As we are halfway through 2024, the European real estate market continues to offer attractive opportunities for
investors seeking strong capital growth and robust rental income. Below is a detailed overview of some of the
best-performing countries and cities, complete with the latest statistics on capital appreciation and rental yields.

Portugal

• Capital Appreciation: Lisbon’s property market has seen an impressive 8-10% annual price increase in recent years,
  with similar trends in Porto.
• Rental Yield: The average gross rental yield in Lisbon is around 5-6%, with some high-demand areas reaching up to
  7% due to the thriving tourism and expatriate markets.

Spain

• Capital Appreciation: Madrid and Barcelona continue to grow, with annual price increases of 5-7%. Valencia and
  Malaga are also on the rise, with capital growth rates of around 6%
• Rental Yield: Spain offers competitive rental yields, averaging 4-5% in Madrid and Barcelona. Coastal cities like
  Valencia can see yields as high as 6-7% due to tourist demand.

Germany

• Capital Appreciation: Berlin’s property market remains strong, with an average annual growth of 6-8%. Munich and
  Hamburg follow closely, with growth rates around 5-7%.
• Rental Yield: Berlin offers solid rental yields, typically around 3-4%, while Munich and Hamburg are slightly lower at
  2-3% due to higher property prices

Hungary

• Capital Appreciation: Budapest continues to be a standout performer with annual price increases of 8-10%,
  particularly in gentrifying districts.
• Rental Yield: Budapest boasts some of the highest rental yields in Europe, ranging from 5-7% depending on the
  location, with the city center offering the best returns.

The Netherlands

• Capital Appreciation: Amsterdam’s property prices have been growing steadily, with annual increases of 6-8%. The
  city’s limited housing supply continues to drive up prices.
• Rental Yield: The average rental yield in Amsterdam is 3-4%, reflecting the city’s high demand and competitive
  market, especially for centrally located properties.
  

Poland

• Capital Appreciation: Warsaw and Krakow are emerging markets with strong potential, showing annual capital
  growth of 6-8% as Poland’s economy strengthens.
• Rental Yield: Rental yields in Warsaw are among the highest in Europe, averaging 6-7%, driven by a growing
  population of young professionals and expatriates.

If you want to learn more about updates from other countries, you can download this file.