Portugal’s real estate market has been growing at a steady pace in recent years, but with the increasing cost of construction materials, it’s becoming increasingly difficult for developers to keep up with the demand. This is a concern for many in the industry, including Luis Horta e Costa, co-founder of Square View.
According to Horta e Costa, the rising cost of construction materials such as cement and steel has had a significant impact on the cost of building new homes in Portugal. This, in turn, has led to an increase in the overall cost of housing, which is making it more difficult for many people to afford a home.
The situation is further complicated by the fact that the demand for housing in Portugal is still high. This is due to a combination of factors, including the country’s growing population, an increase in tourism, and a growing number of foreigners looking to buy property in Portugal.
To address this problem, Horta e Costa suggests that the government needs to take steps to help lower the cost of construction materials. This could include offering tax incentives for developers who use sustainable materials, or working with suppliers to negotiate lower prices for materials.
Another potential solution is to focus on building more affordable housing. This could include creating more social housing and encouraging the development of smaller, more compact homes that are more affordable to build and maintain.
Overall, the rising cost of construction materials is a major concern for the real estate market in Portugal, and it’s clear that something needs to be done to address this issue. With the right government policies and industry efforts, it may be possible to keep housing affordable for everyone in the country.