a
Print
version

Portugal: is it a goldmine for investors? The rise of the short-term rental market

  • 11
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
Apartment for 865 000 euro in Vila Nova de Gaia, Portugal
865 000 €
Apartment in Vila Nova de Gaia, Portugal
209 sq.m 4 3 4
Online Viewing Remote Transaction Credit
3-bedroom apartment in a new development in a private condominium that will be built on the riverside of Vila Nova de Gaia, on the south bank of the Douro river. In addition to the excellent finishes it has, this house is also distributed in excellent areas, occupying the top floors of the development. It has its areas divided as follows:...
Amber Star Real Estate
Apartment for 650 000 euro in Funchal, Portugal
650 000 €
Apartment in Funchal, Portugal
280 sq.m 3
Gated community consisting of only 8 residential units, all with panoramicview of the Bay of Funchal and the hotel grounds.With the highest quality finishes, large interior areas and terraces onthe whole facade.The apartments are equipped with an air conditioning system in allindoor, home automation, heat and sound insulation.Garage with a...
Intermark Global
Apartment for 737 620 euro in Lisbon, Portugal
737 620 €
Apartment in Lisbon, Portugal
105 sq.m 2 1 1
Online Viewing Remote Transaction Credit
Great 1 bedroom apartment in Baixa Pombalina of 105 m2, consisting of: - Living room; - Kitchen; - Bedroom; - Bathroom. Amenities: - Built-in and concealed air conditioning system for heating and cooling; - Doors with JNF, OpenSpace, Saheco and GRASS hardware; - MACIÇA natural wood exterior windows; - HAGER stereo...
Amber Star Real Estate
Apartment for 405 000 euro in Porto, Portugal
405 000 €
Apartment in Porto, Portugal
53 sq.m 2 1 1
Residence Online Viewing Remote Transaction Credit
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 one-bedroom apartment with a total area of 77,3 m2 is located on the ground floor. It has a living area of 53,4 m2 and a terrace of 23,9 m2....
Amber Star Real Estate
Villa for 910 000 euro in Cascais, Portugal
910 000 €
Villa in Cascais, Portugal
396 sq.m 4 3 3
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
Apartment for 870 000 euro in Lisbon, Portugal
870 000 €
Apartment in Lisbon, Portugal
126 sq.m 3 2
Online Viewing Remote Transaction Rental property
Welcome to Prata Riverside Village, your embodiment of modern lifestyle. Join our unique community, where every moment is filled with amazing experiences and opportunities. Prata represents not only a home, but also an investment in your future. Discover the atmosphere of a NEW, BRIGHT, and MODERN residential complex located on the banks of...
Glacier Location LDA
Flat for 890 000 euro in Matosinhos, Portugal
890 000 €
Flat in Matosinhos, Portugal
118 sq.m 4 3
Residence
Ready to move in 3-room apartment with a total area of 168 m2. 5th floor of a building with elevators. The box is closed for 2 cars and 2 storage rooms. Compiled by: Entrance hall 3m2;Social bathroom 3m2;Kitchen 12m2 equipped with oven, microwave, refrigerator, dishwasher, hob, extractor hood and heat pump;Open space living room 34m2, with...
Mercury Group
Flat for 1 150 000 euro in Vila Nova de Gaia, Portugal
1 150 000 €
Flat in Vila Nova de Gaia, Portugal
4 3
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
Flat for 800 000 euro in Vila Nova de Gaia, Portugal
800 000 €
Flat in Vila Nova de Gaia, Portugal
3 2
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
Flat for 1 900 000 euro in Lisbon, Portugal
1 900 000 €
Flat in Lisbon, Portugal
4 3
Residence
Excellent investment opportunity or to live as a family in this new luxury development located in the Park in thel for you with all the tranquility and a view of the Vasco da Gama bridge and the river, near the Marina and the Casino. Also thinking about families, this development is distinguished by its services that offers such as indoor and...
Mercury Group
House for 550 000 euro in Sintra, Portugal
550 000 €
House in Sintra, Portugal
200 sq.m 6 5
Residence
House T5 in good condition, with large patio and space to park 2 in the state of conservation in which it is villa consists of:- basement: has a circulation hall, with access to bathroom, ample storage space, bedroom and lounge with fireplace and access to generous patio.- ground floor: entrance hall with access to kitchen, 3 bedrooms with...
Mercury Group
Flat for 2 300 000 euro in Lisbon, Portugal
2 300 000 €
Flat in Lisbon, Portugal
4 3
Residence
Excellent investment opportunity or to live as a family in this new luxury development located in the Park in thel for you with all the tranquility and a view of the Vasco da Gama bridge and the river, near the Marina and the Casino. Also thinking about families, this development is distinguished by its services that offers such as indoor and...
Mercury Group
House for 799 000 euro in Algarve, Portugal
799 000 €
House in Algarve, Portugal
257 sq.m 5 4
Residence
Fantastic 3 bedroom villa located in the charming Vila da Luz,lly renovated, and with excellent areas, this villa excels by an incredible natural light. With invigorating views and very close to Luz beach, come and visit this paradise!
Mercury Group
Flat for 195 000 euro in Amadora, Portugal
195 000 €
Flat in Amadora, Portugal
94 sq.m 4 3 3
Rental property
Great apartment for living and investment!!! Apartment in Amador!!! Fully renovated 3 bedroom apartment located in Kasem. The apartment is strategically located in an area with proximity to public transport. The presence of trade and services in the surroundings makes this area convenient for everyday life. The apartment has three bedrooms...
VRC Idrisova
Flat for 555 000 euro on Madeira, Portugal
555 000 €
Flat on Madeira, Portugal
166 sq.m 4 3
Residence
Situated in the parish of Santa Luzia, Hinton is an attractive new building that will consist of 40 beautifully designedng in Hinton is to enjoy the best of both worlds: a quiet, diverse environment and central location, with good access to cars and public transport, enjoying the proximity to open and green spaces, such as the Santa Luzia...
Mercury Group
House for 950 000 euro on Madeira, Portugal
950 000 €
House on Madeira, Portugal
176 sq.m 4 3
Residence
If your desire is to live in a single-storey villa, with backyard, garden, swimming pool, sea view and all the amenities you deserve and provide you with comfort and well-being facilitating your day-to-day, then this is undoubtedly the villa you are lookingted in Arco da Calheta, this unique villa has 3 bedrooms that include a suite. With ample...
Mercury Group
Flat for 950 000 euro on Madeira, Portugal
950 000 €
Flat on Madeira, Portugal
3 2
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
Flat for 900 000 euro on Madeira, Portugal
900 000 €
Flat on Madeira, Portugal
3 2
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
Flat for 635 000 euro on Madeira, Portugal
635 000 €
Flat on Madeira, Portugal
150 sq.m 4 3
Residence
3 bedroom apartment located in the center of property is inserted in a development located in one of the most prestigious areas of apartments are in the building that houses one of the most sophisticated hotels in the city, a shopping center and one of the areas with the best accessibility in the city ofllent access to all types of commerce...
Mercury Group
House for 550 000 euro on Madeira, Portugal
550 000 €
House on Madeira, Portugal
4 3
Residence
This semi-detached villa is situated on the south-west coast of Madeira, about 5 minutes from Calheta beach, just a 25-minute drive from Funchal city centre and 45 minutes from Madeira is located in a privileged area of Arco da Calheta, an area recognized by pleasant climate and mild temperature throughout the year. With incredible landscapes...
Mercury Group

Source: Idealista

Photo by K. Mitch Hodge on Unsplash

Quoting conditions of Prian.info materials

Share the link:
Tags: Portugal, Market Analysis, Investment, Real Estate

Read also

Portugal has made important amendments to its citizenship law
Now the five-year naturalization period will begin from the date of submission of the application...
Housing in Portugal is gradually becoming cheaper
The median bank valuation of housing in October 2023 was €1,536 per square meter.
The parliament of Portugal has approved changes to the Golden Visa program
The option of acquiring real estate has been excluded from the possible investment options.
Portugal has revealed the statistics on the issuance of golden visas in August 2023
As well as the income that the program has brought to the country's budget.
High interest rates will have a long-term impact on European home prices – opinion of Standard & Poor’s
In most European countries, housing costs will fall by about 8% by the end of 2024.
European Parliament Has Banned the Sale or Rental of Housing Without the Modernization of the Energy Supply
The president of the All-Greek Federation of Property Owners (POMIDA) as well as the...

Interesting to read

News and articles on the topic «Portugal»

EU tourism performance exceeds pre-pandemic levels

The number of nights spent in EU tourist accommodation reached 2.9 billion in 2023.

  • 12.03.2024
  • 26

Portugal is speeding up the immigration procedures

The new Agency for Integration, Migration and Asylum, shortened to AIMA, has taken over the case.

  • 19.02.2024
  • 16