European Commissioner Maria Luís Albuquerque claims to have the secret to lowering house prices. In 2024, rents in Europe increased by 3.1%. Although Lisbon and Porto recorded declines; prices do not match salaries.
Maria Luis Albuquerque participated this Tuesday in the Diplomatic Seminar, in Lisbon, and claimed to have a secret to lowering the house price.
To demonstrate the importance of strengthening financial markets, the commissioner precisely gave the example of house prices. The European Commissioner considered that prices could decrease if there are more investments channeled to companies and less to real estate assets.
“If we manage to divert significantly more resources to corporate capital, we will also reduce investments, for example, in the real estate sector, which also contributes to pressure on housing prices,” he explained.
Albuquerque said that, during his five-year term, he wants to work to create a single market for financial services and promote a better allocation of private financial resources in the European Union (EU) with a view to strengthening European competitiveness.
Rents fall in Porto and Lisbon
According to a statement from HousingAnywhere sent to ZAP this Wednesday, rents in Europe increased by an average of 3.1% in 2024.
However, Porto and Lisbon recorded price dropsaccording to the Rent Index by City Q4which analyzes rental data from more than 78,000 furnished 1-3 bedroom apartments, one-bedrooms and studios in 28 cities across 12 European countries.
HousingAnywhere – which describes itself as the largest medium to long-term rental platform in Europe – highlights three important points, on the national scene:
- The value of a furnished apartment in Lisbon fell 2.9%compared to 2023 and 5.7% compared to the previous quarter. Already in Portothe decrease in relation to 2023 was 4.3% and 25.7% compared to the previous quarter.
- In relation to rooms, rental prices also decreased in Lisbon, namely 2.3% and remained unchanged in Invicta.
- Rental prices for studios were the only ones to see increases in Portugal, with an increase of 9.5% in Lisbon and 1.2% in Porto.
In detail
Currently, the rental price of a apartment furnished in Lisboa round the 1.650€2.9% less than last year and 5.7% less compared to the previous quarter.
No Portothese decreases are even more pronounced, with rental prices around 1.100€which translates into 4.3% less compared to 2023 and 25.7% less compared to the last quarter.
In the neighbor Spainfor example, prices rose 12.7% in Valencia (€1,465) and 7.7% in Madrid (1.616€)but remained stable in Barcelona (€1,550).
Still, comparing the capitals, Madrid remains cheaper than Lisbon – even though salaries in Portugal are much lower.
Just like apartment prices, at European level the values of rooms also increased compared to last year, more specifically by 2.6%.
Despite these widespread increases, Portugal has seen more stable trends – with room prices holding steady unchanged in Porto (with a room around €450); and the decrease by 2.3% in Lisbon (550€).
In Spain, room prices also increased in the three cities analyzed, in Valencia (€410) and Madrid (620€) were the ones that registered the greatest growth with 9.3% and 7.8%, respectively.
Finally, the studios are the only properties in Portugal who registered increases.
The rental prices for studios in Lisboa are currently around the 1.150€which translates into an increase of 9.5%.
Already in Portothe value is 900€which represents growth of 1.2%. Despite this annual increase, compared to the last quarter, the city of Invicta saw prices fall by 18.2%.
Spain recorded some of the most significant price increases, with a 21.2% increase in Madrid (1.200€) and 16.3% in Barcelona (1.105€) – very close to the prices charged in Lisbon
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