Portugal real estate: Families dominate market as prices hit record highs

Data from the second quarter of 2026 indicates a shift in the Portuguese real estate market, characterized by a decline in non-resident activity and rising costs for domestic buyers. According to the National Institute of Statistics (INE), non-residents accounted for only 4.7% of housing acquisitions during this period. Families remain the primary drivers of the market, representing 87% of all transactions, or 34,935 out of 40,142 total homes sold.

Despite the decrease in the volume of sales, the cost of property is increasing. While the number of homes purchased by families fell by 7.3% compared to the second quarter of 2025, the total amount spent by these families rose by 3.6% to approximately 9.3 billion euros. The average price paid by families reached a record 265,135 euros, an 11.8% increase year-over-year.

In terms of tax residency, 95.3% of all transactions were conducted by individuals domiciled in Portugal. Although the number of purchases by residents decreased by 6.2%, the total value of their acquisitions grew by 4.8% to roughly 9.9 billion euros.