Here, I list 6 things you need to know before living in Portugal as an expat!
You’ve come here because you’re itching to know more about moving to Portugal. And you’re in luck because, in this blog post, I’ll give you the lowdown on work visas for Portugal, how to find a job, how to decide on what area to live in, and how to find a place to live there.
Portugal is one of the most beautiful countries in the world – it’s renowned for its diverse landscapes, from the sun-kissed beaches of the Algarve to the lush vineyards of the Douro Valley. But, it’s not just its beauty that makes it such a desirable place to live – what many locals say they love about living here is the mild weather, slow pace of life, and relatively low cost of living.
So, read on how you can make your dream of moving to Portugal a reality!
Is Portugal worth moving to?
Yes, Portugal is 100% worth moving to.
Portugal is a haven for expats for many reasons. For one, it consistently ranks among the world’s safest destinations and its Mediterranean climate boasts over 300 days of sunshine annually. The year-round good weather means that locals can enjoy the stunning coastlines (the sunny Algarve region here is world-famous) at pretty much any time of year.
Beyond its natural beauty, Portugal boasts a good universal healthcare system. Yep, the National Health Service (SNS), offers free or low-cost healthcare to all citizens and legal residents. And although it’s free for the most part, some small fees may apply for certain non-essential services and prescriptions.
Plus, its well-developed infrastructure eases the transition into life here for foreigners. And not forgetting its well-established expat communities that create valuable support networks for those away from home. Would you believe over 10% of Portugal’s population are foreigners?
For detailed insights on relocation requirements and processes, Moving to Portugal resources can provide step-by-step guidance for a successful transition to Portuguese life.
What do I need to do before settling in Portugal?
Before settling and living in Portugal as an expat, you must first navigate several legal requirements. The NIF Portugal is the first and main thing you’ll need when relocating. This tax identification number (Número de Identificação Fiscal) is essential for practically everything – from opening a bank account to signing a rental agreement or even purchasing a phone plan.
You can find comprehensive information about obtaining your NIF in this complete guide to NIF Portugal.
If you’re an EU/ EEA citizen you’re in luck – you don’t need a visa to work in Portugal as your passport already allows you to do so. However, if you plan to live here for more than 3 months, you will need to get a Certificate of Registration from your local city hall in Portugal. And then, after 5 years of continuous living here, you can apply for residency.
If that’s not the case for you (you’re NOT an EU citizen), thankfully, Portugal offers various residency pathways depending on your situation:
- Golden Visa for investors
- D7 Visa for retirees and passive income holders
- Digital Nomad Visa for remote workers
The Digital Nomad Visa is one of the most popular ways to gain residency in Portugal, also called the D8 visa – it allows you to live and work in Portugal while working for a non-Portugese company. You can get the D8 visa for a temporary period (up to 1 year) or a long-term period (this leads to a 5-year visa).
Always check current regulations, though, as Portuguese immigration policies frequently update, potentially affecting your eligibility and application timeline.
What are the best places to live in Portugal for expats?
Finding your ideal location is crucial when planning on living in Portugal as an expat. The country offers diverse regions catering to different lifestyle preferences and budgets. Below I’ve listed the most popular areas for expats to reside in Portugal –
Lisbon
Lisbon remains the top choice in Portugal for digital nomads and young professionals, thanks to its vibrant urban energy. It combines historical charm with modern amenities – dare I say, it’s one of the most beautiful cities in Europe. Although all of that comes at a premium price. And rent here is the highest in Portugal – for a one-bedroom apartment in the city center you’re looking at paying around €1,400 per month.
As for the best neighborhoods in Lisbon to live in – Chiado, Alfama, and Penha de França are top choices.
Porto
Porto offers a compelling alternative to Lisbon with its riverside beauty and renowned wine culture. The second-largest city in the country provides a more affordable urban experience and is known for its awesome quality of life.
Rent is a little cheaper in Porto – you’re looking at paying around €1,000 per month for a one-bedroom apartment in the city center. And the best neighborhoods to live in here include Ribeira, Boavista, and Foz do Douro.
The Algarve
The Algarve region attracts mostly retirees and families thanks to its year-round sunshine and relaxed coastal atmosphere. And despite being a super-popular tourist destination the cost of living here is relatively low when compared with other similar regions in Western Europe.
The size of the Algarve region is around 5,000 square-kilometers so knowing where to base yourself here is important before making your move. Lagos, Albufeira, and Tavira are especially popular with expats thanks to their diverse amenities and closeness to the coast.
Madeira
For those seeking island living, Madeira presents a unique opportunity with its distinct culture and breathtaking natural landscape.
Yes, the island of Madeira is becoming more popular with expats thanks to its mild, subtropical climate, lower cost of living, and friendly locals. However, if you’re looking to buy property – property prices here are quite high.
Funchal is the island’s capital city and this is a great place to live as it is stunningly beautiful and has lots of amenities. Rental costs in Funchal vary massively depending on what neighborhood you wish to live in – you’re looking at paying between €600 – €1,100 for a one-bedroom apartment.
How much does it cost to live in Portugal as an expat?
The financial side of relocating to Portugal is an important consideration for any potential expat. Understanding the cost of living and creating a solid financial plan will help ensure your Portuguese adventure is both enjoyable and sustainable.
Portugal offers varied living costs depending on where you settle. Lisbon tops the expense chart with a cost of living index of 49.7, making it the priciest option but it’s still affordable compared to many Western European capitals.
Porto presents a more budget-friendly alternative at 45.4, while North Portugal regions offer even better value at approximately 42.5. And the Algarve and Madeira can be surprisingly economical if you venture beyond tourist-centric areas.
To have a comfortable life in Portugal, you will need to earn close to €3,000 per month, this figure will cover your bills, and entertainment expenses and ensure you have a little left over to save.
When planning your move to Portugal, make sure you take into account your initial relocation expenses, including utility setup fees and rental deposits. Yep, creating a detailed financial plan before your move will help you navigate the transition smoothly and avoid unexpected hurdles in your new life in Portugal.
How does healthcare, education, and daily life work for expats in Portugal?
Portugal offers expats a balanced lifestyle with essential services readily available. As I said earlier, you can avail of Portugal’s universal public healthcare system once you get legal residency. However, many expats choose to supplement this with private health insurance for reduced wait times and specialized services.
For families, Portugal provides diverse educational pathways including public schools, private institutions, and international schools that typically follow British or International Baccalaureate curriculums to ease the transition.
Daily life in Portugal is all about embracing the relaxed Mediterranean lifestyle with affordable local markets, charming cafés, and efficient public transportation all likely to be part of your everyday here.
Thankfully, the language barrier poses minimal challenges as most Portuguese, especially in the cities and tourist areas, speak some English.
What are the best tips for settling in and building a community in Portugal?
Adapting to Portuguese life means that you’ll need to embrace local customs and learn basic Portuguese phrases.
So, consider participating in community activities with the locals and connect with your neighbors (invite them for dinner at yours, take them around a bottle of wine, etc.). You could also join dedicated expat groups.
Volunteering opportunities and local classes offer excellent pathways to meet people while contributing to your community. And attending cultural festivals not only provide entertainment but it’s also a great way to meet people.
And remember to stay informed about changing tax and residency regulations to ensure your legal compliance while enjoying your new Portuguese lifestyle.
Thanks for Reading!
Have you ever considered living in Portugal as an expat? I’d love to hear about it in the comment section below!
While you’re here you may also enjoy my other expat guides, like –
Living in Ireland – What To Expect (Written By A Local)
Moving to Sydney – What to expect from a local!
Living in Queenstown New Zealand (Absolutely Everything You Should Know)
An honest experience of living in Whistler (Written by a local)
Last Updated on May 17, 2025 by snaphappytravel