Around 300,000 properties are missing and the pace of construction is not keeping up with demand, which results in a significant rise in prices, says the Real Estate Report 2024 from Berkshire Hathaway HomeServices.
According to the real estate network, this situation, associated with the current political and economic instability experienced in the country, contributed to a significant decrease in property sales in 2023.
The Berkshire Hathaway HomeServices report reports a 25% decrease in sales in 2023, although it is considered that the Portuguese real estate market remains resilient and has good prospects. One of the reasons given for this optimism is the growing interest from foreigners, including digital nomads, which has boosted the Portuguese real estate market. Currently, there are more than 700 thousand foreigners living in Portugal and who value factors such as the climate, low crime rate and the beauty of the Portuguese coast.
The report also highlights that buyers in Portugal are looking for modern and energy-efficient homes, preferably located in privileged regions such as Lisbon and Cascais. In 2023, 40% of buyers came from the USA, particularly New York and California, followed by buyers from France and the United Kingdom. Many of these buyers intend to rent their homes and therefore look for properties in excellent condition. Around 80% are looking for single-family homes, mainly townhouses.
In 2023, “Prices increased by more than 10% compared to 2022, driving the average price per square meter to 4,800 euros, with peaks of up to 10,000 euros in some areas”, highlights César Santos, owner and CEO of Berkshire Hathaway HomeServices Atlantic Portugal.
Despite global uncertainties, Michael Vincent, CEO and President of Berkshire Hathaway HomeServices Portugal Property, looks at the Portuguese market with confidence: “Portugal continues to be a reference destination. We are well positioned to face the challenges and capitalize on the opportunities in 2024. Foreigners want to live out their retirement in Portugal,” he says.
