Prices of houses for rent in the Algarve rose 7.7% in December 2024 compared to the same month of the previous year. According to the idealista price index, renting a house cost 14.3 euros per square meter (euros/m2) at the end of December last year, taking into account the median value. In relation to the quarterly variation, prices fell 2.3%.
According to idealista, in the last year, prices in the region rose in Albufeira (13.9%), Faro (13.9%), Vila Real de Santo António (13.2%), Silves (10.3%), Olhão (2.7%), Portimão (2.7%) and Lagos (1.8%). In Loulé, prices remained stable in Lagos (0.3%). On the other hand, prices fell in Lagoa (-6.9%).
The most expensive municipality to rent a house is Loulé (16.3 euros/m2), followed by Albufeira (15 euros/m2), Tavira (14.6 euros/m2), Faro (14.1 euros/m2), Lagos (13.7 euros/m2), Portimão (12.9 euros/m2) and Silves (12.6 euros/m2). On the other hand, the most economical ones are Olhão (11.5 euros/m2), Vila Real de Santo António (11.7 euros/m2) and Lagoa (12.3 euros/m2).
At national level, housing prices rose 4.7% in 2024, standing at 16.2 euros/m2.
District capitals where the price of houses for rent has risen
The price of houses for rent rose in 2024 in Faro (13.9%), Santarém (13.6%), Braga (13.3%), Viana do Castelo (12.6%), Setúbal (8.3% ), Coimbra (7.2%), Funchal (5.2%), Castelo Branco (5%), Viseu (4.9%), Porto (4.7%) and Lisbon (4.1%). In Évora (0.4%), the rental value stabilized. On the other hand, house prices had fallen, in Aveiro (-1.6%) and Leiria (-1.4%), being the only district capitals that saw prices fall, reveals idealista.
Lisbon continues to be the city where it is most expensive to rent a house: 21.8 euros/m2. Porto (17.7 euros/m2) and Funchal (15.3 euros/m2) occupy second and third place, respectively. Next come Faro (14.1 euros/m2), Setúbal (12.6 euros/m2), Évora (11.6 euros/m2), Coimbra (11.4 euros/m2), Aveiro (11.2 euros / m2), Braga (9.8 euros/m2), Viana do Castelo (8.5 euros/m2) and Santarém (8.4%). The most economical cities are Castelo Branco (7 euros/m2), Viseu (7.3 euros/m2) and Leiria (8 euros/m2).
Districts where prices fell
Of the 18 districts and islands analyzed, prices in the last 12 months only fell in Viseu (-0.7%) and Castelo Branco (-2.8%). On the other hand, prices rose in Vila Real (21.4%), Beja (12.5%), Madeira Island (12.2%), Portalegre (12%), Santarém (11.3%), Braga (10.9%), Faro (7.7%), Setúbal (7.2%), São Miguel island (6.7%), Coimbra (6.3%), Évora (5.6%), Lisbon (4.5%), Porto (3.7%), Aveiro (3.5%), Leiria (3.4%) and Viana do Castelo (2.8%).
It is worth highlighting that the ranking of the most expensive districts to rent a house is led by Lisbon (20 euros/m2), followed by Porto (15.7 euros/m2), Madeira Island (15.2 euros/m2), Faro ( 14.3 euros/m2), Setúbal (13.4 euros/m2), Évora (10.9 euros/m2), Coimbra (10.4 euros/m2), Beja (10.2 euros/m2), island of São Miguel (9.7 euros/m2), Aveiro (9.6 euros/m2), Leiria (9.6 euros/m2), Braga (9.5 euros/m2), Viana do Castelo (8.4 euros/m2) m2 ) and Santarém (8.2 euros/m2). The houses for rent with more economical prices are in Portalegre (6.9 euros/m2), Castelo Branco (7.3 euros/m2), Viseu (7.3 euros/m2) and Vila Real (7.5 euros/m2) m2).
Regions that lead the rise in rental prices
In 2024, rental home prices rose in all regions of the country. Leading the increases is the Autonomous Region of Madeira (11.1%), followed by Alentejo (8.6%), Algarve (7.7%), Lisbon Metropolitan Area (5%), Center (4.4%) , North (4.2%) and Autonomous Region of the Azores (2.9%).
Greater Lisbon, with 19.3 euros/m2, continues to be the most expensive region, followed by the Autonomous Region of Madeira (15.1 euros/m2), North (14.3 euros/m2) and Algarve (14.3 euros/m2). On the opposite side of the table are the Autonomous Region of the Azores (9.2 euros/m2), Centro (9.4 euros/m2) and Alentejo (10.5 euros/m2) which are the cheapest regions.
idealista property price index
To create the idealista property price index, the offer prices (based on built square meters) published by idealista advertisers are analyzed. Atypical advertisements and those with out-of-market prices are eliminated from the statistics.
The also includes the typology “single-family houses” and discards all ads found in its database that have not been interacted with by users for some time. The final result is obtained through the median of all valid advertisements in each market.
The full report is available.
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