Portugal has become one of the world’s most desirable relocation destinations, thanks to its mild climate, safety, affordable lifestyle and friendly communities. But choosing the right city or region depends on your lifestyle, budget and long-term goals. This 2025 guide breaks down the best places to live in Portugal, with pros, cons, costs of living and who each area is ideal for.
- 1. Lisbon — best for professionals, entrepreneurs and lifestyle seekers
- 2. Porto — best mix of affordability, culture and comfort
- 3. The Algarve — best for retirees, beach lovers and families
- 4. Braga — best for families and affordability
- 5. Coimbra — best for students and budget relocation
- 6. Madeira — best for nature lovers and remote workers
- 7. Cascais — best luxury lifestyle near Lisbon
Whether you’re moving for work, retirement, family life or remote work, this guide gives you everything you need to decide where to call home.
1. Lisbon — best for professionals, entrepreneurs and lifestyle seekers
Portugal’s capital remains the top choice for people who want a vibrant urban environment, international community and job opportunities.
Why live in Lisbon?
- Modern infrastructure and international schools
- Excellent restaurants, cafés and cultural life
- Great airport connectivity for travel
- Strong tech and startup ecosystem
Cost of living (2025)
- Rent 1-bedroom: €1,100–€1,600
- Rent 2-bedroom: €1,400–€2,200
- Monthly living costs: €1,200–€2,000 (single)
Best neighborhoods
- Campo de Ourique — family-friendly
- Estrela — elegant and central
- Parque das Nações — modern, waterfront, perfect for families
- Alcântara — trendy, creative district
Ideal for: remote workers, professionals, expat families, entrepreneurs.
2. Porto — best mix of affordability, culture and comfort
Porto offers all the benefits of a major city but remains quieter, more affordable and deeply authentic.
Why live in Porto?
- Lower cost of living than Lisbon
- Beautiful riverfront, architecture and gastronomy
- Excellent public transport
- Warm and welcoming locals
Cost of living (2025)
- Rent 1-bedroom: €800–€1,200
- Rent 2-bedroom: €1,000–€1,600
- Monthly living costs: €900–€1,600
Best neighborhoods
- Foz do Douro — beachfront and upscale
- Cedofeita — trendy and youthful
- Boavista — modern and residential
- Vila Nova de Gaia — great for families
Ideal for: couples, food lovers, students, remote workers.
3. The Algarve — best for retirees, beach lovers and families
With over 300 days of sunshine and a laid-back lifestyle, the Algarve is a favorite among retirees and expats seeking calm and comfort.
Why live in the Algarve?
- Warm weather year-round
- Beautiful beaches and outdoor lifestyle
- Great healthcare and international communities
- Safe and peaceful
Cost of living (2025)
- Rent 1-bedroom: €900–€1,400
- Rent 2-bedroom: €1,200–€1,800
- Monthly costs: €1,200–€2,000
Best towns
- Lagos — scenery + nightlife + beaches
- Faro — authentic and affordable
- Tavira — calm, historic and family-friendly
- Albufeira — convenient and central
Ideal for: retirees, families, sun lovers, golfers.
4. Braga — best for families and affordability
One of Portugal’s fastest-growing cities, known for safety, green spaces and excellent schools.
Why live in Braga?
- Very affordable compared to Lisbon
- Family-oriented with parks and playgrounds
- Modern lifestyle with a strong cultural scene
- Close to Gerês National Park
Cost of living (2025)
- Rent 1-bedroom: €550–€800
- Rent 2-bedroom: €700–€1,100
- Monthly costs: €800–€1,300
Ideal for: families, students, remote workers seeking low cost of living.
5. Coimbra — best for students and budget relocation
A historic university town with a relaxed, affordable lifestyle.
Why live in Coimbra?
- One of Europe’s oldest universities
- Affordable housing and food
- Beautiful riverside environment
- Central location between Lisbon and Porto
Cost of living (2025)
- Rent 1-bedroom: €500–€750
- Rent 2-bedroom: €650–€950
- Monthly costs: €700–€1,200
Ideal for: students, young professionals, couples.
6. Madeira — best for nature lovers and remote workers
An island paradise with year-round spring weather, mountain trails and a growing digital nomad community.
Why live in Madeira?
- Outstanding natural beauty
- Excellent internet and remote-work infrastructure
- Lower crime and calmer lifestyle
- Affordable compared to islands like Tenerife or Mallorca
Cost of living (2025)
- Rent 1-bedroom: €650–€1,000
- Rent 2-bedroom: €900–€1,400
- Monthly costs: €900–€1,600
Ideal for: remote workers, nature lovers, long-term digital nomads.
7. Cascais — best luxury lifestyle near Lisbon
Elegant and upscale, Cascais is one of Portugal’s most desirable coastal towns.
Why live in Cascais?
- Beachfront lifestyle with high-end services
- Close to top international schools
- 20–30 minutes from Lisbon
- Excellent biking paths, parks and marinas
Cost of living (2025)
- Rent 1-bedroom: €1,400–€1,900
- Rent 2-bedroom: €1,800–€2,800
- Monthly costs: €1,600–€2,600+
Ideal for: families, affluent expats, retirees wanting comfort.
Portugal offers an unusual mix of safety, affordability and quality of life. Whether you prefer a lively capital, a peaceful coastal town or a green inland city, 2025 presents a wide range of relocation options. The best place to live depends on your priorities — but with good planning, settling in Portugal can be one of the most rewarding decisions you’ll ever make.
Last updated: November 2025.
