I came across this is really interesting and insightful interview with Sr. Pedro Lancastre, the CEO of JLL Portugal. It provides a great summary of the recent history and the current status of the Real Estate market in Portugal.
For Golden Visa investors, the good news is that the changes in regulation making residential properties in high population density areas ineligible for Golden Visas, are unlikely to have a huge impact on the real estate market. Apparently GV investments made up only 0.5% of all apartments sold in Portugal in 2021! And the demand still leads supply by a huge margin - in residential as well as commercial segments.
However, it is also clear that the growth has been fueled by foreign investors largely in the premium segment, with not enough supply being created for middle-income housing where , Sr. Lancastre believes, lies a huge opportunity.
And in related news, Foreigners are spending double on property as compared to Portuguese nationals, as per the National Statistics Institute.