Both bank valuations and prices of properties have been increasing continuously in previous years.
Since 2017 the average bank valuation per square metre has increased for 28 consecutive months and reached a new peak in July (1,283€). According to Statistics Portugal (INE) bank valuations carried out in July of this year increased by 0.9% in comparison to the previous month and 8.1% in comparison to July 2018.
On apartments, the increase was more noticeable than on villas (15€ vs 6€ compared to June) to 1,368€ and 1,148€ per square metre, respectively.
Property prices have also shown a steady increase since the last recession. According to the property portal Idealista, the most expensive area continues to be Lisbon with an average price per square metre of approx. 4,516€. Of the 25 most expensive municipalities, 11 are located in the Algarve.
The 10 most expensive municipalities are (average prices per square metre):
1. Lisbon (4,516€)
2. Cascais (3,286€)
3. Grândola (3,188€)
4. Oeiras (2,948€)
5. Porto (2,718€)
6. Lagos (2,620€)
7. Loulé (2,509€)
8. Lagoa (2,341€)
9. Albufeira (2,137€)
10. Loures (1,993€)
When compared to the list published on this blog in November 2018, at that time based on the information released by Statistics Portugal – INE (not Idealista), the drastic increase of property prices in Portugal becomes more explicit. Positions 1, 2 and 4 continue to be held by the same municipalities (Lisbon, Cascais and Oeiras), whereas all others dropped as a result of the increase of prices in other areas, such as Grândola and Porto.