Housing Valuations Rise 17.7 Percent in Portugal

Housing valuations in Portugal continue to rise, with the median value at €1,995 in September 2025. This is a 17.7 percent year-on-year rise, according to the National Institute of Statistics (INE), indicating the market value of houses in Portugal continues to rise substantially.

Capital Appreciation of Portugal Properties 

According to INE, in September 2025, the median bank appraisal value for housing increased to €1,995 per square meter, an increase of 1.5 percent (€30) compared to August 2025.

Portugal’s real estate market showed property value increases in several of the most popular and key areas in the country. The Greater Lisbon Area, the Algarve, the Setúbal Peninsula, the Alentejo coastal area, and the autonomous island of Madeira all recorded appraisal values that were higher than the national average.

On the other side of the spectrum, the northeastern Alentejo, Beiras and Serra da Estrela, and Beira Baixa showed lower values compared to the national median.

Setúbal Posts Strongest Year-on-Year Surge

The most noticeable increase, when comparing year-on-year property value increases, was in the Setúbal Peninsula, registering a +25.9 percent increase. Just a short drive south of Lisbon, Setúbal now has a strong international community and is popular with both local and foreign buyers. Setúbal, Portugal, real estate, is gaining attention for its strong growth prospects and affordable entry prices (€3,666 per square meter), with access to both nature and urban life.

The autonomous islands of Azores showed the most significant increase in house valuations in September compared with the previous month of +2.9 percent. Property prices in São Miguel, the largest island of the Azores, stand at €2,246 per square meter. The stunning natural landscapes and high quality of life key pull factors for those considering buying property in the Azores.

Market Momentum Remains Strong

The continued increase in appraisal values underscores the sustained demand in the Portuguese property market, which is driven by both domestic and foreign interest, alongside limited supply in key coastal areas.

While increased demand has led to significant price increases, property owners are in an advantageous position as houses continue to appreciate well over time.