Houses for sale in Portugal: supply drops 26% since the peak of 2020

The housing market in Portugal is experiencing a shortage of properties, especially at affordable prices. And everything indicates that there are fewer and fewer homes available to buy in the country, at a time when demand is very high. The supply of homes for sale in the country has fallen by 26% since the historic peak reached at the end of 2020, as revealed by the latest data analyzed by idealista up to the second quarter of 2025.

The reduction in the supply of homes available for purchase compared to the maximum stock recorded was observed across the entire national territory, although with different variations from district to district. Leiria and Coimbra registered the largest drops in housing stock, with decreases of 52% and 51%, respectively, compared to the peaks recorded in the fourth quarter of 2018 in both districts.

Lisbon shows a 39% drop in the number of homes for sale since the last quarter of 2020, and Faro saw its supply reduced by 38% compared to the summer of 2020. On São Miguel Island, in the Azores, the decline in residential stock was 35% since the second quarter of 2021, while Madeira Island shows 32% fewer homes available for sale since the first quarter of 2021. In Santarém, the drop was 31% since the third quarter of 2020. In Setúbal, the supply of homes for sale fell 23% compared to the peak observed in the spring of 2024.

In Porto, the district that includes the country’s second largest city, the stock of homes for sale fell 22% since the second quarter of 2021, when it reached a record high. In Aveiro, the drop in supply was 21% compared to the peak observed in the second quarter of 2019. From there, the districts recorded stock reductions of less than 20% compared to their respective peaks reached between 2018 and 2024.

Portalegre registered the most moderate decline in housing stock in the entire country: −7% compared to the last quarter of 2023.

Homes for sale by districts and islands
Quarter in which each district and island reached the maximum stock of homes for sale
Variation in stock between Q2 2025 and the quarter in which each district reached its historic peak

Source: idealista/news – idealista – Datawrapper

Sharper drop in housing stock in major cities

In district capitals, the reduction in the supply of homes for sale is even more pronounced. Leiria leads with a drop of 77% since the stock peak observed in the city at the end of 2018. Next is Beja (with a 68% drop compared to its record), Coimbra (−56%), Évora (−45%), and Portalegre (−43%).

Lisbon records a 42% drop in the supply of homes to buy since the end of 2020 – when stock reached a record high in recent years. Braga and Faro show decreases in housing supply of 41% each, followed by Porto and Funchal, both with a 39% drop compared to their respective historic peaks. Viana do Castelo, Viseu, Santarém, and Guarda also saw stock declines of over 30% compared to their highs.

With stock declines between 21% and 27% compared to their respective records are cities such as Ponta Delgada, Setúbal, Bragança, Castelo Branco, and Aveiro. Vila Real recorded the smallest drop among the major cities, with a 14% decline compared to the peak observed in the summer of 2024.

Homes for sale by district capitals
Quarter in which each city reached the maximum stock of homes for sale
Variation in stock between Q2 2025 and the quarter in which each city reached its historic peak

Source: idealista/news – idealista – Datawrapper