Average mortgage payment rises to €423 in Portugal

Portugal’s implicit mortgage interest rate rose to 3.194% in September, while the average monthly payment reached €423. Figures from the statistics institute INE, reported on 21 October, put the increase at €5 from August and €30 from September last year.

The overall rate increased by 3.2 basis points in a month. Interest represented 50.4% of the average instalment, while average outstanding principal across contracts rose by €655 to €80,843.

Among agreements signed in the latest three months, the implicit rate increased from 2.910% to 2.959%. The average payment in this group rose by €13 to €757.

Doutor Finanças describes September as the fourth consecutive monthly increase since June. The overall rate nevertheless remained below the 3.228% recorded in September 2025.

These figures describe the mortgage stock and recent contracts. They do not set a new rate for every borrower or mean that each household’s instalment will rise by the same amount.

Payments on agreements signed in the latest three months were 13.7% higher than in the same period last year. The €757 average for those contracts and the €423 average for the overall stock describe different groups, rather than two successive payments owed by the same household.

For lending specifically used to buy a home, the implicit rate across contracts increased to 3.177% in September. Doutor Finanças reports a monthly rise of 2.9 basis points in this category. The figures track the cost of the existing mortgage stock alongside more recent lending.