Property prices up 14.4% in 2022
The average price of homes sold in Portugal shot up by 14.4% in 2022 compared to 2021 according to statistics published by the Portuguese statistics institute INE.
That translated into an average square metre value of €1,484 and a 2.6% increase in the last quarter of 2022 on the third quarter that year.
As expected, home prices rose the most in Portugal’s most sought after residential areas in the Algarve (€2,339 per m2), in Madeira (€1,571 per m2), in Lisbon (€2,096) and Porto (€1,607).
There were 47 municipalities in Portugal with prices per square metre that were above the national average, mostly located in the Algarve (14 out of 16 municipalities) and in the Lisbon Metropolitan Area (17 out of 18 municipalities).
From the 24 municipalities with more than 1,000 inhabitants analysed by the INE, Lisbon, hardly surprising, topped the list as the most expensive city to buy a property in Portugal.
The average value in the capital was €3,768 per square metre, with this figure rising to €5,367 per square metre with houses purchased by foreigners.
Apart from Lisbon; Cascais, Oeiras and Porto saw house prices sell for over €2,500 per square metre for locals and €3,500 per square metre for foreigners.
Santo António and Marvilha are the most expensive parishes in Lisbon (€5,753 per m2) and €5,440 per m2) respectively, with house prices up 63.1% because of the sale of new build which represented around 70.4% of the transactions in that parish, with the highest average prices in the city.
In Lisbon, other neighbourhoods in demand were Campo de Ourique (€4,760 per m2), Alvalade (€4,271 per m2), Belém (€4,200 per m2), São Vicente (€4,200 per m2) and Ajuda (€4,068 per m2) which were all above the average price per square metre in Lisbon as a whole (€3,872 per m2) which represented an overall increase of +9.7% on the same period in 2021.
Other prices in Lisbon were: Santa Clara (€2,622 per m2), Beato (€3,009 per m2), Penha de França (€3,246 per m2), Lumiar (€3,371 per m2), Campolide (€3,559 per m2), Carnide (€3,649 per m2) and Areeiro (€3,793 per m2), – the lowest prices in Lisbon.
In Porto: Aldoar, Foz do Douro e Nevogilde (€3,463 per m2), Cedofeita, Santo Ildefonso, Sé, Miragaia, São Nicolau and Vitória (€2,967 per m2), Lordelo do Ouro and Massarelos (€2,856 per m2)) with average prices higher than the overall Porto average (€2,568 per m2) with average variation rates at +12,7%.
The parishes of Bonfim and Paranhos registered an average price of €2,456 and €2,423, respectively, below the Porto average with like-for-like variation rates of €22.8% and 14,3%, respectively.
Campanhã was €2,105 per m2 and Ramalde €2,275 per m2, both with like-for-like variation rates for average prices that were lower than the Porto average.
DR: Photo Paulo Esteves, Remax.