Overseas investors are playing a pivotal role in Portugal’s real estate boom. In 2024, they invested €2.55 billion in the property market, 39% of which was during the summer months alone. Their growing presence underscores the country’s appeal to international buyers seeking prime properties and high-quality living conditions.

According to data from the Bank of Portugal, in the first half of 2024, foreigners accounted for 6% of all transactions but 10% of the total transaction value, signalling a preference for high-value properties.

Non-resident buyers spent an average of €345,000 per property, nearly double the average spent by Portugal residents. Notably, buyers from outside the EU paid even higher averages, around €408,000.

The shift has also been seen in mortgages – almost 18% of new housing loans in the past two years were granted to international buyers, whose share of the total mortgage stock rose from 6.9% to 8.2%.

While fiscal changes, such as those made to the Golden Visa programme, might have deterred some, factors like Portugal's climate, safety, quality of life and other tax incentives continue to attract overseas buyers, especially a growing number of US citizens.

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