Latest news and stories about housing costs in finance in Portugal for expats and residents.
In 2023, Portugal ranks among the EU countries with the lowest purchasing power, with its average annual income allowing for the purchase of only 11 baskets of essential goods, significantly less than the 24 baskets that can be afforded by an average Luxembourger. This disparity highlights the economic challenges faced by Portuguese residents, particularly in the context of rising housing costs.
Portugal has experienced significant increases in house prices since 2020, according to data from Pordata. Despite this rise, the country still ranks among those with the lowest purchasing power, with only Greece having higher housing costs relative to income.
The headline of DN on Wednesday, 18 February, highlights that despite an increase in the supply of rental homes, rents continue to rise, particularly in major urban centers where costs exceed one thousand euros. Government measures are anticipated to enhance supply, but their effects are expected to manifest in the medium to long term. The edition also features a report on social media access for young people, an interview commemorating the 40th anniversary of the first heart transplant, discussions on fame in sports, cultural insights into Lídia Jorge's novels, an obituary for civil rights advocate Jesse Jackson, and economic statistics regarding female workers' earnings.
Households with mortgages tied to the six-month Euribor — the most commonly used term — will see their monthly instalments increase in February. The change raises borrowing costs and is likely to squeeze household budgets as loan repayments climb.
Seven in ten young people say they cannot achieve financial independence, and most earn below the national average salary, according to a study that identifies housing costs as one of the main barriers to their emancipation.
The Euribor rate, the benchmark for mortgage credit, fell on Wednesday for three and six months but rose for twelve months, reaching its highest value for the longer term since April. The three-month rate decreased to 2.082%, down from 2.088% on Tuesday, and remained below the six-month rates.
For thousands of families, the month of December brings an unwanted gift: the end of the decrease in house payments. For the first time since January of last year, holders of variable-rate mortgages indexed to the 3 and 6-month Euribor, whose contracts are reviewed in December, will see [...]
If you are reading this news in an app, access the quiz 'Buying a house in Portugal has never been so expensive'. The median value at which banks assess properties for mortgage loans reached its highest level ever in October, according to the statistical series that dates back to January 2011. Also, last week […]
Average Euribor rates have increased across all terms used in home loans. Loans with a 12-month Euribor are still decreasing, but only slightly.
