The Algarve has long been one of the most popular regions in the Algarve to invest in property and now new areas within the region are gaining the interest of investors.
Areas such as Albufiera, Carvoeiro and in the west of Lagos, have in recent decades been the most popular places to buy property in the Algarve thanks to the destinations having well developed amenities, award winning beaches and an established tourism industry. Those looking for a return on their property investment have sought out these tourism hotspots thanks to potential to easily rent out properties over the summer season.
As further investment is directed towards the Algarve to help maintain and improve the infrastructure, facilities and amenities, new areas of the region are emerging as potential hotspots for property investors, including the capital of the region – Faro.
According to a study by Confidencial Imobiliário (CI), which gathers data from real estate agents, Faro has seen the second biggest rise in property valuations in the country, coming only second to Lisbon.
A statement from Faro council said: “Faro has emerged as one of the municipalities that has been able to best recover from the economic crisis which some seven years ago completely stalled the national real estate market.”
The proximity of Faro to the regional airport for the Algarve should have made it an instantly attractive location for property investors, however until recently the city had a poor reputation thanks to the run down areas within the city.
In recent years investments have been made to rehabilitate the city, especially the historical centre, and this has undoubtedly helped to increase the value of property in Faro.
While property prices in Faro continue to rise at a very fast rate, property prices in the rest of the Algarve are also increasing, however at a slower rate, making purchasing a property in the Algarve still an affordable option.
If you are interested in purchasing a property in the Algarve then contact our team to find out more about the available options and favourable tax incentives that you may be eligible for.