Portugal’s housing market continued its upward trend in 2025. The median price of family homes sold rose by 16.8% compared with 2024, reaching €2,076 per m², according to the National Institute of Statistics (INE).
Based on 164,677 transactions completed during the year, the INE reports that the national median price increased by 4.3% compared with the 12 months ending in September 2025, and by 16.8% year on year.
Prices were above the national average in several sub-regions, particularly Greater Lisbon (€3,439 per m²), the Algarve (€3,139 per m²), the Setúbal Peninsula (€2,596 per m²), the Autonomous Region of Madeira (€2,500 per m²) and the Porto Metropolitan Area (€2,305 per m²).
In total, 56 municipalities recorded median prices above the national figure. Most of these were concentrated in Greater Lisbon (all nine municipalities), the Setúbal Peninsula (all nine), the Algarve (14 out of 16) and the Porto Metropolitan Area (nine out of 17).
Lisbon remains the most expensive municipality.
Lisbon recorded the highest house prices in the country, with a median of €4,875 per m². Other municipalities with prices above €3,500 per m² included Cascais (€4,550 per m²), Oeiras (€4,187 per m²), Loulé (€3,993 per m²) and Lagos (€3,801 per m²).
According to the National Institute of Statistics (INE), the Algarve, the Porto Metropolitan Area and Greater Lisbon showed significant price gaps between municipalities, in some cases exceeding €2,000 per m².
In terms of activity, Lisbon also registered the highest number of family home transactions in 2025, with 8,235 sales. It was followed by Sintra (6,363), Vila Nova de Gaia (5,494) and Porto (4,503), each recording more than 4,500 transactions over the year.
Where else do foreigners buy houses, and for how much?
Lisbon had the highest median house prices among Portugal’s 24 largest municipalities (over 100,000 inhabitants), reaching €4,813 per m² for domestic buyers and €6,026 per m² for buyers with tax residence abroad.
Alongside Lisbon, the municipalities of Cascais, Oeiras and Porto also recorded prices above €3,300 per m² in purchases made by buyers with tax residence in Portugal, and above €4,100 per m² for buyers with tax residence abroad.
Among the 24 Portuguese municipalities with more than 100,000 inhabitants, Lisbon, Cascais and Oeiras had the highest median house prices across both buyer categories. Meanwhile, Loures showed the biggest gap between the two groups, with a price difference of €1,382 per m².
New-build vs. existing home prices
Across Portugal’s 24 municipalities with more than 100,000 inhabitants, newly built homes were generally more expensive than existing properties last year. The only exception was Amadora, where existing homes had a median price of €258 per m² higher than new builds, at €3,014 per m² compared to €2,756 per m².
Looking at the figures more closely, Guimarães recorded the lowest median price for new homes, at €1,695 per m². At the other end of the scale, Lisbon and Cascais had the highest prices for new-build properties, reaching €5,890 per m² and €5,121 per m² respectively.
The widest gap between new and existing homes was found in Lisbon. There, new properties averaged €5,890 per m², while existing homes stood at €4,725 per m², a difference of €1,165 per m².
How did prices evolve in the fourth quarter of 2025?
In the fourth quarter of 2025, the median price of the 41,789 family homes sold in Portugal reached €2,198 per m². That represents a year-on-year increase of 17.5% compared with the same quarter in 2024, slightly up on the 16.1% annual growth recorded in the previous quarter.
As expected, the highest prices were found in Lisbon, at €5,198 per m², followed by Cascais at €4,654 per m² and Oeiras at €4,225 per m².
At the same time, the number of transactions fell by 5.3% compared with the fourth quarter of 2024. Even so, prices continued to rise across most of the country. The only areas to see a decline in median house prices were Alto Tâmega e Barroso (-12.1%) and Madeira (-8.3%).
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