There are many reasons for moving to Portugal, but why do nearly 1.6 million foreign residents decide that this part of the Iberian Peninsula is the right choice?
While investment programs and remote work opportunities have certainly contributed to new arrivals, the country’s attractive quality of life, affordable cost of living, and being the 7th safest country in the world also play a huge role.
In this article, we’ll take a look at everything you need to know to make your move to Portugal as smooth and successful as possible.
Moving to Portugal: Key Takeaways
Why is everyone moving to Portugal?
Compared to many Western European countries, Portugal has a relatively low cost of living, which is a deciding factor for many on where to move. Even major cities like Lisbon and Porto maintain lower living costs than similar European urban centers.
Together with essentials like groceries, transportation, and healthcare that are reasonably priced, here are a few reasons why people are moving to Portugal:
- Mild climate: Portugal’s climate is a significant draw, with over 300 days of sunshine, particularly in the southern Algarve region. Expats enjoy year-round outdoor activities, from beach days to vineyard tours, in a mild Mediterranean climate that balances hot summers with gentle winters.
- High quality of life: According to our Global Intelligence Unit’s Retirement Guide for US Citizens, Portugal came in 2nd place and consistently ranks high for quality of life, offering real estate with modern amenities and robust public services. In our Global Passport Index 2026, Portugal ranks 11th for quality of life and 15th for enhanced mobility.
- Growing expat community: In recent years, Portugal has seen a rising expat population, where places like Lisbon, Porto, and the Algarve provide foreigners with a network of support, cultural exchange, and business opportunities.
- Overall safety: Portugal is widely considered one of the world’s safest countries, coming in 7th place on the Global Peace Index. It also has one of the lowest homicide rates in Europe, with 98 cases registered in 2025.
Excellent healthcare: The Portuguese national health service is a universal healthcare system that delivers affordable, high-quality care to residents. Healthcare and health insurance are available in both public and private options.
Visa Options to Portugal
The first step in moving to Portugal (if you are a non-EU citizen) is getting a visa and converting it into a residency permit. In almost all cases, you’ll need to prove that you have accommodation in Portugal, prove your income, and have health insurance.
Here are some of the most popular:
- D7 Visa: The Portugal D7 Visa is specifically designed for individuals with stable, passive income from sources such as pensions, rental income, and investment dividends.
- Portugal Digital Nomad Visa: Officially called the Portugal D8 Visa, this visa is specifically for non-EU/EEA citizens working remotely or freelancing for companies outside of Portugal.
- Portugal HQA Visa: The Portugal Highly Qualified Activities Visa is part of the country’s effort to attract global talent and build a highly skilled workforce of engineers, doctors, specialists, and high-level executives.
- Portugal’s Golden Visa: The Portugal Golden Visa program provides non-EU nationals with a residency permit in exchange for qualified investments in Portugal. Investors only need to stay in the country for seven days in the first year and 14 days in each subsequent two-year period to maintain their residency.
After having legal residency in Portugal for five years, you can apply for permanent residency. Portuguese citizenship now requires 10 years of legal residence (seven for EU and CPLP nationals), counted from the date your first residence permit is issued.
Steps for Relocating to Portugal
Preparing your documentation
Once you have decided which residency visa is best suited to your situation or long-term goal, prepare your documentation according to the visa’s specific requirements. Ensure that all certificates and official documents are up to date, make copies of everything, and keep them safe until you are ready to submit.
Finding accommodation
Renting in Portugal can be a simpler, more flexible alternative to buying. The rental process involves minimal paperwork and eliminates the hassle of dealing with a mortgage.
Keep in mind that in the initial application for most residency visas, you must prove that you have accommodation in Portugal for at least 12 months.
Conversely, buying property in Portugal can be a great option if you’re considering making it your permanent home or if you’re looking for a solid investment opportunity.
Owning real estate can offer stability and the potential for rental income, making it a valuable asset if you plan to stay long-term or want to include it in your investment portfolio.
Getting a tax identification number
A Número de Identificação Fiscal (NIF) is your Portugal tax identification number and having a NIF is crucial. It is used for financial transactions and activities, such as signing a legal lease, signing up for a Wi-Fi contract, opening a bank account, paying taxes, and even legally working in Portugal.
You can apply for a NIF by:
- Attending an appointment at the local tax office (Finanças) or citizen shop (Loja do Cidadão)
- Appointing a lawyer or an accountant to apply for it on your behalf
- Applying through a third-party provider that handles the entire NIF application on your behalf
Since June 2025, if you hold a residence permit or have applied for one, you can also request your NIF, social security number (NISS), and national health service user number in a single application at selected Espaço Cidadão offices.
Getting a social security number is important if you plan on staying in Portugal for more than a year.
Opening a Portuguese bank account
After you get your NIF, you can open a bank account in Portugal. While the requirements might vary depending on which bank you choose, you’ll generally need the following documents:
- Proof of ID
- Proof of address
- Confirmation of NIF
- Proof of income or your employment status
- A Portuguese phone number for SMS activation
- A minimum cash deposit of €250-300 is common, although this will depend on the bank.
Once you’ve gathered the documents, go to any branch of your chosen bank and speak to a representative.
In some instances, like with ActivoBank and Millennium BCP, you can open a bank account online. You then have to have an online video meeting with the bank representative to confirm your identity and answer their questions.
Apply for your visa
After you’ve collected your documents and sorted out the paperwork for accommodation, your NIF, and a Portuguese bank account, you’re ready to apply for your visa.
You’ll need to apply at the Portuguese Consulate or Embassy in your home country, or in some countries, through a processing center such as VFS Global.
If you’re moving to Portugal from the US, for example, you’ll submit your application at a VFS Global center. Each visa has its own requirements, but the process is much the same: Make an appointment, submit your documents, pay the fee, and await a decision.
Processing times depend on your consulate and the type of visa, but it usually takes anywhere from a few weeks to a few months.
If your application is approved, you’ll get a visa that’s valid for four months and two entries into Portugal. Once you arrive, you’ll need to book an appointment with AIMA to turn your visa into a residence permit.
Shipping Your Belongings to Portugal
If everything proceeds smoothly, Portugal’s immigration authority should approve your residence permit. Once that’s done, the final step is shipping your household goods to Portugal.
To begin, you’ll need to select an international removals company capable of handling cross-border shipments. Alongside this, you must obtain a baggage certificate.
You will also need to apply for a Certificate of Change of Residence (Certificado de Mudança de Residência) from the Portuguese Consulate. This document is essential if you want to avoid paying VAT on your household goods.
Keep in mind that your belongings must enter Portugal within your first 12 months of residence in Portugal, and the baggage certificate must still be valid at the time of import.
Understanding the Portuguese Healthcare System
Portugal offers universal healthcare through the publicly funded Serviço Nacional de Saúde (SNS). Most SNS care is free, and minimal fees might only apply if you go to a hospital emergency department without a referral and aren’t admitted, and children under 18 are exempt even then.
Basic national health coverage is delivered through health centers and hospitals, which are organized into 39 local health units (Unidades Locais de Saúde).
Private health insurance is also available, and allows you to get an appointment more quickly than the public healthcare system. Most doctors in the private healthcare system speak English.
Popular providers include Médis, Multicare, and Allianz Care, along with international insurers such as Cigna Global and Bupa Global.
The Cost of Living in Portugal
Spending your money wisely and creating a thoughtful budget will go a long way in Portugal. While costs are generally cheaper in smaller towns and rural areas, below is an estimated cost of living including utilities in Portugal:
| Expenses (per month) | Cost (per month) |
|---|---|
| Rent for one bed flat (city center/ outside city center) | €1,334/ €922 |
| Utility bills | €134 |
| Mobile phone & WiFi | €61.76 |
| Groceries | €200 to €340 |
| Public transport (monthly pass) | €40 |
| Entertainment (eating out/ cinema, etc.) | €100 |
| Sports and leisure | €40 |
The same price fluctuations exist for basic goods, which tend to be slightly more affordable the further you are from large cities. When working out a monthly budget, the table below will give you a good indication of the cost of food in Portugal.
| Product | Cost in Euros |
|---|---|
| Loaf of bread | €1.11 |
| A pack of 12 eggs | €1.89 |
| 1 kg of bananas | €1.11 |
| 1 kg of apples | €1.63 |
| 1 kg of chicken | €5.27 |
| A slice of fresh salmon | €3.00 |
| 1 kg of tomatoes | €1.58 |
| 1kg of potatoes | €0.95 |
| Bottle of wine (mid-mark) | €4.00 |
Moving to Portugal with Pets
When moving to Portugal with pets, you can bring your dog, cat, or ferret, but you must carefully follow the entry requirements set by Portuguese and EU authorities.
Your pet will need the following to be admitted into the European Union:
- Animal health certificate if arriving from outside the EU
- EU pet passport if you’re a resident in another EU country
- Declaration confirming the move is non-commercial
- A microchip that meets the EU technical standard
- Rabies vaccination
Driving and Driver’s License in Portugal
If you become a resident of Portugal and hold a valid license from a country that’s party to the Geneva or Vienna road traffic conventions, you can keep driving with it, as long as you apply to exchange it with the Instituto da Mobilidade e dos Transportes (IMT) within 90 days of getting your residence permit.
You can still request the exchange up to two years after becoming resident, but you can’t drive on your foreign license once those 90 days have passed.
After two years, you’ll need to pass a practical driving test. You’ll also need a medical certificate before the exchange.
Driving in Portugal is generally straightforward for expats, though some advance preparation is required. Portugal drives on the right-hand side of the road, speed limits are strictly enforced, particularly on highways, and most highways operate on a toll system.
Taxes in Portugal
Portugal’s tax system is comprehensive, with various taxes targeting different income sources and activities.
It also provides specific incentives and benefits for new residents and businesses investing in certain sectors.
If you’re moving to (or are already in) Portugal and earning an income, you may have to pay taxes.
Personal income tax rates (IRS) apply to the incomes of Portuguese residents and non-residents currently working or employed. Tax is automatically deducted from pay slips, but you must complete an annual tax return.
Your income tax rates are determined by calculating your taxable income earned and the corresponding tax rate and removing any legal deductions (e.g., education or health-related expenses).
IRS is considered an individual income tax and is filed individually, but couples and civil partnerships can opt to file jointly. In this case, tax rates are applied to the household members’ total taxable income. The Portugal tax rates for individuals range from 12.5% to 48%.
If you own a property in Portugal, you’ll also be liable for property tax, called Imposto Municipal sobre Imóveis (IMI). In urban areas, IMI varies from around 0.3% to 0.45% of the home’s value. In rural areas, a rate of 0.8% applies.
If you are a skilled worker in Portugal, you might qualify to benefit from Portugal’s IFICI tax regime.
IFICI replaced the Non-Habitual Resident (NHR) regime and offers a reduced 20% flat tax rate on qualifying employment and self-employment income for eligible highly skilled professionals, for 10 years.
Cost of Moving to Portugal
From visa fees and financial requirements to housing costs and health insurance, moving abroad is a major financial commitment, but often far less expensive than you might expect.
On average, people relocating to Portugal should budget between €10,000 and €30,000 for their initial move, depending largely on their visa type, chosen city, and personal lifestyle.
For example, just during the application stage, if you’re moving on a D7 Retirement Visa or a D2 Entrepreneur Visa, you can expect to pay:
- €90 to €110 for the initial visa application (paid at the consulate or visa center)
- €133 for the residence permit application (paid at your AIMA appointment)
- €114.30 for granting the residence permit and issuing the card
This is in addition to having €11,040 in a bank account and proving you meet the minimum income requirement.
Various other costs will also be associated with your move, like €30 to €150 a month for private health insurance and setting up a NIF and bank account, which can cost around €100 if you go through an agency.
Many visa options require you to show proof of accommodation, so that is something you’ll want to set up before applying, often involving a security deposit and a few months’ rent upfront.
Given most of the potential costs involved, for a single person moving to Portugal with minimal belongings, it should work out to about €10,000.
For families or those moving with more belongings, budgeting closer to €20,000 or €30,000 for the initial relocation is a good idea.
Best Places to Live in Portugal
Lisbon
Lisbon is the top choice for many international residents moving to Portugal. As the capital, it offers the broadest range of job opportunities, especially in technology, finance, and tourism. You’ll also find international schools, coworking spaces, and a welcoming expat community.
Living in Lisbon means enjoying a mix of historic charm and modern comforts. Popular neighborhoods like Chiado and Príncipe Real attract professionals and entrepreneurs, while Alcântara and Marvila are up-and-coming areas that have seen a lot of new development.
It’s important to know that housing costs in Lisbon have risen in recent years. The city is now the most expensive place to live in Portugal, so if you want to be in the center, careful budgeting is key.
Porto
If you’re looking for a city with a relaxed pace and lower costs than Lisbon, Porto is a great choice. The city is famous for its historic center, unique culture, and thriving wine scene, and it’s also becoming a hub for tech and startups.
Rental prices in Porto are generally lower than in Lisbon, though they have been increasing as more people discover the city. Porto is ideal if you want the energy of city living without the crowds or high costs of the capital.
Life moves at a slower pace here, and the community has a welcoming, local feel. Many expats find it easier to settle in and build connections for the long term.
Cascais
Cascais is just outside Lisbon and combines easy access to the city with a relaxed coastal lifestyle. It’s a favorite among families and those looking for a high standard of living by the sea.
Living in Cascais means you’re close to Lisbon’s business districts but can enjoy a quieter, more peaceful setting. The area is home to several international schools and a large expat community, making it easier to settle in. Property prices are high, often comparable to prime areas in Lisbon, but the quality of life and access to beaches justify the premium for many residents.
The Algarve
The Algarve is a long-time favorite for expats and retirees from across Europe. With its sunny weather, beautiful beaches, and services designed for international residents, it’s easy to see why so many choose to call it home.
Towns like Faro and Lagos blend local Portuguese culture with plenty of expat-friendly amenities, from English-speaking doctors to active international communities. The Algarve is especially appealing if your priority is lifestyle rather than career. Tourism is the main industry here, so job opportunities outside that sector can be limited.
Finding Housing in Portugal
Your choice of where to live in Portugal will shape your day-to-day life. Each region offers something different, from bustling cities with career opportunities and international schools to peaceful coastal towns perfect for a slower pace. Think about what matters most to you when deciding where to settle. Here are some of the best places to live in Portugal:
Finding a place to live is one of the first big steps when moving to Portugal. The process is usually simple, but what you’ll find and what you’ll pay depends a lot on where you want to live and the type of home you’re looking for.
Most people start their property search online, through real estate agents, or by asking around locally. An agent can make things easier, especially if you’re not familiar with the paperwork. Just be sure to read any contract carefully and check that the property is officially registered.
Long-term rentals in Portugal usually come with a one-year contract that can be renewed. Landlords typically ask for a deposit of one or two months’ rent, plus proof that you can pay. If you’re new to Portugal, you might also need a guarantor or be asked to pay several months’ rent upfront.
If you’re looking in Lisbon or Porto, expect higher rents and more competition, especially for apartments in the city center. Demand has soared in recent years, partly because of international interest and a limited supply of housing.
On the other hand, smaller cities and inland areas tend to offer more space and lower prices. These spots are a good fit if you’re after a quieter lifestyle or want to keep costs down.
The average rental price is determined by location and size, but as a guide, here are some of the average monthly rental prices in popular areas for a one-bedroom apartment:
- Lisbon: €1,200 to €2,000+
- Porto: €900 to €1,400
- Cascais and Estoril (Lisbon Coast): €1,200 to €2,500+
- Algarve (Faro, Lagos, Albufeira): €800 to €1,500
- Madeira (Funchal): €700 to €1,200
- Inland cities (Braga, Coimbra, Évora): €500 to €900
Education and Schools for Expat Families
You’ll find plenty of schooling options if you are moving to Portugal with children.
The country has a well-developed education system serving both local and international families, with public schools, private Portuguese schools, and international schools offering foreign curricula.
Education in Portugal starts with basic schooling, which includes primary and lower secondary levels, and then moves on to secondary education. Children must attend school from age 6 to 18. Public schools are free, widely available, and follow a national curriculum taught in Portuguese.
For many expat families in Portugal, international schools are a popular choice. Most teach in English and use well-known programs like the International Baccalaureate or British and American systems. The biggest selection of international schools is in Lisbon, Cascais, Porto, and the Algarve.
Tuition fees depend on the school and your child’s age, but most families pay between €6,000 and €20,000 per year. Some schools are in high demand and have waiting lists, especially in popular areas, so it’s a good idea to apply as early as possible.
Learning Portuguese: Do You Need It?
You don’t need to speak Portuguese before moving to Portugal, but picking up the language will make daily life much easier and more enjoyable as time goes on.
In cities like Lisbon, Porto, and much of the Algarve, you’ll find that English is widely spoken, especially among younger people and in shops, restaurants, and offices. This means you can usually rent a place, eat out, or sort out paperwork without much trouble, at least when you’re just getting started.
Outside the main cities and tourist spots, English isn’t as common. If you’re thinking about settling in a smaller town or want to really connect with your neighbors, knowing some Portuguese will make a big difference.
If you’re planning to stay long term or eventually apply for Portuguese citizenship, you’ll need to prove A2-level Portuguese proficiency. This means being able to handle everyday conversations, not passing a tough exam, but it’s still something you’ll want to prepare for.
Even knowing a little Portuguese helps with daily life, from chatting with locals to sorting out paperwork. Many expats start with language apps or private lessons and slowly get more comfortable as they go.
Finding a Job in Portugal
Your chances of finding a job in Portugal will depend a lot on your field, experience, and whether you speak Portuguese. The economy is growing, and more international companies are setting up here, but competition for jobs can be tough, and salaries are usually lower than in much of Western Europe.
Most opportunities are in tech, tourism, customer support, and shared service centers. Lisbon and Porto are the main places to look for work, as many international companies have opened offices there in recent years. If you have experience in software development or IT, you’ll find these roles are often the easiest for foreigners to land.
LinkedIn is a good place to begin in your job search. Recruiters use it often, especially for jobs in tech, finance, and international companies. Make sure your profile is up to date and set to ‘open to work’ so you show up in searches.
Local job sites like Net-Empregos and Sapo Emprego are also worth checking. They list jobs in many industries, including roles with Portuguese companies. These platforms are especially helpful if you’re open to jobs that need some Portuguese language skills.
Recruitment agencies can also help, especially if you’re looking for work in tech, hospitality, or shared service centers. Some agencies in Portugal focus on international candidates. Signing up with a recruiter can give you access to jobs that aren’t always listed online.
Relocating to Portugal: Pros and Cons
When moving to Portugal, you’ll face benefits and challenges that you should weigh carefully. Known for its mild climate, rich Portuguese culture, and quality healthcare, Portugal attracts many with its relaxed lifestyle.
However, factors such as bureaucratic processes and language barriers may pose challenges for newcomers as they adjust to their new life.
| Pros of Living in Portugal | Cons of Living in Portugal |
|---|---|
| Portugal ranks 7th globally in the 2026 Global Peace Index. | The biometric appointment with AIMA is the main bottleneck between your visa and your residence card. |
| Portugal remains one of the more affordable places to live in Western Europe. | Housing prices in Portugal have doubled over the past decade relative to family incomes. |
| The Portugal healthcare system is robust and is accessible to all legal residents. | While English proficiency is high in Lisbon, Porto, and tourist areas, it drops significantly in rural areas and in dealings with government institutions. |
| EU membership and Schengen access. | Portugal’s salary levels are among the lowest in Western Europe. |
| Portugal has one of the mildest climates in Europe. | Parts of the Alentejo and Algarve experience extreme heat in July and August, with temperatures regularly exceeding 40°C. |
| Portugal offers access to both public and internationally accredited private schools. | Accessibility can be challenging in rural regions, where public transport options may be limited. |
| English is widely spoken in daily life, business, and public services. | Certain goods and services in Portugal are subject to higher taxes, which can increase costs. |
| Portugal introduced IFICI as a replacement for the original Non-Habitual Resident regime. | Portugal’s SNS is comprehensive in coverage, but wait times for non-urgent specialist consultations in the public system can be long. |
| Multiple residency routes for non-EU nationals. | Rural areas often lack sufficient childcare options, creating challenges for families. |
Why choose Global Citizen Solutions for your Immigration Visa?
GLOBAL APPROACH BY LOCAL EXPERTS
- GCS has offices located across Portugal.
- Members of the US-Portugal and UK-Portugal Chambers of Commerce in Portugal, and the Investment Migration Council (IMC).
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100% APPROVAL RATE
- Our successful track record in applications provides reassurance to applicants.
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