---
title: "EU Housing Prices Rise by 4.7% Annually: Portugal, Bulgaria, and Lithuania Lead Growth"
description: "In the second quarter of 2026, EU housing prices grew by 4.7% year-on-year. Portugal, Bulgaria, and Lithuania led the price increases, while drops were recorded in Finland, Luxembourg, and France."
date: 2026-10-20T05:13:13.436Z
lang: en
url: https://xab.info/en/posts/eu-housing-prices-rise-by-4-7-annually
tags: [eu-housing-prices, eurostat, real-estate, portugal, inflation]
author: "Darya Fomina"
publisher: "XAB.info"
---

# EU Housing Prices Rise by 4.7% Annually: Portugal, Bulgaria, and Lithuania Lead Growth

![Man in a coat looking at a real estate agency window with housing photos in a European city](https://xab.info/media/2026/10/20/zhilye-v-es-podorozhalo-na-4-7-za-god/zhilye-v-es-podorozhalo-na-4-7-za-god-1.webp)

## Key Points

- EU housing prices in Q2 2026 grew by 4.7% annually and 1.2% quarterly
- Portugal (+17.8% annually), Bulgaria, and Lithuania led the price increases
- Annual price declines were recorded in Finland (-2.7%), Luxembourg (-2.2%), and France (-0.8%)
- Compared to the previous quarter, prices rose in 24 EU countries and fell in two

In the second quarter of 2026, housing prices in the European Union continued their steady upward trend, increasing by 4.7% year-on-year compared to the same period last year. For the quarter alone, the index added 1.2%, while in the euro area, quarterly growth stood at 1.1% and annual growth at 4%. Thus, despite varying paces across individual countries, the overall trend of rising real estate prices in Europe persists and exceeds the general inflation rate in many member states.

### Leaders in Price Growth

The largest increases in housing prices in the second quarter of 2026 were recorded in Portugal, Bulgaria, and Lithuania. Portugal became the absolute leader in terms of price growth speed, where housing costs rose by 17.8% over the year, with Bulgaria taking second place. It is in these countries that the gap between real estate price growth and general inflation proved to be the widest, making purchasing a home relatively more expensive for local buyers.

### Where Prices Dropped

Against the backdrop of overall growth, an annual decrease in housing prices was recorded in three EU countries. Prices dropped the most in Finland—down 2.7%, while in Luxembourg the decline was 2.2%, and in France—0.8%. On a quarterly basis, compared to the first quarter of 2026, prices decreased in Hungary (by 1.4%) and France (by 0.8%). Meanwhile, in the second quarter of 2026 compared to the previous quarter, housing prices rose in 24 EU countries and fell in only two.

### Context: Rents Are Rising Even Faster

Concurrently with the rise in purchase prices, rental fees in the EU are also increasing: in the second quarter of 2026, they grew by 3% year-on-year. The largest rent increases were recorded in Romania (up 43.5%) and Croatia (up 40.1%), where growth significantly outpaced local inflation. Among major economies, rents increased by 3.5% in Italy, 2.5% in Spain, 2.1% in Germany, and 1.6% in France, indicating sustained demand pressure on the housing market.

### Situation in Ukraine

For comparison: on the secondary real estate market in Kyiv, one-room apartments rose in price by 1% over the year, while two- and three-room offers fell in price by 6% and 3% respectively. At the same time, over the past two months, the number of apartment rental listings in the capital increased by 66%, whereas in the western regions of Ukraine, housing offers decreased, reflecting the regional heterogeneity of the Ukrainian market.

## Fact-Check & Sources

- [Жилье в Европе стремительно дорожает: в каких странах цены выросли больше всего](https://www.rbc.ua/ukr/news/zhitlo-evropi-strimko-dorozhchae-kih-krayinah-1792412956.html) - Primary source: 4.7% YoY growth, 1.2% QoQ, leaders, and countries with price drops.
- [Аренда жилья в Европе стремительно дорожает: в каких странах приходится платить больше всего](https://delo.ua/ru/news/arenda-zilya-v-evrope-stremitelno-dorozaet-v-kakix-stranax-prixoditsya-platit-bolse-vsego-474227/) - Used as context regarding rental fees (Romania +43.5%, Croatia +40.1%).
- [Жилье в Европе стремительно дорожает: в каких странах цены и арендная плата выросли больше всего](https://www.obozrevatel.com/ekonomika-glavnaya/economy/zhile-v-evrope-stremitelno-dorozhaet-v-kakih-stranah-tsenyi-i-arendnaya-plata-vyirosli-bolshe-vsego.htm) - Portugal is the leader with 17.8% annual growth, Bulgaria is second.
- [Жилье в Европе дорожает быстрее инфляции: где цены выросли больше всего](https://minfin.com.ua/2026/10/05/182980578/) - Confirms price growth outpacing inflation in many EU countries.

## FAQ

### How much did EU housing prices increase in the second quarter of 2026?

Annually by 4.7%, and quarterly by 1.2%. In the euro area, quarterly growth was 1.1% and annual growth was 4%.

### In which countries did housing prices increase the most?

Portugal led with a 17.8% annual increase, followed by Bulgaria and Lithuania.

### Where did housing prices decrease?

Annual declines were recorded in Finland (-2.7%), Luxembourg (-2.2%), and France (-0.8%). Compared to the previous quarter, prices fell in Hungary (-1.4%) and France (-0.8%).