Portugal: is it a goldmine for investors? The rise of the short-term rental market
February 15, 2024
12
The locations where the supply has increased the most.
What has happened
According to Idealista, in the last quarter of 2023, Portugal recorded a 36% year-on-year increase in the supply of short-term rentals.
The key observations:
Geographical allocation. An increase in supply is observed in 11 of the 20 district capitals, with the most noticeable increases in Vila Real (+200%), Guarda and Leiria (+100%). The supply of temporary rental housing also increased in the cities of Braga (+93%), Évora (+75%), Lisbon (+68%), Viseu (+50%), Setúbal (+46%), Coimbra (+35%) , Faro (+29%) and Ponta Delgada (+29%).
Increasing market share. Short-term rental market share has increased in a number of cities, with leaders Ponta Delgada (18%), Faro (17%), Évora (13%), Funchal (11%), Lisbon (10%) and Guarda (10%).
The main triggers driving the growth:
The “More Housing” program. The impact of a set of measures including restrictions on short-term rentals, the abolition of the NHR regime and a reduction in taxes on rents.
The attractiveness of the sector to property-owners. Short-term rentals are regarded as a more profitable alternative to long-term rentals.
Why is it important
On the one hand, an increase in the supply of short-term rentals may increase the demand for investments in short-term rental housing. On the other hand, increased competition should also be taken into account. In addition, an increase in supply can lead to a decrease in rental rates and investment returns.
We recommend that you conduct an in-depth analysis of the market and its prospects before investing in short-term rental housing. In addition, we advise you to involve Portuguese real estate specialists and lawyers to minimize risks and optimize investments.
Here's what you may purchase in Portugal
4 100 000 €
Penthouse in Oeiras, Portugal
470 sq.m645
Online ViewingRemote Transaction
Premium penthouse with 4 bedrooms and a private pool in Algés.
Located in one of the most elite areas of Lisbon, Algés.
The apartments have a high level of building materials.
The private area is 278 m2 , distributed as follows:
- living room - 55m2;
- dining room -19m2;
- kitchen - 17m2;
- 4 suites (20 m2, 23 m2, 27 m2, 26 m2)
-...
Amber Star Real Estate
351 200 €
Studio in Lisbon, Portugal
32 sq.m11
ResidenceOnline ViewingRemote TransactionCredit
The studio apartment is located in one of the most famous areas of Lisbon, Santa Maria Mayor! This place stands out for its proximity to several tram and bus stations. It is located near the Castelo de São Jorge Park, from where you can see the whole of Lisbon. The building is also just a few meters away from observation decks, schools,...
Amber Star Real Estate
2 700 000 €
Villa in Cascais, Portugal
266 sq.m544
Online ViewingRemote TransactionCredit
Beautiful duplex apartment with 4 bedrooms located in a neighborhood extolling the beauty, wealth, romantic architecture, exotic beaches, fame and exclusivity of Lisbon, Cascais!!!!
The apartment has three sunny sides, which guarantees a lot of light and a unique unobstructed view of the sea and the surrounding green area.
The apartment with...
Amber Star Real Estate
580 000 €
Apartment in Funchal, Portugal
205 sq.m3
San Lucas is the newest luxury complex in Madeira. It is located inFunchal, by the sea, on the prestigious Monumental Stage.Praia Formosa is just a short drive away, as are the mostexquisite hotels on the island.San Lucas is distinguished by its modern architecture, the highest qualityfinishes, good public areas and luxurious interior design.It...
Intermark Global
560 000 €
Apartment in Lisbon, Portugal
85 sq.m212
The project LINEA RESIDENCES is located in one of the symbolic avenues of Lisbon - 5 de Outubro Avenue.
A great investment opportunity: the rental yield is 4%, the increase in the cost per square meter of housing in this area of Lisbon is 13% year-on-year.
LINEA RESIDENCES invites you to a comfortable family life, a relaxed atmosphere that...
Glacier Location LDA
350 000 €
Studio in Porto, Portugal
40 sq.m11
ResidenceOnline ViewingRemote TransactionCredit
AVAILABLE FOR GOLDEN VISA 350K
Fully refurbished flat in the heart of Porto with guaranteed profitability!
Our company will ensure the management providing a guaranteed annual profitability of 3% and repurchase after 6 years.
The rehabilitation will be completed by August 2023.
The owner will be able to enjoy 3 weeks of stay per year,...
Amber Star Real Estate
2 500 000 €
Apartment in Lisbon, Portugal
223 sq.m433
Online ViewingRemote TransactionCredit
Excellent 3 bedroom apartment in the center of Lisbon, inserted in a residential development in the final phase of construction with a privileged location.
This apartment has a private gross area of 441 m2 and consists of:
- Spacious living room;
- Kitchen;
- 3 bedrooms, of which 2 are suites;
- 2 private bathrooms and 1 shared;
-...
Amber Star Real Estate
175 000 €
Flat in Porto, Portugal
29 sq.m11
Online ViewingRemote TransactionCredit
An excellent development with a guaranteed return of 4% per year (for 5 years).
The development's incredible location has a complete infrastructure of shops and services, with a high demand for short and long-term accommodation.
The development is located just a few metres from University Centres, Business Centres, Shopping Centres,...
Amber Star Real Estate
975 000 €
Apartment in Porto, Portugal
110 sq.m322
ResidenceOnline ViewingRemote TransactionCredit
If you want to obtain a Golden Visa of Portugal, this property can help you to do so, even under the modified rules of 2023.
For more detailed information please contact our manager.
This fantastic two-bedroom apartment with a total area of 209,6 m2 is located on the 2nd floor and has exclusive lift access.
It has a habitable area of...
Amber Star Real Estate
910 000 €
Villa in Cascais, Portugal
396 sq.m433
Rental property
Panorama Villa Condominium
It is located between the Sintra mountains and the Cascais beaches, between nature and the sea, but just a step away from urban amenities.
It has 18 villas with spacious grounds and diverse infrastructure, including a swimming pool, gym, multipurpose room, large private gardens and communal green areas.
Due to...
VRC Idrisova
150 000 €
House in Obidos, Portugal
50 sq.m422
Rental property
A newly renovated house that offers a welcoming and modern environment.
On the ground floor you will find a fully equipped kitchen with an open-plan living room, a bedroom and a large bathroom.
On the upper floor there is a large bedroom with a bathroom and a storage room.
There are two enclosed storage rooms outside.
All materials used...
Portugal Subtil
925 000 €
Flat in Vila Nova de Gaia, Portugal
43
Residence
Apartment of typology T3, with terrace and 3 parking spaces in thering high standards of constructive quality and environmental and energy sustainability, the MG7 apartments are the perfect option to live, while enjoying the harmonious landscape over the Douro River and the city of project was developed in order to meet the unique image of the...
Mercury Group
795 000 €
Flat in Vila Nova de Gaia, Portugal
32
Residence
Apartment of typology T2, with terrace and 2 parking spaces in thering high standards of constructive quality and environmental and energy sustainability, the MG7 apartments are the perfect option to live, while enjoying the harmonious landscape over the Douro River and the city of project was developed in order to meet the unique image of the...
Mercury Group
600 000 €
Flat in Porto, Portugal
94 sq.m32
Residence
2 bedroom apartment with balcony next to São Bento station, is located near the Dom Luís I Bridge, São Bento station, Porto Puppet Museum, Palace of Arts, Port See Treasure Museum, Museum of Sacred Art and Archaeology, Ribeira 2 bedroom apartment with 94.08 m2 of gross private area is located on the second floor and consists of two rooms and...
Mercury Group
520 000 €
Flat in Porto, Portugal
21
Residence
1+1 apartment with balcony next to São Bento station, is located near the Dom Luís I Bridge, São Bento station, Porto Puppet Museum, Palace of Arts, Port See Treasure Museum, Museum of Sacred Art and Archaeology, Ribeira 1+1 apartment with 82.99 m2 of gross private area is on the first floor and consists of living room and kitchenette, two...
Mercury Group
780 000 €
Flat in Algarve, Portugal
32
Residence
More than an apartment ... a lifestyle!Large apartments with excellent natural lighting with luxury finishes just 10 minutes from the city center and its wonderful enterprise stands out for a very modern and bold architecture at the culmination of a new ideology of quality and an unwavering commitment to quality finishes and excellent services,...
Mercury Group
1 400 000 €
Flat on Madeira, Portugal
43
Residence
In one of the most refined areas of the city, where you can breathe calm and enjoy the blue of the vastness of the Atlantic Ocean, arises this luxury development, a sophisticated and timeless real estate project.A new hub in Funchal, overlooking the sea, where you will find squares, gardens, a children's playground and other leisure spaces, as...
Mercury Group
3 300 000 €
Flat on Madeira, Portugal
32
Residence
Choosing this development is choosing the city of Funchal and one of its most emblematic blocks. Here, the history of Madeira joins sophistication and modernity, overlooking the Atlantic and half walls with the peculiarities of a city with 6 centuries of venture is a unique project. From the old house, through more classic apartments to the most...
Mercury Group
1 850 000 €
Flat on Madeira, Portugal
43
Residence
Choosing this development is choosing the city of Funchal and one of its most emblematic blocks. Here, the history of Madeira joins sophistication and modernity, overlooking the Atlantic and half walls with the peculiarities of a city with 6 centuries of venture is a unique project. From the old house, through more classic apartments to the most...
Mercury Group
315 000 €
Flat in Barreiro, Portugal
101 sq.m212
Online ViewingRental property
Explore the Luxurious Nooba Complex in the Heart of Barreiro! Prime Location: Nestled along the scenic banks of the Tejo River, Nooba offers a rare fusion of urban sophistication and natural tranquility, mere moments away from Lisbon. Convenient Access: Nooba provides seamless access to Lisbon's dynamic city center, the airport, and...
