Property prices in Portugal are continuing to grow, providing further signs that the country’s property market is recovering from the prolonged financial crisis.
New figures released by Portugal’s National Statistics Institute (INE), showed that the average value of a home in Portugal increased by 0.5 per cent in January compared to a month earlier. The average price currently stands at €1,106 per square metre (approximately £971sqm).
The property price gains were strongest in the Lisbon Metropolitan Area, where values increased by an average of 0.8 per cent month-on-month. Average property prices in the capital region currently work out at €1,341 per square metre (or around £1,171sqm).
On an annual basis, property prices in Portugal are up by 5.6 per cent nationally on what they were a year ago. Property prices in the north of Portugal are outstripping those in the rest if the country, with an annual price rise of 6.2 per cent.
Only two regions – the islands Madeira and the Azores – recorded a decline in prices from a year earlier.
One of the reasons of a spark in property prices has been put down to the country’s low mortgage rates, prompting more buyers to enter the market. Borrowing rates in Portugal are currently at historic lows.
The average new mortgage amount secured in January 2017 was €87,578, up from €86,462 a month earlier.
Article published 14th March 2017