Madeira recorded an 8.3% fall in housing prices in the fourth quarter of 2025 compared with the same period a year earlier, according to the National Institute of Statistics. This made it one of only two sub-regions in Portugal to register a decline, alongside Alto Tâmega e Barroso, where prices dropped by 12.1%. Across the country, 24 out of 26 sub-regions saw prices increase, showing that Madeira moved against the wider market trend. Nationally, the median price of the 41,789 family homes sold reached 2,198 €/m2, up 17.5% year-on-year, even as transactions fell by 5.3%. In Madeira, prices still remained above the national average, with a regional median of 2,655 €/m2, which kept it in fourth place behind Greater Lisbon, the Algarve, and the Setúbal Peninsula. The region also posted a 5.7% rise from the third quarter of 2025, when the median stood at 2,512 €/m2, suggesting a short-term recovery despite the annual drop. In Funchal, prices climbed to 3,612 €/m2 in the fourth quarter, but this was still 2.2% below the 3,693 €/m2 recorded in the same quarter of 2024, while São Martinho reached 4,120 €/m2 and São Vicente remained the lowest at 1,289 €/m2. The report also shows that foreign buyers pay significantly more in Greater Lisbon and the Porto metropolitan area, and that Madeira remains among the higher-priced markets where both domestic and foreign buyers are active.
