Data from the National Statistics Institute (INE) reveals that the price of commercial properties traded continued to increase during 2024 (4.7%), but slowed in the pace of growth compared to the previous year, and the cost of commercial properties has grown much less than the price of houses.

“In 2024, the prices of commercial properties traded continued to increase, although a slowdown was recorded, with the average annual variation rate of the Commercial Property Price Index (IPPCom) falling from 5.5% in 2023 to 4.7% in 2024” (-0.8 percentage points), reveals the INE.

As has been observed in recent years, commercial property prices have grown at a slower rate than residential properties. “In the last year, the housing market (…) showed price growth that was practically double that observed in commercial properties”, concludes the INE. Specifically, house prices rose 9.1% in 2024, 4 percentage points (p.p.) more than the cost of commercial real estate – and this difference is even greater, at 1.7 p.p., compared to the previous year, according to a report by idealista.

During 2024, households carried out 134,540 transactions, 15.2% more than the previous year. But home sales carried out by other institutional sectors, especially companies, also grew, highlighting the attractiveness of housing for investment, for example.

Last year, other institutional sectors purchased 21,785 homes, 10.3% more than the previous year. And the amount moved also increased 13.1% in one year to €5.1 billion.

As for the prices of houses purchased by companies, “an annual increase of 5.1% was observed in the first quarter, slowing to 2.7% in the second quarter. In the second half of the year, price growth was more intense, reaching 4.1% and 5.2%, respectively, in the third and fourth quarters”.

All things considered, the INE concludes that in 2024, the price of houses in Portugal (general) grew more than the price related to housing acquisitions by other institutional sectors.