South coast - regional capital
Funchal
Regional capital; the highest median price per m² of homes sold on the island (INE); historic old town + Lido waterfront + Santa Rita hospital campus driving western-Funchal appreciation.
Administrative boundaries: CAOP2025 (RAM), Direção-Geral do Território. Informação geográfica cedida pela Direção-Geral do Território. Licensed under CC BY 4.0. Adapted: boundaries simplified; Desertas, Selvagens and minor islets omitted.
Alojamento Local, new registrationsChecked 2026-09-27
Funchal's AL regulation (Regulamento n.º 787/2026) has been in force since 30 Jun 2026 and makes the whole concelho a containment area. In Sé parish no new AL of any type can be registered; in the other nine parishes only detached houses (moradias) or rooms within them, with narrow exceptions such as apartments in buildings wholly licensed for commerce or services. It replaced the suspension approved by the Assembleia Municipal on 3 Sep 2025. The regulation is due for review within two years.
Population (Census 2021)
105,782
Median sold €/m²
€3,322
AL status updated
2026-09-27
Microclimate
Sunny south coast; some rainfall from October through March; urban heat-island on the waterfront
Buyer notes
Highest prices on the island. Existing AL licences are not retroactively revoked, but since 30 Jun 2026 new ones are limited by the containment area: none in Sé, elsewhere only houses. Hospital Central de Madeira phase-3 construction is a tailwind for western Funchal. The AL regulation is due for review within two years.
Flagship areas
Before offering. The price per m² is INE's median for homes sold in the concelho over twelve months, all types together; a given street or building can sit far from it. AL status depends on the current municipal câmara decision under DL 76/2024 - verify via the câmara website before relying on it. Always cross-check with a Portuguese property lawyer.
Next steps
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