For the 1st quarter of 2022
DREM releases information on the median price of dwellings in the Autonomous Region of Madeira
Introductory note
Statistics Portugal (INE) released today the information for the 1st quarter of 2022 for the median price of housing sales in the Autonomous Region of Madeira.
This note is divided into two parts, one with the analysis of the results for the 1st quarter of 2022, taking into account only the three months of the quarter, and the other with the information for the last twelve months.
It should also be recalled that this information is obtained from the administrative tax data on the IMT and the Municipal Property Tax (IMI), which are provided monthly to INE by AT, on the basis of a cooperation protocol signed between these two entities.
Analysis of the results
House prices in the Autonomous Region of Madeira increased in the last three months
In the 1st quarter of 2022 (last 3 months), the median price of dwelling sales in the Autonomous Region of Madeira was 1,586 euros/square meter, standing below the Algarve (2,237 euros/square meter) and Área Metropolitana de Lisboa (1,986 euros/square meter), but above the national value (1,454 euros/square meter).
While in the 4th quarter of 2021 the year-on-year rate of change in the median value of dwelling sales per square meter had been +20.3%, in the 1st quarter of 2022, this growth decelerated to 14.2%. At the national level, there was an acceleration in the dwelling price growth, with the year-on-year rate of change rising from 14.1% in the 4th quarter of 2021 to 17.2% in the 1st quarter of 2022. Amongst cities with over 100 thousand inhabitants, Funchal is the only city with both a higher median price (1,971 euros/square meter) and year-on-year growth (+13.2%) when compared with the national average (1,454 euros/square meter), showing a much lower growth rate than the one registered in the 4th quarter of 2021 (+22.5%).
In the 1st quarter of 2022, the median value of dwellings transacted in the Autonomous Region of Madeira involving purchasers with tax residence abroad was 1,957 euros/square meter, while transactions made by purchasers with tax residence in the National Territory was 1,550 euros/square meter. The median price of dwellings purchased by households was 1,577 euros/square meter and 1,700 euros/square meter for purchasers belonging to other institutional sectors.
Median price of dwellings sales increased in the last 12 months (between April 2021 and March 2022)
In the 1st quarter of 2022 (last 12 months), the median price of dwelling sales in the Autonomous Region of Madeira was 1,481 euros/square meter, representing a quarterly increase of 3.1% and a year-on-year increase of 13.1%. At a national level, the median price was lower, at 1,346 euros/square meter, with positive changes, by the same order, of 3.8% and 12.4%. It should be noted that the value for the Autonomous Region of Madeira was only lower than that of the Algarve (2,095 euros/square meter) and Área Metropolitana de Lisboa (1,885 euros/square meter). In the Autonomous Region of Madeira, the value of new dwellings (1,827 euros/square meter) continued to exceed the value of existing dwellings (1,412 euros/square meter), by 415 euros/square meter.
Analysing the last two years (1st quarter of 2022 compared to the same quarter of 2020), the median price of dwellings, in the Autonomous Region of Madeira, grew by 17.7% in that period, slightly below the average for the country (+19.4%).
In this period, the median value of dwellings transacted in the Autonomous Region of Madeira acquired by buyers with tax residence abroad was 1,795 euros/square meter, higher than the transactions made by buyers with tax residence in National Territory, which stood at 1,460 euros/square meter. The median price of dwellings purchased by households was 1,496 euros/square meter and by purchasers belonging to other institutional sectors was 1,417 euros/square meter.
In the municipality of Funchal, the median price of dwelling sales, in the 1st quarter of 2022, stood at 1,799 euros/square meter, which means that this municipality was the only one in the Autonomous Region of Madeira to record a value above the regional average (more 453 euros/square meter). In the national ranking, Funchal occupied the 21st place of municipalities with the highest median value. The list continues to be headed by Lisbon (3,642 euros/square meter), with the following positions being occupied by municipalities in the Área Metropolitana de Lisboa, Algarve and Porto. Of all the Portuguese cities with more than 100 thousand inhabitants (Lisboa, Porto, Funchal, Amadora, Coimbra, Vila Nova de Gaia and Braga), Funchal is the ninth highest, after Lisboa, Cascais, Oeiras, Porto, Odivelas, Almada, Loures and Amadora.
In addition to Funchal, the municipalities of Santa Cruz, Ponta do Sol, Porto Santo, Ribeira Brava, Calheta, Câmara de Lobos, Machico and São Vicente, although registering prices below the average for the Autonomous Region of Madeira, stood out, as they presented significant values above one thousand euros (1,400 euros/square meter, 1,196 euros/square meter, 1,169 euros/square meter, 1,132 euros/square meter, 1,131 euros/square meter, 1,130 euros/square meter, 1,125 euros/square meter and 1,073 euros/square meter, respectively). The lowest value was observed in Porto Moniz (703 euros/square meter).
In the 1st quarter of 2022, in the Autonomous Region of Madeira, the median sales price of studios or one-bedroom dwellings was 1,518 euros/square meter, the highest when compared to the other types (two-bedroom dwellings, 1,508 euros/square meter; three-bedroom dwellings, 1,464 euros/square meter; four-bedroom dwellings or higher, 1,280 euros/square meter). In the city of Funchal, all the typologies under analysis presented substantially higher values than in the Region, with the studio and one-bedroom apartments registering the highest value (2,069 euros/square meter).