According to the project Relocation.com.ua, citing data from idealista with reference to Banco de Portugal, foreigners invested €3.905 billion in Portuguese real estate in 2025, setting a new record and exceeding the 2024 level by 10.4%. Against this backdrop, the total inflow of foreign direct investment (FDI) into Portugal, conversely, fell by 34.9% to €8.51 billion, while the share of real estate in total FDI rose to 45.9%, or nearly half of all foreign capital.
The geography of this capital remains fairly predictable. The largest volume of accumulated foreign investment in Portugal is concentrated in Greater Lisbon—€113.2 billion, followed by the North of the country—€37.2 billion, and the Algarve—€21.7 billion; together, these three regions account for 80.5% of the total foreign investment stock.
Among the countries from which capital flowed in 2025, Luxembourg stood out—€1.1 billion, the United Kingdom—about €900 million, and Germany—€800 million. At the same time, Banco de Portugal itself notes that jurisdictions such as Luxembourg, the Netherlands, and Spain often serve as intermediary platforms, so the ultimate sources of funds may differ from the country of the direct counterparty.
But if we look not at investment capital but at actual real estate transactions, the picture becomes clearer. The latest detailed official breakdown from INE shows that in 2024, foreign families purchased 38,552 houses and apartments in Portugal, which is 6.7% more than in 2023 and 19.2% higher than the 2019 level. That said, foreigners still remained a minority in the market: in total, families purchased 134,540 properties, of which 95,988 were bought by buyers of Portuguese origin. Among foreign buyers, Brazilians led the way with 7,694 transactions, followed by Angolans with 4,054 and the French with 4,016. Separately, INE noted a rapid increase in the number of Americans: the number of their purchases rose from 537 in 2019 to 1,707 in 2024.
If we broaden the picture and look at all major foreign groups residing in Portugal, it becomes clear that the market demand is much broader than just traditional buyers from Brazil, France, or the United Kingdom. According to AIMA, 1,543,697 foreigners were residing in Portugal as of the end of 2024.
The largest community was Brazilians—484,596 people, followed by Indians—98,616, Ukrainians—79,232, Nepalese—58,086, and British—48,238.
The mortgage market adds a distinct dimension to this picture. According to Banco de Portugal, in 2024, 10.1% of people who took out a mortgage for their primary residence were foreigners. Brazilians again led the way, accounting for 38% of all foreign borrowers; they were followed by Angolans and British nationals. In terms of loan amounts, Brazilians accounted for 30% of foreign mortgage volume, the British for 7%, Americans for 6%, and the French and Italians for 5% each. This shows that in Portugal, foreign demand has long been driven not only by purchases with personal funds but also by full-scale lending.
That is precisely why the Portuguese market should now be viewed from two perspectives. In the first, foreign capital has indeed set a record and continues to fuel the real estate market even after the abolition of “golden visas” for housing. Second, the composition of actual foreign demand is becoming increasingly diverse: as before, Brazilians, Angolans, French, British, and Americans are the most active buyers, but within the country’s demographic structure, the role of Ukrainians, Indians, Nepalese, and other new communities is becoming increasingly prominent. For the market, this means one thing: the foreign presence in the Portuguese housing market is not weakening, but changing form.
https://relocation.com.ua/foreigners-break-record-in-portugals-housing-market/
