Portugal’s median bank appraisal values hit a record in November, with the national average reaching €2,060 per square meter. Greater Lisbon and the Algarve remain the country’s most expensive regions.
Portugal’s real estate market shows no sign of slowing down, with the latest data revealing a new record for house appraisal values. According to the National Statistics Institute (INE), the median value of bank appraisals on housing reached €2,060 per square meter in November—an all-time high and a striking 18.4% increase compared to the same month in 2024.
This annual surge in home appraisal value even outpaces October’s growth rate of 17.7%. On a month-to-month basis, November’s figure is €35 higher than the previous month, reflecting the persistent upward pressure in Portugal’s property market.
Regional Highs and Record Growth
The Setúbal Peninsula recorded the most dramatic annual increase, with appraisal values jumping 26.9% compared to last November. Meanwhile, the Azores saw the biggest month-to-month rise, with a 3.8% uptick from October.
The figures are based on 36,282 bank appraisals conducted in November, marking a 7.1% rise in activity from October, although the total is still 2.4% below last year’s level—an indication of ongoing strong but fluctuating demand.
Apartments Lead the Way
Breaking the data down, apartments continue to see higher appraisal values than houses. In November, the median appraisal price for apartments soared to €2,389 per square meter—a 22.9% increase year-on-year.
- Greater Lisbon tops the list with a staggering €3,143 per square meter, reinforcing its status as Portugal’s most expensive region for apartment buyers.
- The Algarve follows at €2,771 per square meter, attracting both local and international property seekers.
- In contrast, the Center (€1,532/m²) and Alentejo (€1,543/m²) regions remain the most affordable for apartment buyers.
The Setúbal Peninsula was also a standout this year, with year-on-year growth for apartment appraisals reaching an impressive 29.3%.
House Prices on the Rise
For houses, the national median appraisal value reached €1,500 per square meter—up 13.6% from last year.
- Greater Lisbon again led the way (€2,750/m²), closely followed by the Algarve (€2,563/m²).
- The lowest values were seen in the Center (€1,109/m²) and Alentejo (€1,183/m²).
What’s Driving the Surge in Property Values?
Portugal’s real estate market has benefited from strong domestic demand, significant foreign investment, and continued interest in urban and coastal regions. Tight supply in high-demand areas, combined with favorable lending conditions, is pushing appraisal—and ultimately transaction—values ever higher.
While this buoyant market has been welcomed by investors and sellers, rising prices present challenges for residents and first-time buyers. The record-breaking surge in appraisal values means that buying a home—whether an apartment or a house—has become increasingly expensive, particularly in hot spots like Lisbon, the Algarve, and Setúbal.
Looking Ahead
With median appraisal prices hitting new highs and growth rates accelerating, Portugal’s property sector is likely to remain in the spotlight throughout 2025. As policymakers and market watchers look for signs of a slowdown or stabilization, many buyers may find themselves priced out of their preferred regions, while others look to emerging areas for better value.
