Residential Property Transactions Increase in Value in Q4 2023: Positive Outlook for Portugal's Real Estate Market

According to data from the National Institute of Statistics (INE), the 4th quarter of 2023 saw an increase in the value of transactions for residential accommodations. A total of 34,126 residential properties were transacted, amounting to €7.174 billion, representing a 1.4% increase compared to the previous quarter.

The document also highlights the continuation of the trend of property price appreciation, with the housing price index showing a 1.3% increase compared to the previous quarter. However, there were reductions in construction licenses issued in January 2024, with a 12.6% decrease for residential buildings and a 14.7% decrease for non-residential buildings compared to January 2023. The number of licensed housing units also decreased by 16.4% year-on-year.

Despite these reductions, the consumption of cement in the domestic market grew by 13.4% by the end of February 2024 compared to the same period in 2023. Additionally, there was a significant increase in contracts for public works, including a notable increase in the amount of public construction tenders.

These findings indicate a positive outlook for the real estate and construction sectors in Portugal, although it is crucial to closely monitor the market and implement measures to ensure long-term sustainability.