However, this activity is not accompanied by a similar increase in residential supply, which is why the prices of houses sold rose 18.7% last year, a new all-time high.

The data comes from the National Statistics Institute (INE) and reveals that 40,162 homes were sold in Portugal between January and March of this year alone, 24.9% more than in the same period in 2024. Lower interest rates on mortgage loans and new support for young people to buy homes (exemption from IMT and public guarantees) help explain this high dynamism in home sales, along with the high cost of renting.

However, home purchases in the country are occurring at a much faster pace than the increase in residential supply on the market, whether through new construction, renovations, or even new building methods (modular construction or the conversion of shops into homes, for example).

This helps explain why the price of homes sold increased 18.7% last year to €1,951 per square metre (€/m2), a new record. This is the "highest variation since the beginning of the series," which dates back to 2019, according to the INE bulletin. Compared to the previous quarter, prices rose 4.3%.