![House prices average at approximately €1,886 per square meter in [location]](/en/content/images/size/w1280/format/webp/20250629020943_house-appraisals-april-data-ine-statistics-average-house-value-annual-increase-bank-appraisals-monthly-comparison-16-9-35300-appraisals-1-4-drop-7-5-annual-increase.jpeg)
Value of an average house measured at approximately €1,886 per square meter
in April's rolls, the housing market witnessed an impressive climb of 16.9%, as reported by the National Statistics Institute (INE).
During the current month, a total of approximately 35,300 bank appraisals were under consideration. This figure marks a 1.4% decrease compared to April, but a 7.5% surge when compared to the same period last year.
digging deeper, we find that this 1.4% drop is merely a short-term monthly fluctuation nested within the broader upward annual trend of the housing market. Factors like seasonal adjustments, temporary market cooling, or shifts in demand-supply dynamics could be responsible for this decline in a single month.
Research suggests that while the housing market demonstrates strong annual growth, monthly variations are common, driven by economic conditions such as interest rates, consumer confidence, and inventory availability. For instance, the recent downturn in Euribor and mortgage interest rates has been affecting buying behavior temporarily, thereby moderating monthly appraisal values, despite the overall annual trend remaining strong[2][5].
In essence, the 1.4% monthly decrease should be seen as a regular, short-term variation in the context of a robust housing market growth, as highlighted by the 16.9% annual increase reported by the INE.
- Despite a 1.4% decrease in bank appraisals this month compared to April, the housing market in Portugal continues to show strong annual growth, as indicated by the 16.9% increase reported by the INE.
- Current market trends suggest that while monthly variations are common in the housing market, factors such as interest rates, consumer confidence, and inventory availability can influence such fluctuations.
- Given the robust annual growth of the housing market, the recent downturn in Euribor and mortgage interest rates might be causing temporary changes in buying behavior, which could be responsible for the 1.4% decrease in appraisals this month.
