Sophisticated and profitable option for demanding

The interest of Poles in real estate in Southern Europe is growing rapidly. In 2024, Poles bought a record 4,300 properties in Spain. This is an increase – as reported by Fakt.pl – by 44 percent compared to the previous year. This dynamics increased pressure on some parts of the Spanish market, leading to tightened competition, price increase and challenges related to the availability of new investments.

Meanwhile, Portugal discreetly prepared for the reception of Polish buyers. In Lisbon, Porto, Algarve and on the Silver Coast, real estate agencies are becoming more and more common in Polish and investment consulting. This is not only a manifestation of hospitality, but also evidence of infrastructure adapted to the needs of Polish clients, which significantly facilitates and personalizes the purchase process.

Competitive advantage included

The real estate market on the Iberian Peninsula is not homogeneous, and current price trends confirm this. At the beginning of 2025, average prices in large Spanish cities, such as Barcelona (6200–7400 euros/sq m) or Madrid (EUR 5970/sq m) increased rapidly – up to 13 % during the year (Spanish Property Insight).

Portugal offers a more affordable alternative: the average price in Lisbon is 5070 euros/sq m, in Porto 3540 euros/sq m, and in the algarve below 4000 euros/sq m. (INE Portugal, Confidencial Imobiliário). Savings on an apartment with an area of ​​100 sq m. They can reach up to 150,000 euros. This price difference, however, does not affect the long -term increase in value or quality of projects.

Since 2010, real estate prices in Portugal are rising: by 96.2 percent on a national scale, 110 percent in Lisbon and 97 percent at Algarve (Eurostat). This stable growth reflects the balanced market, powered by real demand and not speculation.

High profits, balanced risk

Rental rates in Portugal still exceed many other European locations. In Lisbon, they range from 5.1 percent up to 6.8 percent, in Porto 5.9-6.6 percent, and in some regions of the Algarve reach 6.2 percent, especially in areas with regulated short-term rent (numbeo, idealist, global property guide).

In other parts of the Iberian peninsula, the rate of return are slightly lower, often within 4.3-4.7 percent. in large cities. Differences in the regulations and rights of tenants may limit the flexibility of the owners, which means that stable profits in Portugal are particularly attractive to international investors starting their activities or using the financial leverage.

Value increase potential

Tourism plays an important role in shaping real estate markets. In 2023, Spain accepted 87 million tourists, which made significant pressure on infrastructure in popular regions. In cities such as Alicante or Malaga, foreign buyers are already responsible for over 25 percent. transactions, which contributes to problems with the availability of apartments for local residents.

The situation is different in Portugal. In 2023, the country was visited by 31 million tourists, which had an impact on the market, but not as much as in Spain. In most regions, the share of foreign owners does not exceed 15 percent, and in such locations as the Algarve is only 10-12 percent. This structure promotes more stable development and smaller disruptions on the market.

Transparent and stable legal framework

Portugal is also distinguished by the simplicity of regulation. Property rights are well protected and the legal system – transparent, which is crucial for foreign investors. Special investment zones such as Seixal, Alcochete or Vila Nova de Gaia (marked as tourist and urban development zones – ZDT) offer quick approval and simplified planning procedures.

The annual tax on municipal property (IMIs) in Portugal is only from 0.3 percent. up to 0.8 percent, which makes it one of the most competitive in Europe and further increases the fiscal attractiveness of the country.

Real real estate created with care

One of the underestimated advantages of the Portuguese market is the wide availability of turnkey -finished apartments. Unlike many other countries, where buyers must incur additional costs related to interior finishing, in Portugal not only the most luxurious investments offer ready -made apartments with high -class materials, energy -saving solutions and attention to detail.

An example of this approach is the company Dom in Portugal (house-w-portugalii.com), belonging to the Libertas group. Since 2008, it has an ISO 14001 environmental certificate and is a leader in the market for sustainable luxury construction. Most projects obtain energy classes A or A+ and use modern systems (such as Aqua+ water management) by setting new standards of ecological development in Europe.

Lifestyle that attracts

Of course, numbers are not everything. The lifestyle offered by Portugal is important, based on peace, culture and climate. Over 300 sunny days a year in Algarve, excellent healthcare (both public and private), low level of crime and a calm rhythm of life attract earlier pensioners, remotely working people and buyers of second homes.

From the buzz of cosmopolitan Lisbon to the natural harmony of the silver coast, Portugal remains authentic, slow and elegant. It is a country where heritage meets modernity, and luxury is natural, not created.

2025: The perfect time for investment

For Polish investors, Portugal is a unique combination of possibilities and lifestyle. Competitive prices, predictable profits and friendly infrastructure for foreign buyers – including a recent increase in direct air connections, such as almost daily flights from Warsaw through LOT (next to TAP and Wizzair) – make 2025 a particularly good time to consider the purchase.

While other markets are struggling with difficulties, Portugal maintains a stable, balanced and promising course. For those who want to combine capital protection with a high quality of life, Portugal remains not so much an alternative as a strategic choice.