In addition to tax incentives, the recent appreciation of the euro against the dollar has made homes even more affordable for Americans. The big question now is whether the demand for homes by North Americans in Portugal will continue to rise.
Data from idealista reveals that the interest of families from the USA to buy a house in Portugal increased by 88% between 2020 and 2022. And the search for houses to rent by North Americans more than doubled in this period (+154 %).
While the market appears buoyant, recent financial incidents in the USA have left market experts concerned about the future: “Any financial crisis in the United States will eventually have an impact on Europe and, in turn, on Portugal, whether due to market confidence or the strategies adopted by each economic agent. In any case, the impacts are never immediate and allow the adoption of measures to mitigate their reflection”, explains Miguel Cabrita, responsible for idealista/creditohabitação in Portugal. That is why the head of the International Monetary Fund (IMF), Kristalina Georgieva admitted at the end of March that it is still necessary to have “continuous vigilance” over the “high” uncertainty that hangs over financial markets.
It remains to be seen whether the recent financial instability will influence the purchase of homes in Portugal by US citizens or not. So far, the signs are of confidence and everything indicates that business in 2023 continues to be booming, with a “slight increase in demand from North American customers since the last quarter of 2022”, Vanessa Moreira, sales director for Engel & Völkers Portugal, told idealista.