The rate of effort to buy or rent a house rose last year in practically all Portuguese district capitals, according to a study carried out by idealista.
The effort required to rent a house in Portugal increased by nineteen percentage points (p.p.), going from 62% in the fourth quarter of 2022 to 81% in the fourth quarter of 2023. When purchasing a house, the national effort rate increased by 14 points, going from 57% to 71%.
Of the 20 cities analyzed (and with representative samples), it was in Faro where the rate of effort to rent a house increased the most in the last year, going from 58% in the fourth quarter of 2022 to 87% in the same period of 2023 (+ 29 p.p.).
Among the biggest increases in the rates of effort to rent a house in the last year are Funchal (15 p.p.), Lisbon (13 p.p.), Évora (13 p.p.), Porto (13 p.p.), Setúbal (11 p.p.), Aveiro (8 p.p.), Leiria (8 p.p.), Viseu (7 p.p.), Portalegre (7 p.p.), Braga (7 p.p.), Santarém (6 p.p.), Castelo Branco (6 p.p.) and Ponta Delgada (6 p.p.). With less pronounced increases in rental effort rates are Bragança (5 p.p.), Coimbra (5 p.p.), Vila Real (3 p.p.), Beja (1 p.p.) and Viana do Castelo (1 p.p.). The city of Guarda (-3 p.p.) was the only one analysed where the effort rate decreased.
Funchal is the city that requires the greatest effort on the part of families to rent a house, requiring 89% of their income to be allocated. Faro follows with an effort rate of 87%, Lisbon (87%), Porto (76%), Évora (63%), Setúbal (62%), Aveiro (58%), Braga (54%), Santarém (51%), Ponta Delgada (50%), Leiria (48%), Viana do Castelo (47%), Viseu (44%), Beja (43%), Coimbra (42%) and Vila Real (41%).
The cities where house rent weighs less on family income are Portalegre (33%), Guarda (35%), Castelo Branco (36%) and Bragança (38%). It should be noted that all district capitals, with the exception of Portalegre, presented effort rates higher than the recommended level of 33%.