Portugal's Real Estate Market Stays Steady Amidst Global Instability
In the face of a tough economic climate, Portugal's real estate market stands tall and unyielding, as confirmed by Patrícia Barão, Residential Partner at Dils Portugal. This vibrant market is evident in the dramatically increased sales of homes, a trend noticed by Marcos Drummond, Sales Director at VIC Properties, and Alfredo Valente, CEO of iad Portugal.
From the beginning of 2025, both domestic and international buyers have shown an extraordinary appetite for properties, according to Drummond. Meanwhile, Valente declared that the first quarter of 2025 was a game-changer for the real estate market, with unprecedented growth.
"Presently, we perceive that developers keep a keen eye on opportunities, with the launch of new projects roughly 20% higher than the same period last year," explained Barão. This dynamic, fueled by the swift absorption of new properties, is expected to persist, as the demand for homes remains high.
João Oliveira, CEO of Realty One, foresees developers continuing to flood the market with more homes, owing to the speed of property sales. Oliveira also emphasized that the security and potential returns associated with real estate investments make them more appealing than other assets, such as bitcoins or stocks.
While Trump's tariffs brought about a significant drop in stock markets, assets deemed safer—like gold and real estate—experienced increased demand. Real estate investment, in particular, has attracted attention as a relatively secure and appreciated asset, serving as a sanctuary for investors amid the economic storm.
"Real estate represents a significantly more secure way of investing compared to cryptocurrencies or shares, given its inherent stability and potential growth," summarized Oliveira. Drummond concurred, stating that the affluent market segment has already shifted funds from banks and stock portfolios to real estate.
In light of this, Claude Kandiyoti, CEO of Krest Real Estate Investments, observed a new generation of sophisticate investors in Portugal. These investors, uncertain about financial markets, favor real estate investments to safeguard their cash.
With this investor demographic on the rise, experts remain optimistic about Portugal's thriving real estate sector throughout 2025. "Portugal stands firm within the European economic landscape, poised to draw investment, be it from Europe or beyond," said a representative from VIC Properties. Barão, for her part, anticipates that the record-breaking sales and investment volumes registered in the previous year will be surpassed this year.
Developers are launching new real estate projects more frequently, with roughly a 20% increase compared to the same period last year, as explained by Patrícia Barão. This trend is fueled by the high demand for properties, making real estate an attractive investment option, particularly for those uncertain about financial markets, as observed by Claude Kandiyoti.
