A study by the ERA Group forecasts that Portugal will experience the biggest rise in real estate transactions in 2025.

Out of 19 European countries included in the ERA Group’s assessment of the real estate market for 2024 and 2025, Portugal is projected to record the strongest growth in transactions this year, exceeding 10%, according to a report by Idealista.

The ERA Europe Market Survey 2024/2025 was carried out considering the strong activity in the real estate market and the more favourable financing conditions.

Data from Portugal’s National Statistics Institute (INE) for the first quarter of the year showed a 24.9% rise in transactions compared to the same period in the previous year.

In 2024, Portugal recorded the fourth-largest increase in real estate transactions, with growth of 14.5%, trailing behind Turkey (20%), the Czech Republic (43%), and Luxembourg (48%). Meanwhile, France, Austria, and Ireland posted the steepest declines, mainly driven by supply shortages that are expected to continue this year, The Portugal News reports.

The study also highlighted property prices per square metre across the 19 countries surveyed, showing that Portugal remains well below the average of €3,558/m², with a rate of €1,777/m² in 2024. The highest prices in Europe were recorded in Switzerland (€11,400/m²), Luxembourg (€8,488/m²), the Netherlands (€4,445/m²), Austria (€3,560/m²), and France (€3,217/m²).

With most of the European Union population living in urban areas, housing prices have come under sustained pressure. The study highlights Lisbon as part of this trend, with property prices at €4,340/m², comparable to Prague (€4,555/m²) and Vienna (€4,184/m²), and higher than cities such as Rome (€3,200/m²), Madrid (€3,805/m²), and Brussels (€3,337/m²).

However, markedly higher prices are seen in Bern (€15,000/m²), Luxembourg (€12,462/m²), and Paris (€9,557/m²), making them the most expensive cities in the EU.