Investing in Portugal: Real Estate Market Overview 2026
Portugal offers a compelling mix of Atlantic coast, Mediterranean climate, and one of Western Europe's most accessible real estate markets for foreign buyers.
Portugal at a Glance
Explore by District
20 districts · 307 municipalities
| District↑ | Municipalities↕ | Median Price €/m²↕ | Avg Yield %↕ | Risk Score↕ |
|---|---|---|---|---|
| Aveiro | 19 | €1,621 | 5.1% | 57 |
| Azores | 19 | — | — | 30 |
| Beja | 14 | — | — | 38 |
| Braga | 14 | €1,784 | 5.7% | 65 |
| Braganca | 12 | — | — | 36 |
| Castelo Branco | 11 | — | — | 38 |
| Coimbra | 17 | €2,244 | 6.4% | 49 |
| Evora | 14 | — | — | 33 |
| Faro | 16 | €3,208 | 4.7% | 42 |
| Guarda | 14 | — | — | 25 |
| Leiria | 16 | €1,932 | 6.0% | 38 |
| Lisbon | 16 | €3,238 | 4.8% | 60 |
| Madeira | 10 | — | — | 30 |
| Portalegre | 15 | — | — | 30 |
| Porto | 18 | €2,348 | 5.1% | 76 |
| Santarem | 21 | — | — | 51 |
| Setubal | 13 | €2,737 | 5.2% | 52 |
| Viana do Castelo | 10 | — | — | 48 |
| Vila Real | 14 | — | — | 44 |
| Viseu | 24 | — | — | 39 |
Median price and average yield calculated from verified INE transaction data. Risk score: composite of flood, air quality, aviation noise, and construction pressure.
Buying Property in Portugal — Key Facts
Key Facts for Investors
Portugal · Portugal · Updated April 2026
Transfer Tax (IMT)
IMT (transfer tax): 0–7.5% of purchase price. Primary residence exempt up to €104,261 (threshold updated annually). ↗
Source: AICEP Portugal Global — IMT
Annual Property Tax (IMI)
IMI (annual property tax): 0.3–0.45% of assessed value (VPT) for urban properties. Rate set by each municipality. ↗
Source: AICEP Portugal Global — IMI
Stamp Duty (IS)
Stamp duty (IS): 0.8% on purchase price + 0.6% on mortgage (≥5 years) or 0.5% on shorter-term mortgage. ↗
Capital Gains Tax
Capital gains: non-residents taxed on 50% of gain at progressive IRS rates (same as residents, per Law 24/2022). Reinvestment exemption applies. ↗
IFICI Tax Regime (replaces NHR)
IFICI (replaces NHR, 2024): 20% flat rate on Portuguese income for 10 years. Must not have been tax resident in Portugal in prior 5 years. ↗
Source: Portal das Finanças — IFICI
Golden Visa (ARI)
Golden Visa (ARI): residential property no longer qualifies since Oct 2023. Fund investment from €500K or cultural heritage from €250K still valid. ↗
Source: AIMA — ARI Golden Visa
Short-Term Rental Moratorium
AL licence (short-term rental): moratorium active in Lisbon — no new licences for apartments since Feb 2023 under DL 76/2023. ↗
Source: Decreto-Lei n.º 76/2023
Buying Costs
Buying costs: notary + registry via Casa Pronta from €375 (purchase) or €700 (with mortgage). Legal fees typically 1–2% of price. ↗
⚠️ This information is for general guidance only. Tax laws change frequently. Always consult a licensed lawyer or tax advisor before making investment decisions.
Get a Detailed District Report
In-depth analysis for any of Portugal's 20 districts — pricing trends, risk scores, investment yield.