Faro Real Estate Guide 2026
Overview
Popular Algarve destination known for beaches and tourism. Average prices: €4,418/m². 40% below Lisbon prices. 8.2% annual price growth.
Property Prices
- T0 tier — Average new build: €4,988/m²; Average resale: €3,596/m²
- T1 tier — Average new build: €4,515/m²; Average resale: €3,255/m²
- T2 tier — Average new build: €4,300/m²; Average resale: €3,100/m²
- T3 tier — Average new build: €3,870/m²; Average resale: €2,790/m²
Rental Yields
- T1 tier: 6.4%
- T2 tier: 6.7%
- T3 tier: 7.0%
Market Outlook
Annual price growth: 8.2% · Forecast: very positive · up
Housing Stock
Area: Algarve · city · Investment category: coastal · 38,000 apartments · 1,500 new units/year
Neighborhoods
- Lagos — €5,091/m², 0.0%
- Faro — €3,376/m², 4.4%
- Luz — €5,106/m², 0.0%
- Santa Bárbara de Nexe — €4,004/m², 3.7%
- Conceição e Estoi — €3,230/m², 5.8%
- Montenegro — €4,048/m², 2.1%
- Odiáxere — €7,882/m², 0.0%
- Bensafrim e Barão de São João — €4,302/m², 0.0%