Quarterly Lease Report
The prices of houses for rent in the Algarve increased by 1% in the first quarter of the year compared to the previous quarter. According to the idealista price index, renting a house cost 13.4 euros per square meter (euros/m2) at the end of March, taking into account the median value. In relation to the monthly variation, prices rose (0.7%).
During the first quarter of 2024, prices fell in Lagoa (-8.5%), Faro (-4.3%) and Albufeira (-3%). Lagos leads the price increase, with houses registering an increase of 5%. Next are Vila Real de Santo António (4.7%), Portimão (4.7%), Silves (2.9%) and Olhão (2%).
The most expensive municipality to rent a house is Loulé (16.2 euros/mtwo), followed by Lagos (14.2 euros/m2), Portimão (13.2 euros/m2), Albufeira (12.8 euros/m2), Lagoa (12.1 euros/m2) and Faro (11.9 euros /m2). On the other hand, the most economical ones are Vila Real de Santo António (10.9 euros/m2), Tavira (11.3 euros/m2), Olhão (11.4 euros/m2) and Silves (11.8 euros/m2) .
At a national level, housing for rent increased by 2% during the same period, standing at 15.8 euros/mtwo.
District capital cities
In the first quarter, rental prices rose in seven district capitals across the country, with Braga (6.9%) topping the list. Followed by Santarém (6.3%), Coimbra (4.8%), Castelo Branco (2.8%), Lisbon (2.6%), Porto (1.4%) and Setúbal (1.1% ). In the opposite direction, prices fell in Évora (-7.6%), Funchal (-7.4%), Faro (-4.3%), Aveiro (-2.1%) and Leira (-0.8 %).
Lisbon continues to be the city where it is most expensive to rent a house: 21.5 euros/m2. Porto (17.1 euros/m2) and Funchal (13.5 euros/m2) occupy second and third place, respectively. This is followed by Faro (11.9 euros/m2), Setúbal (11.7 euros/m2), Coimbra (11.2 euros/m2), Aveiro (11.1 euros/m2), Évora (10.7 euros/ m2) and Braga (9.2 euros/m2).
The most economical cities are Castelo Branco (6.8 euros/m2), Santarém (7.9 euros/m2), and Leiria (8 euros/m2).
Districts/Islands
Of the districts and islands analyzed, the prices of houses for rent fell in Castelo Branco (-9.6%), São Miguel island (6%), Portalegre (-4.5%), Vila Real (-4.4% ), Évora (-4.3%), Viseu (-4.1%) and Madeira Island (-0.9%). On the other hand, prices rose in Beja (12.6%), Braga (7%), Coimbra (5%), Lisbon (2.5%), Santarém (1.7%) and Aveiro (1.4% ). The smallest increases took place in Faro (1%), Setúbal (0.7%) and Viana do Castelo (0.6%). In Porto (0.2%) and Leiria (0.1%) prices remained stable during this period.
It should be noted that the ranking of the most expensive districts to rent a house is led by Lisbon (19.6 euros/m2), followed by Porto (15.1 euros/m2), Madeira Island (13.4 euros/m2), Faro (13.4 euros/m2), Setúbal (12.6 euros/m2), Coimbra (10.3 euros/m2), Beja (10.2 euros/m2), Évora (9.9 euros/m2), Aveiro (9.4 euros/m2), Leiria (9.3 euros/m2) and Braga (9.1 euros/m2).
The cheapest prices are in Portalegre (5.8 euros/m2), Vila Real (5.9 euros/m2), Castelo Branco (6.8 euros/m2), Viseu (7.1 euros/m2), Santarém (7.5 euros/m2), Viana do Castelo (8.2 euros/m2) and São Miguel island (8.5 euros/m2).
Regions
During the first quarter, prices of houses for rent only fell in the Autonomous Region of the Azores (-2.7%) and the Autonomous Region of Madeira (-2.1%). Leading the rises is Alentejo (3.7%), followed by the Metropolitan Area of Lisbon (2.5%), Centro (1.1%) and Algarve (1%). In the North (0.3%), prices remained stable during this period.
The Lisbon Metropolitan Area, with 18.9 euros/m2, continues to be the most expensive region, followed by the North (13.8 euros/m2), Algarve (13.4 euros/m2) and the Autonomous Region of Madeira (13 .3 euros/m2). On the opposite side of the table are the Autonomous Region of the Azores (8.7 euros/m2), Centro (9.1 euros/m2) and Alentejo (10 euros/m2), which are the cheapest regions.
idealista property price index
To create the idealista property price index, the offer prices (based on built square meters) published by idealista advertisers are analyzed. Atypical advertisements and those with out-of-market prices are eliminated from the statistics.
We also include the “single-family houses” typology and discard all ads that are in our database and that have not been interacted with by users for some time. The final result is obtained through the median of all valid advertisements in each market.
The full report can be found at:
https://www.idealista.pt/media/relatorios-preco-habitacao/arrendamento/
