Lapa is one of Lisbon’s loveliest neighbourhoods, characterised by impressive views and wide, peaceful, tree-lined streets that run between Jardins da Estrela and Santos.
To live in Lapa, home to embassies, palaces, fountains and museums, is to surround yourself with Lisbon’s historical high society. The area stands out for its selection of renowned restaurants, independent stores, alfresco cafés, and venerable museums and cultural institutions. Limited transport links (only Tram 28) and limited parking means that it remains enveloped in a peaceful bubble. While protected from the bustle of the city, its near enough to stroll to neighbouring Santos, just moments down the hill, which is fast emerging as one of the city’s newest hipster hotspots.
An area of prime real estate, Lapa’s large homes and thoughtfully preserved palaces stand out against Lisbon’s traditionally apartment focused real estate. The area has changed little over the years, retaining a consistent identity as Lisbon’s most privileged and affluent neighbourhood. The scarcity of renovated apartments in this beautiful barrio ensures new developments retain high liquidity and excellent rental potential.
Lisbon is complex and unique and until recently wasn’t seen as the obvious choice for a property investment, but in the past few years, it has seen a dramatic increase in popularity. Paris, London, Berlin, Rome are all cities that have a clear identity and cultural offering. Often thought of as the San Francisco of Europe, Lisbon is undergoing a major change.
Portugal’s capital is filled with winding, hilly streets. The architecture perfectly harmonises the old with the new. In addition, Lisbon is attracting young creative talent and because of this fact it is starting to stand out as a city of design. The relaxed ambience is perfect for young artists looking to live a bohemian life. Small independent boutiques are popping up around the city. Lisbon also still manages to provide the ideal environment for an older crowd wanting to enjoy the sun and the sea alongside a city life.
The buildings are bright and colourful and speak to the heritage of the culture. The café scene is very much thriving with young entrepreneurs opening new restaurants and cafés, adding great culinary value to the city. The energy is unpretentious, relaxed and vibrant. It is uncomplicated and certainly one of the most interesting European capitals to invest in at the moment.
The Property Market in Lisbon
Having come out of economic struggle in 2010, the real estate market in Portugal has seen a consistent rise. The price of property for sale in Lisbon increased by 4.9% between 2017 and 2018. Portugal and Lisbon alike have excellent housing markets, which generally tend to offer good value for money. Because of this, Portugal has the highest owner-occupation rate, with nearly 70% of the population owning their homes.
Unlike many European capitals that have become nearly unaffordable, Lisbon allows individuals to buy a house in central and prime locations, making an ideal property investment. A large proportion of foreign investors are French and Scandinavian, who have made Lisbon their second home. They, along with others, benefit from the low taxes and low-cost of living in the city.