Real estate prices in Porto are influenced by a mix of local economic factors, governmental policies, and global trends. The city's burgeoning tourism sector has spurred demand for short-term rentals, particularly in historic neighborhoods like Ribeira and Cedofeita, thereby driving up property prices. Additionally, foreign investment, especially from countries like Brazil and the UK, has created a competitive market, pushing prices higher in desirable areas. Infrastructure developments, such as the recent expansion of the metro system and improved access to Lisbon via high-speed rail, have also made certain outskirts more attractive for homebuyers. Local regulatory changes regarding property taxes, including potential shifts in taxation for short-term rental operations, can further affect market dynamics. Moreover, the increasing popularity of Porto as a tech hub, with the emergence of startups and tech companies, has attracted a young professional demographic, further escalating demand for both residential and commercial properties.