Desk Report:  Since December, the bank valuation of houses has been growing steadily, closing in April at the highest value ever of 1,596 euros per square meter.

In April 2024, bank valuations of housing in Portugal continued to demonstrate significant growth, reflecting the resilience and dynamics of the national  real estate market.

The median value of the bank assessment on housing was 1,596 euros per square meter (euros/m²), representing an increase of 16 euros (1%) compared to March, the highest value ever. According to data released by the National Statistics Institute (INE), bank valuations have been increasing uninterruptedly for five months in a row.

In year-on-year terms, bank valuation of houses increased by 7.04%, the biggest increase since November 2023. Apartments registered a median value of 1,769 euros/m², an increase of 6.1% compared to April 2023. With regard to houses, the median valuation value was 1,248 euros/m², an increase of 9.8% compared to the same month of the previous year.

In the apartment market, the regions that presented the highest values were Greater Lisbon (2,338 euros/m²) and the  Algarve (2,092 euros/m²), while the Center recorded the lowest value (1,215 euros/m²). The Autonomous Region of Madeira stood out with the most significant year-on-year growth of 19.5%, contrasting with the  Algarve, which recorded an increase of just 1.2%.

Greater Lisbon, the Algarve, the Setúbal Peninsula, the Alentejo Litoral, and the Autonomous Region of Madeira presented assessment values substantially higher than the country's median.

In the housing market, the trend is not very different. Once again, Greater Lisbon (2,289 euros/m²) and the Algarve (2,185 euros/m²) led in terms of the highest values, while Centro (963 euros/m²) and Alentejo (1,052 euros/m²) presented the lowest values. Madeira also showed notable growth of 16.7%, with the  Algarve showing the lowest year-on-year increase of 3%.

INE's analysis reveals that Greater Lisbon, the Algarve, the Setúbal Peninsula, the Alentejo Litoral, and the Autonomous Region of Madeira presented assessment values substantially higher than the country's median. In contrast, regions such as Alto Alentejo, Beiras, and Serra da Estrela, and Alto Tâmega and Barroso recorded significantly lower value. 

Biniyougbarta/SAM//