Foreigners increasingly buy homes with values above the national average

Foreigners increasingly buy homes with values above the national average

On average, non-residents paid 176,400 euros per property in Portugal, a figure that is 56.8% above the average global value of the real estate Portuguese.

However, it is also true that they are buying less real estate in Portugal, but for increasingly higher values and far from the average price practiced in the country.

In 2019, non-residents accounted for about 13% of the total value transacted in the Portuguese real estate market, remaining the Portuguese leader in transactions with a volume of 87%.

These data were released on September 22, by the National Institute of Statistics Portuguese (INE), so last year, 230,776 properties were transacted in Portugal in the total amount of 25,955 million euros. This means that the average value of real estate has been 112,400 euros.

The share of the purchase of real estate in Portugal during this period by foreigners and non-residents were 19,520 (8.5%). However, they paid 3,443 million euros for these properties, representing 13.3% of the total.

Thus, the number of properties purchased by non-residents decreased by 2% between 2018 and 2019, but the total amount paid for them increased by about 1%.

French are the ones who buy the most, Chinese who pay the most.

In 2019 the French or descendants of French origin, returned to be those who buy more properties in Portugal, representing more than 18% of the acquisitions made by foreigners. The British, on the other hand, represent those who buy the most properties of Euro 500,000 or more. In all, in 2019, 976 properties above this level were sold to residents abroad; of these, 252 were bought by Britons.

After the French and the British are the Chinese who pay the most for real estate in Portugal. Last year, the average amount paid by the Chinese was 373,000 euros per property, more than double the average value of properties sold to residents abroad.

Source: Business Journal and INE