Another week, another set of data revealing that Portugal's property market is still booming. According to the Residential Price Index released last week, property prices in Mainland Portugal have continued to rise throughout 2021.

Compiled by the real estate data bank Confidencial Imobiliário, the index shows that the price for a home registered an accumulated increase of 6.4% between January and July this year. Compared to the previous month, July saw a 0.6% rise.

However, it's the second consecutive month in which the monthly variation has slowed down. After reaching 2.5% in May, which broke the pattern of relative stability observed since the start of the pandemic, in June, the monthly variation of house prices was of 1.1%.

In year-on-year terms, the valuation reached 5.7% in July, the highest record of this indicator since October last year. The average home sale price (considering an accumulated period of three months) stood at €1,844/sqm, with an average sale time of six months.

While the performance of Portugal's real estate market during the pandemic has been something of a surprise (read more), the country's continued popularity among investors has not. And it's especially true among high-end buyers (see here).

Speaking ahead of the Portugal Real Estate Summit, which takes place in Estoril at the end of September, the director of Iberian Property, António Gil Machado, believes that “Portugal is very well positioned to capture an important slice of the liquidity that is available to the real estate sector at a global level in the context of a new normal”.

In a statement sent to the press, referring to the variety of nationalities set to attend the event, he continued: “There is still a high interest of international investors and developers in Portugal and in its real estate in the post-Covid period.”

To find out more about investing in real estate in Portugal, the Algarve Home Sales team is on hand. Contact us here.