During the first half of 2023, the number of residential property transactions decreased by 19% compared to the first half of 2022, going from 82,752 properties sold in mainland Portugal to 66,624 deals closed so far.

At the end of the 1st half of 2023, the Portuguese capital was responsible for most of the transactions, accounting for 4,387 homes sold, a difference of 27% compared to the 1st half of 2022 (5,963).

Miguel Lacerda, Lisbon Residential Director, says: “These figures are not surprising, as the market is still in a period of greater caution and consideration on the part of potential buyers. In addition, constant increases in interest rates, stricter bank financing rules, housing affordability and demographic changes, have been factors that weigh heavily on the decision. However, the high-end markets have registered a good performance and constant growth.”

Porto closed the first half of the year with a drop of 19% compared to the same period in 2022.

João Leite de Castro, Commercial Director, Savills Porto Division, says: “The numbers recorded in the first half of the year were already expected. However, the Porto market continues to show great resilience, being one of the preferred destinations for people and companies from other areas who choose the city to live and work in. As a result of the great development that the city’s urban fabric has been subject to, the prospects for the region’s market are very encouraging.”

In the first half, average sales prices for new properties in Greater Lisbon, Greater Porto and the Algarve reached €5,847/m2, €4,127/m2 and €4,879/m2, respectively.