Portugal's property market continues to attract international investment despite recent cooling measures, with the luxury segment showing particular resilience and growth potential.
## Market Overview
**Overall Growth**: National property prices increased 8.5% in 2024, with Lisbon and Porto leading at 10.2% and 9.7% respectively.
**Foreign Investment**: International buyers account for 15% of all transactions, with French, German, and American investors most active.
**Luxury Focus**: Properties above €1 million have shown the strongest performance, with sales volumes up 25% year-over-year.
## Regional Highlights
**Lisbon**: Prime central areas like Chiado and Príncipe Real command €8,000-€12,000 per sqm, with new developments selling out rapidly.
**Porto**: The historic center has become increasingly popular, with restored properties achieving premium pricing and strong rental yields.
**Algarve**: Coastal luxury properties remain in high demand, particularly in Quinta do Lago and Vale do Lobo, where prices exceed €15,000 per sqm.
## New Developments
Several major luxury projects are reshaping Portugal's property landscape:
**Four Seasons Private Residences Lisbon**: Ultra-luxury apartments starting from €2.5 million, with completion expected in late 2025.
**Pinheiros de Marim, Olhão**: Eco-luxury development in the Algarve featuring sustainable design and private beach access.
**Campo Pequeno Residences, Lisbon**: Mixed-use development combining residential, retail, and office spaces in a prime location.
## Investment Outlook
Despite the end of the Golden Visa for real estate investment, Portugal remains attractive due to:
- Strong rental market fundamentals
- Continued economic growth
- Excellent quality of life attracting remote workers
- Strategic location for European business
Industry experts predict continued growth in the luxury segment, with particular opportunities in:
- Sustainable luxury developments
- Historic property renovations
- Mixed-use urban projects
Portugal's property market is evolving but remains one of Europe's most compelling investment destinations.