June was a booming month for the sale of houses in Portugal, with emphasis on the regions of Lisbon, Algarve and Porto, in this order of importance.
This is not an original data, since there has been a gradual growth since 2015, but this level of growth is the highest since September 2015.
In addition to the number of houses sold, prices have also continued to rise for 19 consecutive months. According to the 'Portuguese Housing Market Survey' (PHMS) , released this week, the sale values per square meter reached the highest value, in the 3 regions indicated, since this report was published (last 6 years).
In the rental market, demand from tenants continues to rise, contributing to raise the average rental value.
The number of houses offered for sale has increased again, although this increase is the smallest in the last 6 months.
The forecast for the coming months remains positive in all areas and regions, although it is in the Algarve that a greater price increase is expected, which should be around 4%, followed by Lisbon (3%) and Porto (1.5 %).
According to the director of Confidencial Imobiliário, Ricardo Guimarães, responsible for publishing this monthly survey:
Real estate agents say that international demand is the most important factor that supports their expectations. Portugal seems to be in the right place to benefit from the uncertainty that is affecting other markets and the tax advantages it offers investors. This is obviously not the case in all markets, but it is driving the Lisbon region particularly. However, other regions are starting to appear on the radar of foreign investors, and this will create more opportunities.
According to Simon Rubinsohn, RICS Chief Economist, also responsible for publishing this survey:
Increasing confidence on the part of the buyer, the easing of credit conditions and a constant improvement in the labor market are, together, supporting the growth of activity in the housing market. In addition, future prospects remain strong although much depends on the strength of the economy and whether the recovery manages to maintain this momentum.