US Buyers Keep Driving Portugal’s €1M+ Home Market in 2026
- Suf Zen (Asaf Eyzenkot)
- 14 hours ago
- 5 min read
New figures highlight where American demand is concentrating, and why premium buyers need a calmer, more structured plan.
Portugal’s luxury home market has a lot of noise around it. Politics, headlines, and social media hot takes.
But the useful signal is simpler: who is buying, what price band they are targeting, and where demand is concentrating.
This week, Essential Business reported that US citizens with high purchasing power continue to look to Portugal as a safe place to live and invest, even with “less tax incentives for real estate investment” compared to previous years.
If you are a buyer, an investor, or someone relocating to Portugal, the practical question is not whether demand is “up” or “down”. It is whether you are walking into a market where you will face multiple bidders, tighter negotiating room, and a longer checklist of things you must get right.
What the data actually says
According to Essential Business, citing Idealista data for Q4 2025 luxury property demand, the UK still leads premium and luxury purchases (13%), followed by the US at 12%, then Germany (10%), France (9%), Spain (8%), the Netherlands (6%), and Brazil (6%).
The same report notes a very specific behaviour pattern: Americans are actively looking for homes priced above €1 million.
And just as important, it shows where US attention is strongest.
Essential Business reports that Greater Lisbon attracts the most interest from US buyers, with Americans representing 45.5% of overseas interest there, followed by Faro (16.1%) and Porto (9.4%). Together, these three areas represent 72% of US demand in Portugal’s premium segment.
After that, there is still meaningful interest in Madeira (6.1%), Setúbal (5.6%), São Miguel (3.9%) and Leiria (3%).
This matters because it tells you something about competition. If you are shopping in Greater Lisbon, you are not “one of a few foreigners”. You are entering the busiest arena.
The quiet second story: supply is broadening, but demand is still intense
Idealista’s own reporting gives helpful context on the luxury pipeline.
By the end of 2024, Idealista reported over 21,000 properties priced above €1 million, up 23% year on year, which it described as the highest figure since 2019.
That sounds like a lot of supply, but “more listings” does not automatically mean “easier buying”.
In the same Idealista piece, it notes that Lisbon and Setúbal are the districts with the highest demand for luxury homes, and frames premium demand as being near recent highs.
So what you get in practice is a market where there are more luxury options on paper, but the best assets still attract serious competition, especially in well-connected areas.
Why US demand may stay sticky
Essential Business frames the story as a “Trump effect”, linking US demand to a wider sense of instability and to wealthy families wanting a safe place to relocate.
You do not have to agree with the politics to understand the behaviour.
For premium buyers, Portugal offers a mix that is hard to find in one package:
A relatively safe country, a strong lifestyle pull, international schools (in key hubs), a time zone that works for both the US East Coast and Europe, and a property market where prime locations are still viewed as “store of value”.
The important operational point is that this is rarely a purely financial decision. For most €1m+ buyers, it is a blend of lifestyle, optionality, and long-term planning.
What it means for investors and relocators
If you are buying at this level, you are not just buying “a home”.
You are buying a legal structure, an asset that may need renovations, a tax and banking flow, and sometimes a residency plan that needs to match your real life.
Here are the real implications of the trends above.
First, Greater Lisbon is likely to stay competitive. If 45.5% of US demand is pointed there, you should assume you will face strong bids for well-priced, well-located stock.
Second, the “obvious” hotspots are not the only story. The data shows meaningful US attention in Madeira, Setúbal, São Miguel, and Leiria. That does not mean those areas are always better value, but it does mean buyers are spreading out, often looking for lifestyle-led choices, space, or a calmer environment.
Third, policy and incentives are not stable inputs. Essential Business explicitly notes “less tax incentives” and reminds readers that Portugal’s Golden Visa no longer includes a residential property investment route, which was terminated at the end of 2023. Even if you are not using that route, the lesson is the same: treat incentives as a bonus, not a foundation.
How to think about it: buy the plan, not the listing
When demand is strong, buyers tend to focus on “getting the deal”.
But the real win in Portugal is usually not speed. It is reducing surprises.
A premium purchase can go wrong in boring ways:
A title issue that delays signing.A renovation that costs more than expected.A bank transfer process that moves slower than your seller wants.A “simple” change of use that is not simple at all.
So the mindset shift is this: buy the plan that makes the home work for your life.
If it is a relocation home, plan around schools, healthcare access, travel rhythm, and how often you will truly be in Portugal.
If it is an investment home, decide early whether the strategy is “hold and enjoy”, “long-term rental”, or “future conversion into a venture”. Each path changes your due diligence and your risk.
Mini checklist: a calm €1m+ buying routine
Before you commit, these five checks tend to protect both time and money:
Define the use-case first: full-time home, part-time base, or investment asset.
Do legal due diligence early: ownership, charges, licenses, and what you can legally do with the property.
Model the true cost: taxes, fees, works, furnishing, and ongoing maintenance.
Stress-test the timeline: what happens if the bank, lawyer, or seller moves slower than expected.
Plan the exit logic: “If we needed to sell in 18 months, who would buy this and why?”
None of this is dramatic. It is just the difference between “owning a beautiful home” and “owning a beautiful home that fits your life”.
Closing thought
US demand is clearly still a major force in Portugal’s premium market, especially around Lisbon.
If you are entering that arena, the smartest move is to stay calm, and get structured. The best deals are not always the fastest, they are the ones with fewer hidden costs.
How can Burtucala help you?
Burtucala helps clients approach premium purchases with a joined-up plan: aligning property decisions with real-life needs, timelines, and risk.
In this context, our work usually sits across Property Purchase and Venture Architecture or Business Setup when the property is part of a wider investment or operating plan.
