The same media outlet reports that house prices in Portugal rose by 6.8 per cent in December compared to the same period last year. As a result, the average price per square metre stands at €3,019. In quarterly terms, house prices rose by 2.6%.

How much have house prices risen?

Idealista reports that property prices for purchase have risen in almost all the district capitals, with Santarém standing out, showing a rise of 27.1%, followed by Beja (20%) and Setúbal, closing out the top three with a rise of 17.2%.

After Setúbal comes Castelo Branco, with a 16.7% rise in house prices. Next up were Guarda (15.5%), Portalegre (14.5%), Viana do Castelo (13.1%), Ponta Delgada (11.6%), Viseu (10.9%), Leiria (9.3%), Funchal (9.0%), Braga (8.8%), Faro (8.8%), Coimbra (7.8%) and Aveiro (7.2%). However, more moderate increases were recorded, for example in Bragança (5 per cent), followed by Évora (4.9 per cent), Lisbon (4.8 per cent) and Porto (4.8 per cent).

Despite all the rises, Vila Real recorded an annual fall in house prices of 6.1 per cent.

Lisbon remains the most expensive city in which to buy a house, with an average price of €5,995 per square metre, followed by Porto and Funchal. The district of Faro, in the Algarve, comes fourth, with an average price of €3,435 per square metre, while Setúbal comes fifth in the ranking. Aveiro, Évora, Ponta Delgada Coimbra and Viana do Castelo round off the top 10 cities with the highest price per square metre.

Prices stabilise in the North

Over the last year, house prices for sale have risen in most regions of the country, although they have remained stable in the North. By region, the biggest annual increase was recorded in the Autonomous Region of the Azores, according to Idealista, with a rise of 20.1 per cent. This was followed by the Autonomous Region of Madeira, with an increase of 14.6%, the Alentejo, the Centre, the Algarve and the Lisbon Metropolitan Area, which recorded an annual increase of 8.6%.