The market data for 2025 shows Portugal’s housing market is sharply divided: prices up to 7.3x higher in Lisbon and tourist coasts than in the interior.
Portugal’s housing market remains highly uneven in 2025, with buyers facing price differences that can reach 7.3 times between the most and least expensive districts, according to Imovirtual data. Coastal and metropolitan districts — driven by jobs, tourism and investor demand — command the highest values, while much of the interior continues to offer markedly more affordable options.
At the top of the list is Lisbon, the most expensive district to buy a house, with an average price of €650,000. Close behind are Madeira (€575,000), Faro in the Algarve (€530,000), Porto Santo (€480,000) and Setúbal (€460,000). In these markets, prices sit between roughly 10% and 55% above the national average, reflecting concentrated employment, services and tourist appeal.
By contrast, inland districts remain the cheapest. Castelo Branco is the most affordable district with an average price of €89,000, followed by Guarda (€100,000), Graciosa Island (€110,000), Bragança (€115,000) and Portalegre (€120,000). Some interior districts register prices up to 79% below the national average, underlining the persistent coastal–interior imbalance.
Regional breakdowns underline the divide: metropolitan areas post an average price of about €527,125 — roughly 25% above the national reference — while the interior averages around €164,944, about 61% below it. Island markets as a whole average €286,273, though they range from premium markets like Madeira to much smaller, less expensive islands.
Taken together, the gap between the most and least expensive districts reaches an absolute difference of approximately €561,000. The figures highlight long-standing structural trends in Portugal’s real estate market: high demand and price pressure in metropolitan and tourist zones, and continued affordability in less connected, rural areas.
For buyers and policymakers, the data reinforce two clear messages: coastal and metro markets require strategies to manage demand and housing affordability, while the interior still offers opportunites for value-driven purchases, remote-working relocation and targeted regeneration initiatives.
