Across the country, rents rose by 10.2% compared with the same period last year.

Figures released by the National Statistics Institute (INE) on 29 September put the national median monthly rent at €10.17 per square metre. In the Algarve, it reached €11.56, the fourth-highest regional figure in the country.

RTP reported that the annual increase accelerated from 9.1% in the first three months of the year. Compared with that quarter, the median rent rose by 7.5% between April and June.

For an illustration of the monthly cost, applying the Algarve’s median rate to an 80-square-metre home would give a rent of around €925. At the national rate, the equivalent would be approximately €814. These calculations show the difference between the two figures; individual rents vary with location, property size and condition.

New tenants paid the most per square metre in Greater Lisbon, where the median rent was €15.24. The figures were €12.78 in Madeira and €11.99 on the Setúbal Peninsula. In the Porto Metropolitan Area, rents reached €10.83, also above the national median.

The increases extended across the country. Every statistical subregion recorded a higher median rent than a year earlier, as did all 24 municipalities with more than 100,000 residents.

Among those municipalities, Guimarães had the sharpest annual rise, at 20.7%. Lisbon remained the most expensive, with a median of €17.79 per square metre, although its increase of 5.1% was below the national rate.

The number of new contracts changed much less than rental prices. INE recorded 35,407 contracts between April and June, an increase of just 0.4% from the same period in 2025.

The statistics cover newly signed housing rental contracts. They do not mean that every existing tenant’s rent increased by 10.2%. The median marks the midpoint of the recorded rents per square metre, with half below it and half above it.

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