Cost of Living in Portugal

The affordable cost of living in Portugal has attracted expats from all over the world, where the euro can be stretched much farther than in north Europe. This has also attracted many UK pensioners to retire in Portugal. A single person with a steady job earning about 1200 Euros per month will ensure a decent standard of living in Portugal.

Except for extremely expensive expat resort and golf homes, such as in the Algarve, property is less expensive than the European average. Renting is also good value. An expat living in Portugal will spend between 300 to 500 Euros on rent. This usually includes water, electricity and gas bills.

In major cities such as Lisbon, Estoril and Cascais, the cost of living is much higher than in more rural communities and more equivalent to European averages.

The cost of food in Portugal is much cheaper compared to other Western European countries. Two adults can easily survive on a food and drink budget of 300 Euros per month.

Portugal is a coastal country and thus enjoys abundant and affordable seafood. Several regions in Portugal also make and distribute wine both locally and internationally. As a result, wine is also extremely affordable. Meat products are slightly more expensive as well as poultry and eggs.

When shopping in Portugal, expats from the UK will find clothes and accessories to be cheaper in Portugal than in the UK. Cars, electronics and computers are starting to increase in price however expatriates may still find them cheaper in Portugal.

Overall, the cost of living in Portugal heavily depends on the location as well as the lifestyle of the individual, but in general offers good value to expats and retirees.

Here follows a cost guide for living in Portugal: