign buyers accounting for 6.5% of all transactions. Within this, transactions from buyers in the European Union were down 2.0%, while sales from buyers outside the EU decreased by 8.1%. Read more here.
