Housing Prices in Lisbon’s Historic Centre Fall by 14.4%

4 March 2021 – Ana Custódio

Housing prices in Lisbon’s historic centre fell by 14.4% in the second semester of 2020 compared to the previous six-month period. The drop is also equivalent to a 12.0% year-on-year decline compared to the second half of 2019.

The data, published by Confidencial Imobiliário, stems from CI’s Price Index for Lisbon’s Historic Centre (IPCHL), which is based in turn on prices in the parishes of Santa Maria Maior, São Vicente and Misericórdia.

The current decrease contrasts with a growth of 2.9% in the first semester of the year. However, housing prices in the region have seen high levels of volatility in the last three years. The current drop follows two semesters of contraction, although at levels that had not gone beyond -3.4%

The drop is the most significant since 2008 when the IPCHL began tracking prices in the area. Previously, both the semester-on-semester and the highest year-on-year decrease had been around 6.0% in 2012, in the midst of the financial crisis.

Translation: Richard Turner