Mortgage rates edge up again: average rate reaches 3.135% in July
The implicit interest rate across all outstanding mortgage contracts in Portugal rose to 3.135% in July, up 3.4 basis points on June, according to INE. The average monthly instalment settled at €414 — €3 more than in June and €20 more than in July 2025 — and interest now accounts for 49.5% of it. For contracts signed in the last three months the rate climbed from 2.853% to 2.910%, with an average instalment of €731, up 15.1% year on year. Average outstanding capital reached €79,463.
Why it matters for your move
If you are budgeting a purchase, the number to watch is the instalment on new contracts (€731), not the average across all loans (€414) — new borrowers are paying far more.
This is Re-locant.com’s own brief, written to explain what the update means for people moving to or living in Portugal. For the full original report, see the source below.