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The Best Cities to Live in Portugal: The Ultimate 2024 Guide

Explore the best cities to live in Portugal, covering everything from urban hubs to coastal retreats, and find the perfect spot for your lifestyle.
Dot
August 27, 2024
Ana Fankhauser
August 27, 2024
TABLE OF CONTENTS

Looking to move to Portugal but unsure where to settle? From vibrant Lisbon to serene Madeira, this guide highlights the best cities to live in Portugal for every lifestyle.

Whether you’re after bustling nightlife, scenic beaches, or a peaceful retirement spot, discover the top locations that could be your perfect home. Let’s explore what makes each city special and why it might be the ideal fit for you.

Key Takeaways

  • 🌄 Portugal offers a blend of vibrant urban life, scenic waterfronts, and quiet inland retreats, perfect for expats seeking diverse living experiences in cities like Lisbon, Porto, and Braga, as well as coastal regions like Algarve and Nazaré.
  • 🏞️ Key factors attracting expats to Portuguese cities include rich cultural heritage, academic prestige, lively social scenes, English language proficiency, and the ability to immerse in local traditions and cuisine.
  • 🏡 Settling in Portugal involves practical considerations such as understanding the language landscape, embracing local culture, navigating residency procedures, exploring real estate options, and obtaining the right visa or permit for a smooth transition to Portuguese life.

What Makes Portuguese Cities Perfect for Expats?

Porto, oneof the Best Cities to Live in Portugal

Portugal’s cities offer an enticing blend of lifestyle options, making them ideal for expats seeking a comfortable and fulfilling life abroad.

Whether you’re interested in rich Portuguese culture, serene landscapes, or affordability, there’s a city to suit every preference.

Here’s a quick look at what some of the best cities to live in Portugal have to offer:

  • Best for Culture and Nightlife: Lisbon
  • Best for Wine Lovers and History Buffs: Porto, Portugal's second largest city
  • Best for Beach Lovers and Retirees: Algarve (Faro)
  • Best for Students and Academics: Coimbra
  • Best for Families and Religious Heritage: Braga
  • Best for Nature Enthusiasts and Remote Workers: Madeira
  • Best for Scenic Beauty and Affordable Living: Aveiro
  • Best for Rural Living and Outdoor Activities: Alentejo
  • Best for Subtropical Climate and Tax Benefits: Azores

These diverse cities cater to different lifestyles and needs, making Portugal a top choice for expats looking for everything from vibrant city life to peaceful rural retreats.

Portugal caters to diverse needs, from career growth and relaxed retirement to cultural immersion.

With its friendly communities and high standard of living, it's clear why more and more expats are choosing to settle down in this beautiful country.

Lisbon

👥 Population: Approximately 550,000 within the city limits, with around 3 million in the greater metropolitan area.

🏠 Cost of Living:

  • Single Person: Around €740/month (excluding rent)
  • Family of Four: Approximately €2,600/month (excluding rent)

Lisbon, the capital city of Portugal, is renowned for its rich historical architecture and active arts scene. Neighborhoods like Baixa and Chiado are popular among expats for their central location and vibrant atmospheres.

With Lisbon’s well-connected international airport, it’s easy to travel both within Europe and globally, making it a prime choice for expats who value accessibility. The nightlife in Bairro Alto is legendary, offering a plethora of bars and social venues that come alive after dark.

Sports are also a big part of the city’s identity, with football clubs like Benfica drawing massive crowds and adding to Lisbon’s energetic vibe.

However, this vibrant lifestyle comes with a higher cost of living and can be quite crowded, especially during the tourist season.

From historic landmarks to modern art galleries, Lisbon is a haven for culture enthusiasts. Despite the higher costs, the rich lifestyle filled with cultural events, vibrant culture, and vibrant nightlife makes it a top choice for many expats.

Consider if: You want a cosmopolitan lifestyle with plenty of cultural activities, job opportunities, and social events.

Pros

  • Thriving cultural and art scene
  • Large and diverse expat community
  • Excellent international connections
  • Abundant entertainment options

Cons

  • High cost of living compared to other Portuguese cities
  • Crowded, especially during tourist seasons

Porto

👥 Population: Approximately 250,000 within city limits and 1.8 million in the metropolitan area​.

🏠 Cost of Living:

  • Single Person: Around €690-€770/month (excluding rent)
  • Family of Four: Approximately €2,400-€2,700/month (excluding rent)​

Porto is celebrated for its historic center, which is a UNESCO World Heritage site known for its cultural and architectural significance. The city’s old town captivates residents and visitors alike with its historic charm, from the narrow cobblestone streets to the beautifully preserved ancient buildings.

Wine lovers will be delighted by Porto’s renowned port wine, which has put the city on the map for many connoisseurs. The Douro River adds to the scenic beauty, making Porto a picturesque place to live.

Despite its many charms, Porto does have its drawbacks. The city experiences significant rainfall, which may not appeal to everyone. Additionally, its hilly terrain can be a challenge for those not used to steep climbs.

Ultimately, the lower cost of living and rich cultural heritage make Porto an attractive option for expats seeking a blend of history and modern living.

Consider if: You’re seeking a sun-soaked coastal lifestyle with access to beautiful beaches, nature, and a growing expat community.

Pros

  • Over 300 days of sunshine per year
  • Affordable cost of living, especially inland
  • Great outdoor activities like hiking, surfing, and golf
  • Large English-speaking expat community

Cons

  • Heavily touristy in the summer months
  • Limited job opportunities outside of tourism and hospitality

Algarve (Faro)

👥 Population: Approximately 467,000 across the region.

🏠 Cost of Living:

  • Single Person: Around €900–€1,100/month (excluding rent)
  • Family of Four: Approximately €2,000–€2,500/month (excluding rent).

The Algarve region, with Faro as its capital, is a paradise for beach lovers and retirees. With over 300 sunny days a year, it’s perfect for those who enjoy outdoor activities.

The region is known for its clean air and stunning natural beauty, making it an attractive destination for many expats. Popular areas like Albufeira, Lagos, and Tavira offer both excellent amenities and coastal town beauty.

Living in the Algarve does present some challenges. Public transportation options are limited, so owning a car becomes almost a necessity. Moreover, the region can get quite crowded during peak tourist seasons.

Nonetheless, the lower cost of living and the relaxed lifestyle make the Algarve a top choice for retirees and those seeking a slower pace of life.

Consider if: You’re seeking a sun-soaked coastal lifestyle with access to nearby beaches, nature, and a growing expat community.

Pros

  • Over 300 days of sunshine per year
  • Affordable cost of living, especially inland
  • Great outdoor activities like hiking, surfing, and golf
  • Large English-speaking expat community

Cons

  • Heavily touristy in the summer months
  • Limited job opportunities outside of tourism and hospitality

Coimbra

👥 Population: Approximately 107,000 within city limits.

🏠 Cost of Living:

  • Single Person: Around €650–€725/month (excluding rent)
  • Family of Four: Approximately €1,800–€2,300/month (excluding rent).

Coimbra is a city steeped in academic tradition, home to one of Europe’s oldest universities, founded in 1290. The city’s old world charm is reflected in its cobblestone streets, historic architecture, and vibrant student life, making it a perfect blend of history and youthful energy. The University of Coimbra enrolls over 25,000 students, including a significant number of international students.

This academic environment fosters a vibrant urban experience, making Coimbra an ideal place for students and academics. The city also boasts a low cost of living, with rent prices significantly lower than in Lisbon.

While Coimbra offers a rich student life and affordable living, its job market is relatively small, especially for those outside the education sector. Additionally, the nightlife options are more limited compared to larger cities like Lisbon.

The combination of academic prestige, low cost of living, and vibrant cultural scene makes Coimbra a top choice for students and scholars.

Consider if: You’re looking for a lively yet affordable city with a strong academic presence and rich cultural heritage.

Pros

  • Affordable living costs compared to Lisbon and Porto
  • Rich history and vibrant student life
  • Well-maintained parks and public spaces
  • Strong sense of community and safety

Cons

  • Fewer job opportunities outside education and healthcare
  • Extreme summer heat and chilly winters

Braga

👥 Population: Approximately 123,000 within the city limits.

🏠 Cost of Living:

  • Single Person: Around €900–€1,100/month (excluding rent)
  • Family of Four: Approximately €2,000–€2,500/month (excluding rent).

Braga, often regarded as a hidden gem in northern Portugal, offers a family-friendly environment with a strong sense of community. The welcoming local population makes it easier for expatriates to integrate and feel at home.

Public transportation in Braga is efficient, and the city center is easily walkable, adding to its appeal. Cultural events like the Holy Week celebrations and the São João festival bring the community together, enhancing the local spirit.

Braga is excellent for families but has a smaller expat community compared to cities like Lisbon and Porto. Job opportunities outside of local industries can also be limited.

Nonetheless, the city’s rich history, cultural heritage, and family-friendly atmosphere make it an ideal place for those seeking a close-knit community.

Consider if: You want a family-friendly environment with a mix of cultural richness, green spaces, and modern conveniences.

Pros

  • Affordable living costs compared to larger cities like Lisbon and Porto
  • Rich cultural heritage with a focus on religious festivals
  • A growing tech industry offering job opportunities
  • A peaceful atmosphere with plenty of green spaces

Cons

  • Fewer entertainment options compared to Lisbon or Porto
  • Job opportunities mainly limited to tech, education, and tourism sectors

Funchal (Madeira)

👥 Population: The Madeira region has a population of about 254,000, with around 100,000 residing in Funchal.

🏠 Cost of Living:

  • Single Person: Around €900–€1,100/month (excluding rent)
  • Family of Four: Approximately €2,300–€2,800/month (excluding rent).

Madeira, an archipelago known for its stunning natural landscapes and mild climate, is a haven for nature enthusiasts and remote workers. The island offers a reduced VAT rate of 18%, which is lower than the mainland’s 23%, making it an attractive option for those looking to save on goods and services.

The natural beauty and tranquility of Madeira provide an ideal environment for remote work. Madeira’s geographic isolation can pose challenges, particularly in accessing employment opportunities and certain services.

Transportation options on the island are limited, making car rentals the preferred method for exploring its remote areas. The breathtaking scenery and serene lifestyle make Madeira a unique and appealing destination for expats.

Consider if: You prefer a laid-back island lifestyle with scenic beauty, mild weather, and a close-knit community.

Pros

  • Stunning natural landscapes with unique outdoor activities
  • Affordable living compared to mainland Portugal
  • Warm, subtropical climate year-round
  • Friendly and welcoming local community

Cons

  • Limited job opportunities outside tourism and agriculture
  • Higher prices for imported goods due to the island’s location

Aveiro

👥 Population: Approximately 54,000 within city limits.

🏠 Cost of Living:

  • Single Person: Around €670-€750/month (excluding rent)
  • Family of Four: Approximately €2,300–€2,600/month (excluding rent).

Madeira, an archipelago known for its stunning natural landscapes and mild climate, is a haven for nature enthusiasts and remote workers. The island offers a reduced VAT rate of 18%, which is lower than the mainland’s 23%, making it an attractive option for those looking to save on goods and services. The natural beauty and tranquility of Madeira provide an ideal environment for remote work.

Madeira’s geographic isolation can pose challenges, particularly in accessing employment opportunities and certain services. Transportation options on the island are limited, making car rentals the preferred method for exploring its remote areas.

Still, the breathtaking scenery and serene lifestyle make Madeira a unique and appealing destination for expats.

Consider if: You’re looking for a scenic coastal city with a mix of culture, tradition, and a relaxed pace of life.

Pros

  • Affordable living costs compared to Lisbon and Porto
  • Scenic canals and historic architecture
  • Close proximity to beaches and nature reserves
  • Vibrant university town with youthful energy

Cons

  • Limited job opportunities outside tourism, academia, and small businesses
  • Smaller city feel, which may lack the variety of amenities found in larger cities

Alentejo

👥 Population: Approximately 760,000 across the region.

🏠 Cost of Living:

  • Single Person: Around €600-€700/month (excluding rent)
  • Family of Four: Approximately €1,700–€2,300/month (excluding rent).

Alentejo, characterized by its tranquil rural lifestyle, offers a peaceful environment with a low population density. Stretching across southern Portugal and touching the Spanish border, each town and village in Alentejo has its own unique character. From the whitewashed houses and rolling vineyards to the charming historic towns, Alentejo creates an atmosphere that’s both traditional and welcoming.

Alentejo’s mild climate, featuring around 300 sunny days per year, makes it an ideal location for outdoor activities. Despite its many advantages, Alentejo faces challenges such as a dwindling young population and limited amenities. Employment opportunities are also fewer compared to urban areas.

Still, the region’s close-knit communities, slower pace of life, and affordability make it a great choice for those seeking a rural, outdoor-oriented lifestyle.

Consider if: You’re looking for a peaceful and affordable environment with a strong connection to nature and traditional Portuguese culture.

Pros

  • Low cost of living compared to more urban areas
  • Beautiful natural landscapes and unspoiled beaches
  • Strong sense of community and a slower pace of life
  • Renowned local cuisine and wines

Cons

  • Limited job opportunities outside of agriculture and small businesses
  • Hot and dry summers with temperatures often exceeding 40 °C

Ponta Delgada (Azores)

👥 Population: Approximately 236,000 across the archipelago.

🏠 Cost of Living:

  • Single Person: Around €800-€1,000/month (excluding rent)
  • Family of Four: Approximately €2,500–€3,000/month (excluding rent).

The Azores, an archipelago in the middle of the Atlantic Ocean, offers a subtropical climate ideal for those seeking mild weather year-round. Ponta Delgada, the largest city with around 70,000 residents, serves as the region’s vibrant hub, balancing modern conveniences with the area’s stunning natural landscapes.

The archipelago’s generous tax incentives for Non-Habitual Residents and the affordable cost of living make it an attractive option for newcomers aiming to maximize financial benefits. With its volcanic craters, lush greenery, and breathtaking coastline, daily life in the Azores is uniquely picturesque.

However, the isolation from mainland Portugal presents challenges, such as limited access to certain services and fewer public transport options, making car ownership almost essential.

Despite these drawbacks, the Azores remain an appealing choice due to the combination of natural beauty, financial incentives, and a laid-back island lifestyle.

Consider if: You’re drawn to a relaxed, nature-centric lifestyle on islands known for sustainability and outdoor activities.

Pros

  • Affordable cost of living compared to mainland Portugal
  • Scenic landscapes and outdoor activities
  • Friendly and welcoming local communities
  • Mild subtropical climate year-round

Cons

  • Limited job opportunities outside tourism and agriculture
  • Potential isolation due to the archipelago’s remote location

How to Choose the Best City to Live in Portugal

Choosing the best city to live in Portugal depends on your lifestyle, job opportunities, and budget. Here’s a quick guide to help you decide:

  • 🌇 Urban vs. Rural: Major cities like Lisbon and Porto are perfect if you want a dynamic environment with plenty of cultural events and job prospects. On the other hand, areas like the Algarve and Alentejo offer a more relaxed lifestyle with stunning beaches and tranquil countryside.
  • 🪙 Cost of Living: Northern and central regions generally provide more affordable living options, while the southern coast tends to be pricier, especially in popular expat areas.
  • ✈️ Visit First: Exploring potential cities before settling down is essential. Spending time in different neighborhoods gives you firsthand experience of the lifestyle and amenities available.

By considering these factors and visiting potential locations, you can find the ideal city in Portugal that fits your needs.

Summary

Portugal offers a diverse range of cities and regions that cater to various lifestyles and preferences. From the vibrant cultural scene of Lisbon to the scenic beauty and affordability of Aveiro, there’s something for everyone. Each city has its unique charm and advantages, making Portugal a top choice for expats looking for a new place to call home.

Whether you’re a culture enthusiast, a beach lover, a student, or a retiree, Portugal has a city that will suit your needs. By considering factors such as lifestyle preferences, job opportunities, and cost of living, you can find the perfect city to enjoy all that Portugal has to offer.

So pack your bags and get ready to explore the best places to live in this beautiful country!

Frequently Asked Questions

What is the best city to live in Portugal for culture and nightlife?

Lisbon is definitely the best choice for culture and nightlife in Portugal, offering a lively atmosphere with a rich cultural scene and plenty of entertainment options. You'll find it full of energy and diversity, making it a fantastic place to live!

Which city in Portugal is best for wine lovers and history buffs?

Porto is the best city in Portugal for wine lovers and history buffs, with its renowned port wine and rich historical significance. You’ll definitely enjoy exploring its UNESCO World Heritage Sites.

What makes the Algarve a good place for retirees?

The Algarve is a fantastic choice for retirees because of its stunning beaches, warm climate, and more affordable living costs. It's an inviting place to enjoy life!

Why is Coimbra a great city for students and academics?

Coimbra's rich academic history and vibrant student life, thanks to its ancient university, create an inspiring environment for students and academics alike. It’s truly a fantastic place for those eager to learn and grow!

What are the benefits of living in the Azores?

Living in the Azores means enjoying a beautiful subtropical climate and breathtaking landscapes, along appealing tax incentives. It’s a paradise for anyone looking for both adventure and a great quality of life.

What are the safest cities to live in Portugal?

Portugal is considered one of the safest countries in Europe, and cities like Braga, Coimbra, and Aveiro consistently rank high for safety. Smaller towns and rural areas also tend to have low crime rates, making them ideal for families and retirees.

What cities are near the capital, Lisbon, and are good for living?

Several cities near Lisbon offer a more relaxed lifestyle while still providing easy access to the capital. Cascais and Sintra are popular choices for their scenic beauty and excellent transportation links. For those seeking more affordable options, Setúbal and Almada are worth considering.

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