Would you prefer to buy a premium apartment or a high-end villa with a pool, garden, and spacious areas? In Portugal, there are luxury homes to suit all tastes and needs. However, when it comes to making a decision, high-net-worth buyers tend to favour villas over apartments. This may be because there is nearly double the number of villas available, and the price per square metre is lower.
Recent data from idealista/data, covering the last three months up to January 2025, helps explain this trend:
- More villas available: When looking at homes priced above 1 million euros across the country, the number of villas for sale (almost 11,500) is more than double the number of apartments available (nearly 5,700 in this period).
- Lower price for villas: The average price for villas was 5,077 euros per square metre (€/m²), 27% less than the price for apartments (6,973 €/m²).
As a result, buyers looking for a luxury home in Portugal have a broader selection of villas to choose from. They also pay less per square metre, meaning they can purchase larger properties within the same budget or enjoy additional features such as a pool and garden.
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Luxury villas for sale in Portugal: what are the most sought-after areas?
The Lisbon district is where potential buyers are most actively searching for luxury villas. The island of São Miguel, Coimbra, Setúbal, and Leiria also see a high number of searches for villas priced over 1 million euros.
On the other hand, Viseu, Castelo Branco, and Beja are the districts that have seen the least interest from potential luxury buyers (both domestic and international). It's worth noting that these areas, located inland, also have the fewest premium villas for sale during this period (less than 50 properties).
According to the same data from idealista/data, Faro in the Algarve has the highest number of high-end villas available for purchase, with over 4,000 properties listed in the last three months ending in January 2025. This might explain why demand for luxury villas in the Algarve's capital is spread across such a high supply.
The list of districts and islands with the most luxury villas for sale is topped by Lisbon (3,676 properties), Porto (1,093), Setúbal (1,058), and Madeira (535). All other 13 districts and islands analysed (with representative sample sizes) had fewer than 500 premium villas for sale during this period.
Where are the most expensive premium villas?
For those looking for a home in the high-end residential market, it is in the Portuguese capital where the highest prices can be found: the average cost of a premium villa for sale was 5,540 euros per square metre. Alongside Lisbon, three other districts have house prices above 5,000 euros per square metre: Faro, Setúbal, and Vila Real.
On the other hand, the areas with the lowest prices for luxury villas per square metre are Portalegre, Castelo Branco, and Viana do Castelo (under 2,650 euros/m²), according to the same data.
A combination of prices, location, space, and additional amenities results in high-priced homes sought after by both national and international buyers with strong purchasing power. There are six districts where the average cost of high-end villas exceeds 2 million euros: Beja, Vila Real, Lisbon, Setúbal, Castelo Branco, and Faro. Only four districts have average prices for these villas around 1.3 million euros (the lowest of all): Leiria, São Miguel Island, Coimbra, and Viana do Castelo.
Luxury apartments for sale: how is demand and supply?
It is in Lisbon that luxury buyers show the most interest in investing in a luxury apartment – and it is also the district with the highest number of available properties (3,776) and the highest prices (7,811 euros per square metre). The Porto district has also attracted attention, with nearly 750 premium apartments for sale in the last quarter ending in January.
Faro and Madeira Island also have a notable supply of high-end apartments for sale (over 250). On the other hand, Viana do Castelo and Braga have the lowest number of such properties for sale priced from 1 million euros.
Right after Lisbon, the most expensive districts and islands to buy a luxury apartment – out of the 8 with representative sample sizes – are Faro, Porto, Madeira Island, and Setúbal, all of which have average prices above 4,000 euros per square metre.
The same idealista/data indicates that the average price per square metre for luxury apartments tends to be higher than that of premium villas. However, the final price for luxury apartments seems to be lower, with prices around 1.7 million euros in Lisbon, 1.6 million euros in Faro, and 1.4 million euros in Porto.
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