Algarve Property Market Analysis
Our Algarve Property Market Analysis explores why this exclusive region of Portugal remains the popular choice for high-net-worth individuals and investors. We review the market data from 2024 and outline why there are still significant investment opportunities in 2025 and beyond.
2024 – another record breaking year
Real estate prices in the Algarve continued to outperform the wider market in 2024, increasing on average by 15.3% (PMI Report 2024-2025). Quinta do Lago and Vale do Lobo were ranked as the best property hotspot locations in Portugal – scoring the highest marks possible in categories such as investment potential, infrastructure, security, amenities, health and wellbeing.
Demand for luxury property and exclusive investment opportunities within the Algarve continued to far exceed supply in the area. In 2024, ten properties were sold for every new one built which has maintained the continuous upward pressure on prices in this sought-after area. The property market in the Algarve continues to grow at twice the pace compared to the rest of Europe and is higher than most areas within North America.
World-class facilities on your doorstep
There are many reasons why international investors and affluent individuals choose areas such as Quinta do Lago and Vale do Lobo as their home. The year-round community feel within each area is complemented by an impressive range of golf courses, beautiful beaches, the Ria Formosa Natural Park, Michelin Star restaurants, sports facilities such as The Campus, shopping and family-friendly activities.
Danny Stones, our Managing Director, commented: “Many people are choosing the Algarve, not only for holiday or retirement homes, but it has also become a preferred choice for digital nomads, couples of all ages and young families looking to make it their permanent residence.”
“This is not only due to Portugal’s 300 days plus of sunshine per year and beautiful year-round climate. Portugal is one of the most affordable countries in Western Europe where the high quality of life versus lower cost of living consistently scores highly among our clients. There are also world-class sports and leisure facilities which attract elite athletes and top professional teams, further driving interest and demand for property.”
Book VIP TourThere is still significant room for growth in these resorts and in other key locations of the Algarve due to the ever-increasing demand from local and international high-net-worth individuals and consortiums.
Portugal also has an established reputation as one of the safest countries in the world, with excellent national and international schools and one of the best healthcare systems in Europe.
Opportunities for investors in 2025
2025 looks set to be another record-breaking year for both the property market and tourism in the Algarve, with prices forecasted to rise by 19.1% (Quinta do Lago) and 18.5% (Vale do Lobo) respectively. This performance is significantly higher than the Portuguese property market more broadly, which is forecasting more modest growth of 5.8% (PMI Report 2024-2025) and highlights the Algarve’s long-term appeal.
Properties in the exclusive region of the Algarve continue to attract both international and domestic buyers. Data from the Instituto Nacional de Estatística shows average house prices growing consistently year on year in the Algarve:
Property values (€/SQM) within prime Algarve resorts, such as Quinta do Lago and Vale do Lobo, compare with some of the most exclusive resorts in the world.
Invest in the Algarve with confidence
Find your dream home or investment opportunity in the Algarve with independent advice and guidance from the Full Time Property team.
Our team of specialists, based in Portugal, work together with experts to guide your decisions. We can help you with Investment Properties, Unique Plots and bespoke luxury properties in Rural or Coastal Algarve.
Book your VIP tour of the area with Full Time Property
For those interested in experiencing the most exclusive region of the Algarve first-hand, VIP trips can be arranged to tour the area and explore the luxury properties or investment opportunities in the surrounding areas. These exclusive tours provide an insight into the exceptional lifestyle offered both in Quinta do Lago and Vale do Lobo – showcasing the unique blend of sports, wellness and luxury that each area offers.
Let us know your exact requirements using the enquiry form below. Alternatively, you can contact our Managing Director, Danny Stones, directly on +44 (0) 7710 723 699 or via [email protected].