Housing supply noticeably reduced in Portugal

The most significant declines occurred in Évora and Setubal.

What happened? Rising home sales in Portugal have contributed to a decline in the country’s housing stock by about 7 percent in just one year. The number of homes and apartments available for sale in Portugal dropped from 58,570 properties in September 2020 to 54,804 in the same month this year, according to a Southern Europe real estate market study published by Idealista. Analysts believe that this change in supply could potentially lead to an increase in home prices in the medium term.

Regions. Five regions saw an increase in the stock of homes and apartments for sale. The largest increase in supply occurred in Vila Real (+87% compared to September 2020). Coimbra (+38%), Guarda (+12%), Castelo Branco (+9%) and Funchal (+6%) followed.

Oldypak lp
Real estate in Europe by Oldypak LP

On the other hand, the biggest reductions in supply were noted in Évora (-30%) and Setubal (-29%). Next come Santarém (-23%), Faro (-20%), Leiria (-19%), Braganza (-18%) and Portalegre (-14%). The supply also decreased significantly in Braga (-11%), Porto (-9%) and Viana do Castelo (-8%).

The capitals of the districts, where there was a smaller drop in supply over the past 12 months, were Viseu (-7%), Ponta Delgada (-7%), Lisbon (-5%), Beja (-4%) and Aveiro (-4%).

Home ideas from Oldypak lp capital solution

Portugal ranked among the top 10 countries for the growth of house prices over the past 10 years
Elderly people in Portugal don’t have enough housing