Property market in Portugal remains “resilient”
The war in Ukraine has brought “renewed geopolitical uncertainty, contributing to inflationary pressures and rising cost of living”, concludes Savills, however, that if there is any sector that has already shown to be resilient, it is real estate.
According to the Savills Impacts 2022 study, growth in the residential sector is expected to continue, with prices for luxury (prime) properties expected to rise by an average of 4.3% in 2022, although prospects vary from city to city.
“Markets will benefit from the return of international travel and, in particular, from the return of Asian tourists and buyers to major urban centres. The next phase will be a true return to the international market”, says Savills in a statement.
According to the consultant, who relies on data from the aforementioned study, “the events of the last two years have led people to rethink their priorities, particularly when it comes to how and where they live”.
Regarding the specific case of Lisbon, the study considers that it is a market that, like Miami (USA), has behaved “particularly well”.
“Lisbon's favourable climate and proximity to European capitals make it currently the preferred destination for digital nomads”, reads the note.
Cited in the document, Ricardo Garcia, Director of the Residential Department at Savills Portugal, considers that “in the last two years the residential market was one of the real estate segments that most proved its resilience.
“Between 2020 and 2021, more than 300 thousand homes were sold in Portugal, a volume that had a very residual decrease compared to the period 2018-2019, pre-pandemic period. (…) The attractiveness of our residential market has never been questioned, with a demand that now wants more functional, flexible spaces that allow an experience directed towards a healthier lifestyle”, he concludes.
Source: The Portugal News