From rising prices and scrapped tax benefits to crackdowns on short-term rentals, 2023 was a hectic year, to say the least, for the real estate market in Portugal. As we enter a new year, these are the trends that experts foresee into 2024 and beyond.

Sustainability
More than just a trend, environmental awareness is a growing requirement for real estate investments. Integrated renewable energy systems and low-energy buildings will add significant value to any property.

Functionality
Continuing the trend that emerged after the pandemic, practicality and versatility are key in today's property market. Demand for functional spaces that are optimised for work, leisure and family life will continue into 2024.

Digitalisation
Property searches and purchases will become even easier and streamlined, especially for overseas buyers, as technology innovations such as virtual reality, virtual tours and artificial intelligence (AI) become the norm in 2024.

The technology trend will be particularly evident in the luxury real estate market, as home automation systems, advanced security, and technologies used for leisure will make integrated smart homes the standard of excellence for premium Algarve properties.

Other expected trends for the luxury real estate segment in the Algarve, which has continued to grow as an international luxury residential destination, are properties in strategic locations that combine convenience, privacy and access to exclusive amenities, and properties with added experiences such as private spas, leisure areas and outdoor spaces.

If buying or selling a property in Portugal is on your list of New Year's resolutions, speak to the Algarve Home Sales team for trusted local advice.