Living in Portugal offers an attractive combination of affordable living costs, high-quality healthcare, and a relaxed lifestyle. If you’re thinking about moving to Portugal in 2025, it’s important to understand the cost of living in major cities like Lisbon, Porto, and even rural areas. This guide breaks down the key costs to expect, including rent, food, utilities, and other daily expenses.

💡 Overview of Living Costs in Portugal

The cost of living in Portugal is generally lower than many Western European countries, but it can vary significantly depending on where you live. Cities like Lisbon and Porto tend to be more expensive, while rural areas can offer a more affordable lifestyle. Below, we’ll cover some of the main expenses for daily living in Portugal in 2025.

🏠 Rent Prices in Portugal

One of the most significant monthly expenses in Portugal is rent. The cost of renting a property can vary greatly depending on the city, neighborhood, and size of the property.

• Lisbon: €1,000–€1,800 for a one-bedroom apartment in the city center; €700–€1,200 outside the city center.
• Porto: €800–€1,400 for a one-bedroom apartment in the city center; €600–€1,000 outside the city center.
• Algarve (southern region): €700–€1,300 for a one-bedroom apartment in central areas; €500–€900 in rural areas.
• Smaller towns and rural areas: €400–€800 for a one-bedroom apartment.

🍽️ Food and Dining Costs

Food prices in Portugal are generally affordable, especially if you shop at local markets or cook at home. Dining out is also relatively inexpensive, but like rent, it depends on the location.

• Groceries: A weekly grocery shop for one person can cost around €25–€50, depending on your eating habits and choice of products.
• Dining out: A meal in a local restaurant will cost approximately €12–€20 for a 3-course meal. If you’re looking for more upscale dining, expect to pay €30–€50 per person.
• Coffee: A regular coffee in a café will cost you around €1.50–€2.50.
• Monthly grocery bill for a family of four: €300–€500.

🚗 Transportation and Utilities

Portugal has a relatively affordable public transportation system. However, if you prefer driving, costs can add up, especially in the cities.

• Public transportation: A monthly metro or bus pass costs around €30–€50, depending on the city.
• Gasoline: The price of fuel is approximately €1.60–€1.80 per liter.
• Car rental: Monthly car rentals can range from €250–€500.
• Utilities: Monthly utility bills (electricity, heating, cooling, water, garbage) for a 85 m2 apartment range from €90–€150.

📱 Internet and Communication

Portugal’s internet is reliable and fast, and the cost of communication services is competitive compared to other European countries.

• Internet: High-speed internet (50–100 Mbps) costs around €25–€40 per month.
• Mobile phone plan: A prepaid mobile phone plan with data can cost €10–€20 per month.

🏥 Health Insurance and Healthcare

Portugal offers a high-quality public healthcare system (SNS) that is generally free for residents, though private healthcare options are also available for those who prefer faster access and additional services.

• Public healthcare: Free for residents registered in the SNS.
• Private health insurance: Costs can range from €30–€100 per month, depending on coverage and the provider.

💡 Miscellaneous Costs

• Gym membership: €25–€50 per month.
• Entertainment: A movie ticket costs approximately €7–€12.
• Dining at a fast food restaurant: Around €5–€10.

💸 Conclusion

The overall cost of living in Portugal in 2025 remains attractive, especially compared to other European countries. If you’re planning to move to Portugal, it’s important to consider the city you’ll be living in, as this can have a significant impact on your budget. Lisbon and Porto are more expensive, but smaller towns and rural areas offer a more affordable lifestyle with lower rent and daily expenses.

📽️ Want to Learn More?

If you want more detailed information about the cost of living in Portugal, here’s a great video that explains the process clearly: