Other district capitals that saw a rise were Évora (9.7%), Coimbra (6%), Funchal (3.6%), Lisbon (3.1%), Portalegre (2.9%), Setúbal (2.7%), Porto (2.4%), Viseu (1.2%) and Aveiro (0.9%).

Prices did drop in 8 of the district capitals including Guarda (-7.4%), followed by Ponta Delgada (-2.4%), Castelo Branco (-2.2%), Santarém (-1.7%), Bragança (-1.3%), Beja (-1.2%), Leiria (-0.9%) and Braga (-0.8%).


Lisbon remains the most expensive city for housing


In terms of cost, Lisbon still sits at the top of the list, as the most expensive city to purchase property, with prices averaging €5351 per square metre (euros/m2). Porto comes in second place at 3413 euros/m2 followed by Funchal where the average price of property comes in at 2943 euros/m2.

Other district capitals that ranked high on the property price index were Faro (2921 euros/m2), Aveiro (2501 euros/m2), Setúbal (2307 euros/m2), Évora (2211 euros/m2), Viana do Castelo (1850 euros/m2), Coimbra (1843 euros/m2), Ponta Delgada (1718 euros/m2), and Braga (1702 euros/m2).

Those with the lowest average prices were listed as Portalegre (717 euros/m2), Guarda (731 euros/m2), Castelo Branco (826 euros/m2), and Bragança (867 euros/m2).

In terms of price increases, the highest were seen Castelo Branco (12.9%), Beja (10%), Viana do Castelo (9.9%), Coimbra (8.3%), Viseu (6.3 %) and Vila Real (5.1%).


Prices rose across most districts


Unsurprisingly, the district that ranked as the most expensive to buy a house was Lisbon, where prices averaged 3881 euros/m2, followed by Faro at 3174 euros/m2, Madeira Island (2570 euros/m2), Porto (2503 euros/m2), Setúbal ( 2399 euros/m2), the island of Porto Santo (1927 euros/m2), and Aveiro (1673 euros/m2).

The cheapest districts in terms of house prices were listed as Guarda (654 euros/m2), Portalegre (663 euros/m2), Castelo Branco (858 euros/m2), Bragança (876 euros/m2), Vila Real (975 euros /m2) and Viseu (998 euros/m2).


Madeira sees 4.2% increase in housing prices


The Autonomous Region of Madeira saw the biggest rise in prices, with a 4.2% increase being observed. This was followed by the regions of central Portugal, where a rise of 3.6% was seen, the north where prices increased by 3.1% and the Algarve with an increase of 2.3%.

The Metropolitan Area of ​​Lisbon, again, continues to be the most expensive region to purchase housing at 3507 euros/m2. This is followed by the Algarve (3174 euros/m2), the Autonomous Region of Madeira (2560 euros/m2) and the North (2119 euros/m2).

On the flipside the least expensive regions were noted as the Autonomous Region of the Azores (1358 euros/m2), the Centre (1403 euros/m2) and Alentejo (1523 euros/m2), which came in as the cheapest regions to buy a property.

Whilst the first quarter of the year saw prices stabilise, there is no denying that this rising trend in house prices is likely to continue. Demand remains in place for a variety of properties, only a part of which will be supplied by the properties currently being renovated and built as a part of regional incentives and the national Mais Habitaçᾶo programme.