Which areas in Algarve offer the best property investments for foreign buyers?
Foreign buyers looking for the best property investments in the Algarve should focus on high-demand areas like Quinta do Lago and Vale do Lobo. These locations are rapidly becoming favourites among international buyers, especially Americans, who are seeking luxurious homes in this beautiful region. The remarkable surge in luxury property prices exceeding 30% last year underscores the investment potential in these areas.
Quinta do Lago is known for its stunning villas, world-class golf courses, and proximity to pristine beaches, making it a highly attractive location for luxury buyers. Vale do Lobo, with its vibrant atmosphere and high-end amenities, continues to beckon those looking to invest in an upscale lifestyle. Each of these areas offers exceptional properties that promise both personal enjoyment and financial returns.
Investing in real estate in the Algarve not only provides a chance for ownership in one of Europe's most beautiful regions but also a chance to benefit from high rental demand. The influx of over a million tourists this year, many from the US, points to growing interest in short-term rentals in the Algarve, adding to the investment appeal.
With the anticipated direct flight connections set to enhance accessibility further, foreign buyers should consider acting swiftly to secure homes in these prime areas. The Algarve's real estate market shows no signs of slowing down, making it essential for investors to stay informed. Contact us to discover the best property opportunities in the Algarve and secure your investment today!
According to Bloomberg, the wave of tourism is boosting business, especially from North American buyers who are heading to the country in record numbers: more than a million tourists from the US visited Portugal in the first half of 2024, almost double the number of visitors in the same period in 2022.
Visitors are heading in particular to the Algarve, for its famous sandy beaches, picturesque fishing towns and temperate climate all year round. From 2025, United Airlines will have a direct flight from Newark to the city of Faro, the gateway to the region.
“The top end of the Algarve real estate market has historically been dominated by British buyers, but that is changing,” says Kerstin Buechner, co-owner of Quinta Properties, a Savills affiliate in the region, quoted by the publication.
According to the expert, Americans have gone from making up less than 1% of luxury home buyers in the Algarve before the pandemic to becoming what she calls a “substantial percentage” today.
And the reality is that this is having an impact on prices. The first sale of more than 20 million, a record for the region, took place in 2022, and Buechner says Quinta Properties has already sold several properties at that level. As a result, prime supply is scarce, especially in the popular areas of Quinta do Lago and Vale do Lobo.
