Figures analysed by the company show that the stock of residential properties on the market declined by 14 percent in the first quarter of 2026 compared with the same period a year earlier. This decline highlights mounting pressure on the country’s housing market, where rising buyer interest and limited new construction continue to drive prices upward.

District capitals

Housing supply dropped in 18 of the 20 districts and autonomous regions surveyed. Only Santarém and Vila Real recorded increases in available homes for sale, up 2 percent and 1 percent, respectively.

Faro experienced the most reduction, with housing stock plunging 38 percent year-on-year, as Porto saw a contraction of supply down by 25 percent. Portalegre followed with a 31 percent decline, while Funchal recorded a fall of 26 percent.

Other major cities reporting notable decreases included Évora (-21 percent), Coimbra (-16 percent), Aveiro (-15 percent), Castelo Branco (-15 percent), Braga (-13 percent), and Lisbon (-13 percent).

More moderate recessions were recorded in Leiria (-11 percent), Setúbal (-10 percent), Ponta Delgada (-8 percent), Viseu (-8 percent), Guarda (-7 percent), Bragança (-6 percent), Viana do Castelo (-4 percent), and Beja (-3 percent), underlining the broad nature of the slowdown in housing availability across the country.

More moderate declines were recorded in Leiria (-11%), Setúbal (-10%), Ponta Delgada (-8%), Viseu (-8%), Guarda (-7%), Bragança (-6%), Viana do Castelo (-4%) and Beja (-3%), underlining the broad-based nature of the slowdown in housing availability across the country.

Nationwide stock

At the district and island levels, almost every analysed region also reported a reduction in homes available for purchase. Vila Real was the sole exception, posting a 5 percent increase in supply.

The steepest regional declines were seen in Faro and Portalegre, both down 19 percent, followed by Aveiro (-17 percent), Coimbra (-16 percent), Leiria (-16 percent), Porto (-16 percent), Madeira (16 percent) and Évora (-15 percent).

Braga registered a 13 percent decline, while Lisbon, Santarém and Setúbal each posted falls of 12 percent. Brangaça saw supply drop 11 percent, with smaller decreases reported in Guarda (-7 percent), Beja (-6 percent), Castelo Branco (-6 percent), Viana do Castelo (-6 percent), Viseu (-4 percent) and São Miguel Island (-3 percent).

Imbalance persists

The figures reinforce concerns over Portugal’s chronic lack of housing, as the slow pace of new development does not meet demand from domestic and international buyers.

This data was compiled by idealista/data, the company’s property analytics division, which provides market intelligence and valuation services across Portugal, Spain and Italy using a combination of proprietary, public and private datasets.