Real estate: Moody's predictions price rise of 8% by 2020

By 2020, the upward trend in real estate prices in Portugal will continue. Who says it is the rating agency Moody's. The rating agency predicts that the value of residential real estate will rise between 7% and 8% in the next two years, the newspaper Jornal de Notícias said Thursday.

If at European level, Moody's expects a modest rise in prices over the next two years, in a report released this week, the agency stresses that "Portugal, the Netherlands, and Ireland should be the ones that will benefit most from the valuation of house prices in the coming two years". In fact, the Portuguese market is even the one with the forecast of a higher growth rate.

"There are some areas where the gap between demand and supply is leading to a strong appreciation of the price of residential and commercial real estate," the agency explained in response to "JN" issues.

According to the most recent data from the National Institute of Statistics (INE), the price at which houses are sold in Portugal has increased more than 16% since the beginning of 2016. In Lisbon and Porto, the pace was much higher, with 47% and 34%, respectively.