The Golden-Buying Moment is Now in Northern Portugal

Let me cut to the chase…

For more than a year, I’ve been calling northern Portugal a time machine…an under-the-radar region that offers us a chance to step back in time and replay the incredible real estate booms that have transformed Lisbon, Porto, the Algarve, and the Silver Coast.

Well, for the last four days, I’ve been scouting this area and I can tell you this: Our golden-buying moment is now…

From Sunday through Wednesday, I had boots in the ground in Caminha, a stunning town on Portugal’s northern border with Spain. I used Caminha as my base to scout destinations across the region, including the beach town of Esposende and the river town of Ponte de Lima.

I was following up on the recent scouting of northern Portugal by my team members, Ciaran Madden and Alan Kennedy. (Members of my Real Estate Trend Alert group have access to their full northern Portugal scouting report. Not a RETA member? Sign up here.)

Everything I saw tells me this region is now on the cusp…

I was in this part of northern Portugal around the same time last year. The differences during this trip were stark…

Everywhere I went, towns are noticeably busier and cleaner than when I scouted the region in 2023. Public spaces are being revitalized. Agents in Caminha told me demand is way up and inventory down.

It reminds so much of the patterns I saw years ago in more famous destinations to the south…

For instance, in 2018 I was telling members of my Real Estate Trend Alert group about the gentrification taking hold in Porto. Back then, you could buy a home in the heart of the city from the low €300,000s, or an apartment for €120,000. To live on the coast of Porto, by the beach, cost even less.

But that opportunity passed quickly.

Every time I returned to Porto after 2018, more streets had been re-laid…more infrastructure had come online…more homes had been restored. And there were more and more tourists. Porto rapidly emerged as a trendy international tourist destination—something that was once unthinkable in a city that had been run-down and neglected for decades.

Within a few years of me telling RETA members about the gentrification of Porto, word had gotten out.

Today, tiny apartments in the historic center list for at least double or triple those 2018 prices.

Now I’m seeing the same trends in these towns north of Porto…

When I went for dinner in Caminha’s charming town plaza on Sunday evening, the restaurant I wanted to go to had a huge line. As I strolled the narrow streets and alleys of the Old Town, I saw historic buildings undergoing renovation. Overlooking the river, which separates Portugal from Spain, there are now high-end condo developments.

It was a similar tale in the other destinations I scouted…

On Monday, I went to Ponte de Lima. This is an upmarket town located inland along the River Lima in a stunning, verdant setting. There’s a greenness and abundance to this area that’s unlike anywhere else I’ve been…the flowers, the vines, the forest…

There was a big festival on in town when I visited. The town was buzzing…the energy electric. It reminded me of the Douro Valley, Portugal’s renowned wine-growing region, but without the tourist hordes.

As I wandered the town, I again saw those telltale signs of gentrification—the houses being renovated…the streets being re-laid. Here’s a video I recorded…

This is all so easy to understand…

Portugal has gotten insanely popular. The airports in Lisbon and Faro (gateway to the Algarve) are seeing persistent problems with massive lines. (Here’s a video I saw on Instagram of chaotic lines at passport control in Faro airport a month or so ago.)

Amid this massive influx of people to popular destinations like the Algarve, Lisbon, and Porto, it’s hardly a surprise to see locals, expats, and tourists look to quieter locations in the less-discovered north.

Now, to be clear, the opportunity has not passed in northern Portugal…

Expats are still light on the ground in places like Caminha. While in town, I visited a bank to pay a tax bill. I was a complete novelty. The whole bank came out for a look. When I’ve been to my bank in Vilamoura in the Algarve, no one bats an eyelid…I’m just another foreign customer.

So, there’s still a window to act.

I saw opportunities like this four-bed fixer-upper, in the heart of Caminha, for €185,000.

Or this 2,700-square-foot three-bed villa with a swimming pool and views of the river for €320,000.

In fact, I’m seriously tempted to buy here myself. I’ve been to some viewings. And I’m ready to act if I see the right deal.

The point being, the train hasn’t left the station in northern Portugal. There’s still time. But people are beginning to board.

Ronan McMahon, Founder, Overseas Dream Home & Real Estate Trend Alert

P.S. Today, I’m driving to my home on the Silver Coast to scout that region. Have a question for me while I have boots on the ground? I’d love to hear it. Share it with me here.

Here’s a question I got yesterday…

Claudia B. asks: I’ve read several articles on Caminha, but could find nothing definitive about the weather from November to April. The best I’ve read is it’s much cooler than the Algarve and rainier. Is it possible to get some more definitive information with actual temperature ranges?

Thank you (and I appreciate your articles; I’m learning a great deal).

Ronan says: Hi Claudia, thanks for the question and your kind words. The weather in Caminha, and this region of northern Portugal in general, is far more temperate than in the Algarve.

The daily highs in summer average about 75 to 80 F, with lows of about 60 F. By contrast, daily highs in the Algarve average 85 to 90 F in summer, with lows in the mid to high 60s F.

In spring and fall in Caminha, the highs are in the mid to high 60s F, while the lows will be in the mid to high 40s F. In winter, the highs will be about 60 F, with lows in the low 40s F.

Personally, I like this kind of climate, particularly during the summer months. During the day, it’s warm, but not too hot, when you want to be outside doing activities. And then it’s cooler at night, so you can get a restful sleep.

I also believe that this temperate environment will have amazing appeal as we see a shift in climate preferences. As newsfeeds every summer highlight unbearable temperatures and wildfires burning right across Europe and North America, there is a growing appetite for milder-climate destinations like this.

The next generation of migrations want the sun…but they’ll also want temperatures and a landscape that are conducive to being active and being outdoors.

That said, northern Portugal does get cold during winter and it’s advisable to have heating in your home for this reason.

Your Daily Dream Home

Ficulle, Terni, Italy

$60,500

This charming one-bedroom apartment is in a quiet residential complex. Situated on the first floor, the 700 square foot property comprises a living room with a kitchenette and fireplace, a bedroom, and a bathroom.

The apartment includes a small entrance loggia and access to shared outdoor spaces. The property enjoys hill views and is part of a two-story building.

The home is in Ficulle, a charming medieval village nestled in the rolling hills of southwestern Umbria, Italy. This picturesque commune sits atop a ridge overlooking the Tiber Valley, offering views of the surrounding countryside. The landscape around Ficulle has gentle slopes covered with olive groves, vineyards, and dense oak forests, creating a patchwork of greens that change with the seasons.

Ficulle’s historic center still has much of its medieval architecture, with narrow winding streets and stone buildings.