Foreigners accounted for 28% of home purchases in Portugal last year, according to data from the Bank of Portugal released on May 27th, 2026 in the Financial Stability Report.
The main countries of origin for these foreign buyers (residents and non-residents in Portugal) are Brazil , Angola, and France .
According to the Bank of Portugal, the proportion of foreign buyers has remained relatively stable since 2019 (25% in 2019 and a maximum of 31% in 2023).
The value of transactions made by foreign buyers is, on average, higher.
The Financial Stability Report, now released, considers that the main risks to financial stability are increasing, mainly due to geopolitical tensions.
"The worsening of these tensions or the eventual sudden correction of financial markets, especially if they occur simultaneously, could negatively affect economic activity, inflation, asset prices, and the ability of households and businesses to repay their loans," the document states.
The impact could also be felt in real estate prices, where the Bank of Portugal considers that there is "the risk of an abrupt and unexpected reduction in house prices".
Regarding the banking system, the Bank of Portugal says it has demonstrated solidity and resilience, but that banks must "maintain careful risk management."
The Bank of Portugal also expressed concern about physical climate risks, recalling that, at the beginning of 2026, Portugal experienced "an extreme climate shock in some regions that highlighted the growing importance of climate and nature risks," referring to the storms that particularly affected the Central region.
