The beginning of 2026 brought new developments to the rental market. House rents in Portugal fell by 1.9% in January compared to the same month of the previous year, in a context of high demand, which suggests that there has been growth in the supply of homes for rent over the past year, taking into account the law of supply and demand. Thus, according to the idealista price index, renting a home reached a median cost of 16.1 euros per square metre (euros/m²) at the end of January, moving away from the historical peak of 17 euros/m² recorded in October 2025. This downward trend in house rents has been observed over the last three months, with the quarterly variation standing at -5.3%.
House rental prices rise in 11 major cities despite national decline
Although there has been a slight correction in rental costs at a national level, the truth is that rents increased in 11 major cities. The largest annual increases in house rents were recorded in Setúbal (11.9%), Leiria (11.3%) and Viana do Castelo (11.1%).
There were also increases in residential rental prices in Faro (9.7%), Ponta Delgada (9.7%), Coimbra (9.3%), Santarém (7.1%), Viseu (6.3%), Braga (2%), Funchal (1.3%) and Aveiro (0.6%), according to idealista data.
On the opposite side, annual decreases in rents were recorded in Castelo Branco (-2.1%) and Porto (-6.3%). In Lisbon, prices remained practically stable (-0.5%).
Lisbon continues to be the most expensive city to rent a home, with a median price of 21.8 euros/m², followed by Porto (16.7 euros/m²) and Funchal (16 euros/m²). Next come Faro (14.8 euros/m²), Setúbal (13.9 euros/m²), Coimbra (12.3 euros/m²), Aveiro (11.4 euros/m²) and Ponta Delgada (11.1 euros/m²).
In the mid-price segment for rental homes are Braga (10.1 euros/m²), Viana do Castelo (9.5 euros/m²), Santarém (9.5 euros/m²) and Leiria (8.9 euros/m²). The most affordable district capitals continue to be Viseu (7.8 euros/m²) and Castelo Branco (6.7 euros/m²).
House rental prices by major cities
Median value in January 2026 (euros/m²/month)
Change between January 2026 and the same month of the previous year (%)
District capitals / autonomous regions | Rents (euros/m²/month) | Annual change (%)
Setúbal | 13.9 | 11.9%
Leiria | 8.9 | 11.3%
Viana do Castelo | 9.5 | 11.1%
Ponta Delgada | 11.1 | 9.7%
Faro | 14.8 | 9.7%
Coimbra | 12.3 | 9.3%
Santarém | 9.5 | 7.1%
Viseu | 7.8 | 6.3%
Braga | 10.1 | 2.0%
Funchal | 16.0 | 1.3%
Aveiro | 11.4 | 0.6%
Lisbon | 21.8 | -0.5%
Castelo Branco | 6.7 | -2.1%
Porto | 16.7 | -6.3%
Source: idealista
Districts of Guarda, Porto and Faro record declines in rents
Over the last 12 months, house rental prices increased in 13 of the 20 districts and islands analysed, remained practically stable in Viana do Castelo (0.5%), Lisbon (-0.5%) and Santarém (-0.4%), and fell in four territories.
The largest annual increase in house rents was recorded in Bragança (19.5%), followed by Beja (12.6%), Coimbra (11.1%), Évora (9.5%) and the island of São Miguel (9.5%). There were also increases in Castelo Branco (8.9%), Viseu (6.5%), Braga (6%), Setúbal (5.5%), Aveiro (4.6%), Leiria (4.5%), Vila Real (2.5%) and the island of Madeira (1%).
In the opposite direction, the largest annual decreases in the cost of renting a home were observed in Guarda (-14.3%), Porto (-4.7%), Faro (-3.3%) and Portalegre (-3.2%), according to idealista.
Lisbon leads the ranking of the most expensive districts and islands to rent a home, with a median price of 20 euros/m², followed by the island of Madeira (15.8 euros/m²) and Porto (15 euros/m²). Next come Faro (14.7 euros/m²) and Setúbal (14.3 euros/m²).
With rental values above 10 euros/m² are also Évora (12 euros/m²), Coimbra (11.3 euros/m²), the island of São Miguel (11.3 euros/m²), Beja (10.8 euros/m²), Braga (10.3 euros/m²) and Aveiro (10.1 euros/m²). In the intermediate segment appear Leiria (9.8 euros/m²), Viana do Castelo (9.3 euros/m²), Santarém (8.2 euros/m²), Castelo Branco (8 euros/m²) and Vila Real (8 euros/m²).
The most affordable districts to rent a home continue to be Viseu (7.6 euros/m²), Bragança (6.7 euros/m²), Portalegre (6.6 euros/m²) and Guarda (6.2 euros/m²).
House rental prices by districts and islands
Median value in January 2026 (euros/m²/month)
Change between January 2026 and the same month of the previous year (%)
Districts / islands | Rents (euros/m²/month) | Annual change (%)
Bragança | 6.7 | 19.5%
Beja | 10.8 | 12.6%
Coimbra | 11.3 | 11.1%
Évora | 12.0 | 9.5%
São Miguel (island) | 11.3 | 9.5%
Castelo Branco | 8.0 | 8.9%
Viseu | 7.6 | 6.5%
Braga | 10.3 | 6.0%
Setúbal | 14.3 | 5.5%
Aveiro | 10.1 | 4.6%
Leiria | 9.8 | 4.5%
Vila Real | 8.0 | 2.5%
Madeira (island) | 15.8 | 1.0%
Viana do Castelo | 9.3 | 0.5%
Santarém | 8.2 | -0.4%
Lisbon | 20.0 | -0.5%
Portalegre | 6.6 | -3.2%
Faro | 14.7 | -3.3%
Porto | 15.0 | -4.7%
Guarda | 6.2 | -14.3%
Source: idealista
Northern Region and Algarve see corrections in rental prices
Over the last 12 months, house rental prices increased in four of the seven Portuguese regions analysed, decreased in two and remained relatively stable in the Lisbon Metropolitan Area (-0.3%).
The largest annual increases in house rents were recorded in the Centre region (6.4%), followed by the Autonomous Region of the Azores (3.2%) and Alentejo (3.1%). The Autonomous Region of Madeira showed a more moderate increase (0.8%). In contrast, annual decreases were observed in the North (-5.3%) and in the Algarve (-3.3%).
The Lisbon Metropolitan Area remains the most expensive region in the country to rent a home, with a median price of 19.4 euros/m². This is followed by the Autonomous Region of Madeira (15.8 euros/m²) and the Algarve (14.7 euros/m²). Next come the North (13.7 euros/m²) and Alentejo (11 euros/m²). The most affordable regions to rent a home continue to be the Autonomous Region of the Azores (10.3 euros/m²) and the Centre (9.9 euros/m²).
Renting a home in Portugal
Braga city centre, in the Northern region
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idealista property price index
To compile the idealista property price index, offer prices (based on built square metres) published by advertisers on idealista are analysed. Atypical listings and those with prices outside the market are removed from the statistics.
We also include the “single-family houses” typology and discard all listings that are in our database and have been without any type of interaction from users for some time. The final result is obtained through the median of all valid listings in each market.