Record after record. Every month, the median value of bank property appraisals continues to rise, reaching new all-time highs and influencing mortgage loan processes. May was no exception, with the square meter (m²) of homes being appraised by banks at €1,886. This represents an annual increase of 17.1%.

“In May 2025, the median value of bank appraisals, carried out as part of mortgage loan applications, stood at €1,886 per square meter (€/m²), increasing by €20 (1.1%) compared to April,” stated the National Statistics Institute (INE) in the bulletin published this Thursday, June 26. This marks a new historical high.

The Algarve recorded the most significant monthly increase in housing appraisals (3.1%), while the Autonomous Region of Madeira saw the sharpest decline (-1.7%).

Compared to May 2024, the median appraisal value for housing increased 17.1%. All regions of the country saw an increase in appraised value per m², with the most notable variation occurring in the Setúbal Peninsula (21.1%).

To determine the median value of bank property appraisals for May 2025, 35,255 appraisals were considered (22,698 apartments and 12,557 houses), which is 7.5% more than in the same period last year. However, compared to the previous month, there was a 1.4% decrease.

Bank Property Appraisals: How Are They Evolving in Portugal?

Price per square meter of bank appraisals for housing (€/m²)

(Graph data showing trends from 2019 to 2025, with source: INE / Created with Datawrapper)

Apartment Appraisals Up 21% in One Year

For apartments, the median bank appraisal value in May 2025 was €2,155/m², an increase of 21.1% compared to May of the previous year. “The Autonomous Region of Madeira recorded the most significant annual increase (23.7%), with no decreases observed,” the INE explains in the report.

The regions with the highest appraised values per m² were: Greater Lisbon (€2,874/m²) and the Algarve (€2,564/m²). The Alentejo registered the lowest value (€1,373/m²).

Compared to April 2025, the appraisal value of apartments increased by 2.4%, with the Algarve showing the largest monthly rise (3.4%). “The Autonomous Region of the Azores recorded the same value as the previous month, with no decline observed,” it adds.

Most of the apartment appraisals in May were for T1, T2, and T3 types. Here’s how the median values changed monthly:

  • T1 apartments: median value increased by €90, reaching €2,756/m²

  • T2 apartments: value increased by €54, reaching €2,203/m²

  • T3 apartments: value rose by €26, reaching €1,888/m²

Houses: Appraised Value per m² Up More Than 10% in a Year

Houses were also appraised more highly by banks over the past year. Specifically, the median bank appraisal value for houses was €1,394/m² in May 2025, reflecting an annual increase of 10.4%. “The Setúbal Peninsula recorded the highest year-on-year growth (16.1%), with no decreases observed,” says the INE.

Regionally, the highest house appraisal values were found in Greater Lisbon (€2,554/m²) and the Algarve (€2,514/m²), while the Centre and Alentejo regions recorded the lowest values (€1,048/m² and €1,102/m², respectively).

Compared to the previous month, the bank appraisal value for houses rose by 0.6%. “The West and Tagus Valley region had the highest monthly increase (1.5%), while the Autonomous Region of Madeira experienced the sharpest drop (-2.4%),” they explain.

The T2, T3, and T4 house types accounted for 88.7% of the house appraisals carried out in May. Their median values evolved as follows:

  • T2 houses: median value increased by €19, reaching €1,372/m²

  • T3 houses: value rose by €12, reaching €1,376/m²

  • T4 houses: value remained unchanged from the previous month at €1,467/m²