South coast - regional capital
Funchal
Regional capital; ~42% of foreign Idealista search demand on the island; highest taxa de esforço in Portugal; historic old town + Lido waterfront + Santa Rita hospital campus driving western-Funchal appreciation.
Population
103,000
Houses €/m²
€3,959
Apartments €/m²
€4,300
AL status updated
2026-04-24
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 new ones are suspended. Hospital Central de Madeira phase-3 construction is a tailwind for western Funchal. Political pressure on short-term rentals is acute - monitor the February 2026 review.
Flagship areas
Before offering. Municipality-level data is updated quarterly. Price-per-m² figures reflect listed inventory on major portals - realised transaction prices often differ. 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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