House prices have more than doubled in Portugal and eight other European Union (EU) member states since 2010 and should continue to grow on Portuguese soil despite the “cooling” of European real estate, the European Commission revealed this Wednesday.
“Housing prices have grown strongly across the EU over the past decade, especially during the pandemic. House prices started to rise during the economic recovery of the 2010s, albeit with notable differences between Member States.” and since then, “In Germany and the Netherlands, prices doubled, while Portugal, Ireland, Czech Republic, Austria, Luxembourg, Latvia and Lithuania recorded even stronger price growth”portrays the European Commission.
In a chapter devoted to the housing crisis in the autumn economic forecasts released today, Brussels points this out “European real estate markets have been cooling since mid-2022, alongside significant slowdown in credit levels”given the tight monetary policy of the European Central Bank (ECB).
Despite the fact that house prices in several Member States have already peaked in the second quarter of 2022, “Steady price growth continues in Bulgaria, Croatia, Greece, Portugal and Slovenia”says Brussels.
The community board concludes that at EU level “Going forward, constraints on households’ ability to borrow indicate that house prices will remain under pressure for the next few quarters before growth resumes”.
Source: DN
