Portugal’s housing price index has shown its first deceleration since 2024, indicating a potential shift in the market. While prices continue to rise, the rate of increase has slowed to 17.8%, a decrease of one percentage point from the previous period. The increase in housing prices was particularly pronounced in the resale market, suggesting greater impact on existing homeowners. This marks a significant change after a sustained period of rapid price growth. Experts suggest rising interest rates and economic uncertainty may be contributing factors to the cooling trend. The slowdown could offer some relief to potential homebuyers facing affordability challenges. Further monitoring will be crucial to determine if this deceleration represents a temporary pause or a more substantial market correction.