Housing affordability in Portugal, 2008-2026
Timeline, causes, evidence and policy options
House prices in Portugal rose 17,6 % in 2025 against 5,5 % in the EU27, and among people renting at market price 27,2 % spent more than 40 % of disposable income on housing. The paper separates descriptive evidence, causal estimates, hypotheses and policy judgements, and anything not confirmed at source is reported as open.
Key findings
- House prices rose 17,6 % in 2025 against 5,5 % in the EU27; the index stands at 263,85 against 161,89 (2015 = 100) (p. 10-11; summary p. 3-4).
- Market-rent tenants have a housing-cost overburden of 27,2 %, against 18,5 % in the EU27 (p. 12; summary p. 3-4).
- The rent-control literature finds significantly lower controlled rents in 36 of 41 published studies, alongside adverse findings on supply, quality and uncontrolled rents (p. 18; summary p. 4).