Updated: April 24, 2025

 

From Europe to the USA, more foreign buyers than ever before have turned their attention to Portugal, attracted to the perfect blend of sublime weather, high quality of life, and investment opportunities.

Perhaps the most important factor to consider for those moving to Portugal is accommodation. Once you have this sorted, the rest seems to fall into place in no time.

Here, we delve into recent trends regarding foreign nationals seeking accommodation in Portugal, and discuss how we can help match you with your ideal rental property in Portugal.

Non-EU Nationals Lead the Way for Accommodation in Portugal

Investors interested in finding accommodation in Portugal increased towards the end of 2024 and into 2025, particularly amongst non-EU nationals. While recent changes have impacted non-EU nationals looking to buy property or relocate to Portugal, such as the Golden Visa real estate investment pathway coming to an end, since 2023, there has been a clear trend that demand for housing by citizens living outside the EU is higher than the interest from those living in the EU, both in terms of renting in Portugal and buying property.

Towards the end of 2024, there was a slight increase in interest from non-EU citizens looking to buy or rent a property in Portugal. 54 percent of international demand to buy property was from non-EU nationals, while, for rentals, this number jumps to almost 64 percent.

Non-EU Nationals Dominate Searches for Rentals in Portugal

Almost all of the 20 Portuguese district capitals have a strong demand for houses to rent from non-EU nationals, with Madeira leading the way, with 80.2 percent of foreigners coming from outside Europe. This is followed by:

  • Braga: 78.2 percent
  • Leiria: 75.1 percent
  • Porto: 65.7 percent
  • Lisbon: 59.8 percent
  • Faro: 56.3 percent

In the past year, demand for homes to rent by non-EU foreigners has increased in 11 municipalities in Portugal, with Portalegre, Faro, and Funchal having the most significant increases.

This trend is not universal across Portugal, with Aveiro showing stable figures and with the number of non-EU foreigners looking to rent falling in eight municipalities, including Guarda, Castelo Branco, Santarém, Bragança, Leiria, Beja, and Viana do Castelo.

Challenges in Finding Your Ideal Rental Property in Portugal

With demand for accommodation continuing to increase in Lisbon, Porto, and many other hotspot locations, it can be tricky to find the property that matches your requirements.

For many seeking residency in Portugal, such as through the Portugal D7 Visa, you will also be required to provide proof of accommodation in Portugal as part of your application.

Whether you are moving with family, looking to work remotely from Portugal, or want to find your ideal rental property to retire in Portugal, getting the best deal requires careful study of the market, patience, and perfect timing.

You’ll want to consider the following when scouting out rental accommodation in Portugal.

  • High demand and low supply: The continued demand for properties in Portugal and limited supply can make it difficult to find properties that match your needs.
  • High rental prices: Current market conditions and increased demand has led to price increases, meaning that it can be difficult to find good deals and fair prices. 
  • Language barriers: Some listings are only shown in Portuguese, and some sellers will only speak Portuguese. As such, if you do not speak Portuguese, communication challenges can arise, which makes contract negotiation, local regulations, and tenants’ rights tricky.
  • Negotiation: To get a fair price, you may be able to negotiate with the seller for the best terms to strike a deal. However, if you are unsure of the market dynamics or do not speak Portuguese, you may end up paying more. 
  • Potential scams and properties with problems: Rental scams are now unfortunately common in every country and Portugal is no different. It’s important to thoroughly vet properties and check for issues such as mold or structural problems. Be cautious of contracts to avoid fraudulent schemes or unexpected maintenance issues.

Is it better to rent or buy?

Renting

Buying

Pros

• Flexibility to move or explore different areas before buying

• Lower upfront costs

• Usually no maintenance responsibilities

• No property taxes or transaction fees

• Long-term cost savings if staying for a longer period of time

• Potential for property value appreciation

• Can generate rental income

• You can personalize the property

Cons

• No equity

• Rent prices are high in key cities in Portugal

• Limited control over the property, can often not personalize the property

• Higher upfront costs

• Maintenance and property taxes

• Less flexibility to relocate quickly

Best For

• Short-term stays

• Digital nomads or expats trying out Portugal before committing to purchase property

• Longer-term residents

• Investors or those seeking rental income

• Families or individuals looking for stability

Financial Impact

• Monthly rent is often cheaper in the short term

• No capital appreciation

• Builds equity over time

• Opportunity for capital gains or passive income

Goldcrest: We Are Here to Help

If you are seeking a rental property in Portugal, our highly qualified rental team is on hand. We are focused on finding the perfect match for you based on your needs and requirements.

  • We can find your ideal rental property based on your lifestyle aspirations.
  • We can assist in securing a rental property for when you first move to Portugal. For example, to provide proof of accommodation for when you apply for residency.

You can find out more about how we can assist you here: Property Rental Search Service.