Increasing property values in central Porto at 6,1% in the first semester

Maintaining the tendency for increasing values observed for the past ten consecutive semesters, properties in the historic centre of Porto were valued at 6,1% in the first semester of 2016, as stated in the latest report from the Confidencial Imobiliário the historic centre of the second city of Portugal.

In accumulated terms, since 2011, this zone of the city has increased by 93% in value, due to the improvement in supply, also boosted by the tourist ‘boom’ currently being felt in this destination.  

Between January and June, there were 124 housing transactions in this zone of the city known as Invicta, a total investment volume of 28.6 million euros (21.3 million euros more than the same period last year), and an increase of 10% in the number of housing transactions compared to the weekly average for last year. 

According to CI, the increase in demand is a result of successive investments in the renewal of buildings in this zone with property owners ever more interested in recovering and making a return on their assets. By June, 33 new alteration or expansion projects were launched, to which should be added conservation works and the renewal of façades. Furthermore, since the 2nd semester of 2014, 36 new projects each semester have been initiated, constitutuing 30% of the total number in the city council.

Prices are now entering a phase of stabilisation, and there has been a slowing down compared to the semestral peak of approximately 10% registered at the end of 2014 and at the beginning of 2015, a sign that the market is returning to normal. At present the Mouzinho-Flores axis displays the highest sales prices, with an average of over 2.600 euros/m².