Why are so many Americans moving to Portugal? Let's take a Deep Dive into the real estate and lifestyle shift that has seen US Interest in Portugal grow.
Sasha Sharpley, Senior Real Estate and Investment Advisor at Ideal Homes Portugal, offers a timely analysis of why more Americans are making the move to Portugal and what this means for international property investors in 2025.
“This week I want to share some recent insights into a growing trend that has been making headlines: more Americans are choosing to relocate to Europe, with Portugal standing out as a top destination. This shift is being driven by a unique combination of economic, political, and lifestyle factors, and it also presents interesting opportunities for property investors. Let’s take a closer look at some of the driving factors.”
Why Americans Are Choosing Portugal
Portugal continues to rise as one of the top European destinations for American expatriates, remote workers, and international real estate investors. The country's blend of economic benefits, lifestyle appeal, and accessibility makes it especially attractive for U.S. citizens looking for a stable yet affordable place to live or invest.
Top reasons Americans are investing in Portugal real estate and relocating long-term:
Portugal’s Property Market: A Smart Move for U.S. Investors
The Portuguese real estate market—especially in sought-after areas like the Algarve—is booming. International buyers, including many Americans, are capitalizing on rising demand, strong rental returns, and attractive long-term growth.
Why U.S. investors are targeting the Portugal property market:
The 2024 U.S. presidential election has triggered a spike in interest from Americans seeking property abroad. Ideal Homes Portugal has seen a notable uptick in enquiries from U.S.-based clients who view Portugal as a refuge of calm, value, and opportunity.
The rise in remote work has also contributed to this trend, allowing more Americans to live abroad while maintaining their careers.
“The combination of affordability, quality of life, and long-term investment value makes Portugal one of the best destinations for Americans in today’s market,” Sasha notes.
Real Stories: Buying a Second Home in the Algarve
Ideal Homes Portugal clients Jim and Joanne Birkett, retirees from Rhode Island, recently purchased a property in Vila Sol, Quarteira, as their dream European retreat.
“Purchasing a second home in Portugal has given us the opportunity to escape from the real world, and spend time in the paradise we chose whenever the urge hits us. Just knowing we can go there whenever we want makes our lives at home less stressful and gives our grandchildren a perfect place to visit.”
Currency Trends: Dollar Strength Boosts Buyer Power
Claire Wheatley, Founder of Moving Currency, offers insight into how exchange rate shifts are making Portugal even more affordable for U.S. buyers:
“The recent U.S. election gave the dollar a solid boost against the euro. Investor optimism surrounding President-elect Donald Trump's proposed economic policies—like tax cuts and infrastructure spending—has pushed up the dollar’s value.”
Before the election, the EUR/USD exchange rate hovered around 1.09. Today, it sits closer to 1.04. For example:
A €500,000 property that once cost $545,000 now costs around $520,000.
That’s a $25,000 saving, or roughly 4.5% less, just from currency movement.
Final Thoughts: A Prime Time for Americans to Invest in Portugal
With strong currency conditions, stable property appreciation, visa accessibility, and a growing expat community, Portugal offers a compelling value proposition for American investors and families alike.
If you're considering buying a property in Portugal or relocating from the U.S., now is the time to act.