Portuguese Housing Market Survey

“With the ongoing pandemic continuing to grip economies worldwide, it is little surprise that sentiment across the Portuguese housing market remains downbeat. If restrictions continue to be gradually eased across Europe in the coming weeks, the outlook should improve slightly over the second half of the year. That said, given the extent of the economic damage expected, it is likely the confidence will take some time to return.”

“House prices remained stable in both March and April, according to the latest Confidencial Imobiliário House Price Indices. After a long period of chained monthly growth reaching 2%, the HPI registered a 0.5% change. This is consistent with the PHMS results, signalling that the market’s first reaction is seen through the number of transactions and that both demand and supply decisions are being held. Support from banks, especially through moratoriums, buys the time that market participants need until a better understanding on the impact of the pandemic emerges.”