The price of property in the Algarve, Portugal’s southern region, have risen by some 6% during the third quarter of 2018 according to the Idealist Price Index.

The price index found that the average price per square metre for a property in the Algarve is now 2,031 euros.

Whilst prices rose across the region, there were some areas of the Algarve that saw dramatic increases in prices. Property in Vila Real de Santo António rose by a massive 11.4%, followed by Silves at 7.8% and Olhão at 6.6%.

The most expensive houses in the Algarve remain in the Loulé municipality, home to the luxury resorts of Quinta do Lago, Vale do Lobo and Vilamoura. Here, average prices per square metre stand at 2,430 euros.

There are still parts of the Algarve where property can be purchased at reasonable prices with the less expensive areas being found in Silves (1,499 euros / m2), Olhão (1,301 euros / m2) and São Brás de Alportel (1,233 euros / m2).

Property prices in Portugal as a whole, over the same period, rose by 6.4%, showing that the Algarve is following national trends for house prices.

All regions saw quarterly price increases. Highlighted is the north of the country, where prices increased by 8%. This is followed by the Lisbon and Algarve regions (both 5.9%), Alentejo (4.2%), Madeira and central Portugal (both 3.5%).

Lisbon, with 2,629 euros / m2, remains the most expensive region, followed by the Algarve where it costs 1,916 euros / m2 and Madeira (1,546 euros / m2). At the opposite end of the spectrum is the central region (996 euros / m2), the Alentejo (1,129 euros / m2) and the north (1,420 euros / m2).