Low-cost relocation to Portugal

Planning a low-cost relocation to Portugal? Check out the 15 cheapest cities to live in Portugal in our latest article.

Living in Portugal is the dream of many people around the world. But contrary to what you may think, it is not necessary to pay dearly to live well. Discover some of the 15 cheapest cities to live in Portugal.

Find out what these cities have in common, and what it’s like to live in each one of them. Follow up!

Get to know some of the cheapest cities to live in Portugal

We did extensive research on Portuguese cities to find the final list. Here, you will find cities with populations between 50,000 and 200,000 inhabitants. That is, neither too small nor too big. Furthermore, it was essential that they have their own economy and a strong local culture. Data in this article was acquired from official portals and trustworthy reports, which you can access on the websites Pordata, Idealista, and Climate data.

Without further ado, welcome to the cheapest part of Portugal!

1. Castelo Branco

The city of Castelo Branco is located in central Portugal, near the Spanish border. So it means it’s halfway between Lisbon, Porto, and Madrid. Castelo Branco is a traditional and cultural place, with wholesale and retail trade as its main economic sector. For those who want to study in Portugal, Castelo Branco has a polytechnic institute.

Day-to-day life is quiet, and Castelo Branco residents benefit from little traffic. In fact, many residents only get around by bicycle. Living here, you get to enjoy many green areas and historical monuments to visit.

The climate in Castelo Branco is mild and pleasant. In winter, however, it usually rains a lot. The average in January is 7.6 °C (45.8 °F), and in August it is 25 °C (77.1 °F).

2. Santarém

Just an hour away from Lisbon, the city of Santarém, in the Santarém district, is one of the cheapest cities to live in Portugal. It’s also much calmer than the Portuguese capital, in what is called the Ribatejo region.

Although in the interior of Portugal, Santarém is a developed city, with good employment opportunities and excellent accessibility.

The local economy is traditionally focused on agriculture and livestock, and the Gothic monuments give the city a unique charm. Here, the weather is usually warm and humid, with mild temperatures throughout the year and cold and rainy winters. The average temperature in January is 9.9 °C (49.7 °F), and in August it is 23.2 °C (73.8 °F).

3. Viseu

Viseu, in the centre of Portugal, is one of the most famous cities to live well with little money. About 130 km from Porto, Viseu is another countryside town that has attracted many foreigners to restart their lives lately.

In addition, in the Portugal City Brand Ranking 2021, Viseu was considered the 5th best city to live in the entire country. Access to public health is great, the streets are calm and clean, and the city is also rich in history. Viseu definitely deserves the highlight it has. In other words, you should definitely have it on your list.

Winter is very cold, and the average temperature in January is 6.5 °C (43.6 °F). As for summer, it tends to be very much warmer and dry, and in August the average temperature is 21.6 °C (70.8 °F).

4. Viana do Castelo

The city of Viana do Castelo owns some of the most beautiful landscapes in Portugal and is located in the far north of the country. It is known as the Pearl of the Minho region, and still, it has one of the lowest costs of living.

In addition to the beauty of the beach, greenery, and historical monuments, residents of Viana do Castelo have good job and study offers. It is, though, much quieter than Porto, located 70 km south, but still pleases families.

The city is subject to strong Atlantic winds, with very cold and rainy winters and average temperatures in January of 9.5 °C (49.1 °F). In summer, there are a few days of intense heat, and in August the average temperature is 20.5 °C (68.9 °F), good enough to enjoy the beaches.

5. Figueira da Foz

Beautifying the Portuguese Silver Coast, Figueira da Foz is also one of the cheapest cities to live in Portugal. It is just 50 km from Coimbra, 200 km from Lisbon, and 140 km from Porto. It is, therefore, a great option for those looking for an environment close to big cities, but with silence and beautiful views.

Figueira da Foz is a city of great tradition and historical importance, being one of the main cities to visit in the Centro region. The city’s extensive beaches attract people from all over the country, and the city’s lifestyle mainly appeals to those looking for calm days.

The average in January is 10.9°C ( 51°7F), and in August it is 19.9°C ( 67.9°F).

6. Ponta Delgada

Have you ever thought about living on an island in the middle of the Atlantic Ocean? You’ll be glad to know that Ponta Delgada, the capital of the Azores archipelago, is also one of the cheapest cities to live in Portugal. And, of course, quality of life here hardly disappoints anyone. Welcome to the island of São Miguel!

The Portuguese archipelago of the Azores is famous for its breathtaking natural settings, and living in Ponta Delgada is an affordable dream.

Unlike most of Portugal, Ponta Delgada has a tropical climate. That means that temperatures don’t change as much in each season, and the weather is always pleasant. The average temperature in January is 14.5 °C (58.2 °F), and in August it is 22.1 °C (71.8 °F). Sure, it rains a lot here, but it’s worth it if it’s for keeping Mother Nature happy.

7. Alcobaça

Located in the central-western region of Portugal, Alcobaça is a deeply cultural city and a great place to live. At only 110 km from central Lisbon, Alcobaça holds some of the most important monuments to Portuguese history.

Residents of the small town of Alcobaça benefit from a relaxed standard of living. In addition to access to culture, living in Alcobaça allows you to have contact with incredible natural environments in the surroundings. In other words, from Serra dos Candeeiros to the Atlantic Ocean.

Living here is ideal for those looking for a calm small town in central Portugal. The average temperature in Alcobaça in January is 10,5 °C (50,9 °F), and in August it is 21 °C (69,8 °F).

8. Évora

Also known as the city museum, Évora is one of the most important cities in the Alentejo region. It’s in a south-central location, below Lisbon and above the Algarve, surrounded by vineyards, extensive plantations, and cattle raising. The city itself is protected by centuries-old walls, and the streets are full of history.

Living in Évora is to be living inside a UNESCO World Heritage. Its churches, Roman ruins, and university enchant any visitor. And also, the capital of Alentejo was considered the best city to live, visit and do business in the region by the Portugal City Brand Ranking 2021.

At 140 km from Lisbon, life here is marked by good quality of life. Évora is a small town, but there is no lack of essential services for its residents. The average temperature in January is 9.2 °C (48.6 °F), and in August it is 24.8 °C (76.7 °F).

9. Póvoa de Varzim

The humble yet beautiful small town of Póvoa de Varzim is also one of the cheapest cities to live in Portugal. It is located only 35 km from central Porto, the capital of the northern region of the country. Besides being close to many big companies, Póvoa de Varzim has also been a renowned bathing beach for centuries, the most popular in the north.

Living in Póvoa de Varzim, you can expect a calm lifestyle, with the great advantage of being very close to a metropolis with a lot of life. The buildings are newer than in Porto, in addition to being cheaper, and there is no lack of good infrastructure.

As for the weather, the average temperature in January is 11 °C (51,8 °F), and in August it is 20 °C (68 °F). It’s in the colder region of Portugal, but still a great summer destination.

10. Aveiro

Aveiro is one of the most famous cities in Portugal. Also known as the Portuguese Venice, Aveiro has channels of water that enter the city, where the traditional Moliceiros boats sail. It is well located on the Silver Coast, at 250 km from Lisbon and 75 km from Porto.

As you can imagine, life in Aveiro is usually calm and blessed with beautiful views. The city is near the beach and has a great university, good schools and hospitals, but still feels like a small town. However, the labour market is still lively and there are many good companies in the city.

Also, if you’re a fan of mild to cold weather, Aveiro will please you. The average temperature in January is 9.8 °C (49.6 °F), and in August it is 21.8 °C (71.2 °F).

11. Caldas da Rainha

Known to be the birthplace of many significant figures of Portuguese cultures, Caldas da Rainha is uniquely remarkable. Since the popularity of the Silver Coast, it has also gained admiration. However, it still remains one of the cheapest cities in Portugal to live in. The city is located nearly an hour away from Lisbon, approximately 92.6 km, and twice the distance from Porto. 

Here you’ll find the colourful Praça da República, the only fresh fruit and vegetable market that opens daily. You can spend the perfect Sunday munching on the town’s famous desserts or fresh fruits while sitting nearby a beach. 

Caldas da Rainha has a higher percentage of foreigners than other cities we’ve talked about above. The numbers are thanks to international students who’re enrolled in universities here. The weather is pleasantly chilly; January is the coldest at 10.7°C and the hottest month is August at 20.9 °C.

12. Portimão

Portimão is at an ideal location between Central and Western Algarve. But, despite being one of the biggest cities in Southern Portugal, you’ll be surprised to know that it isn’t crowded. In the summertime, thousands of tourists stay here to enjoy the attractions and beaches nearby. Here, you find a big ex-pat community, like anywhere in the Algarve, but also a considerate number of Portuguese families. It’s considerably far from Lisbon and Porto, about 281km and 554km, respectively. This is a huge plus point for many because they prefer living at a distance from bustling cities.

Portimão may be a city, but it’s still quite small and you can live here without a car, for example. There are malls, hospitals, and many hotels and restaurants. If you’re tired of the amazing beaches around Praia da Rocha, Portimão also has excellent outdoor areas for exercise, in case you feel like enjoying the warm Algarve weather. It’s also got proper public transport making it easier to explore the city, but at your own slow pace.

In Portimão you get to live far away from the chaotic metropolis and enjoy the perks of a developed city. As for the weather, the hottest month is August at 30.2 °C and the coldest is January at 1.2 °C. 

13. Braga

Braga feels like a delicious cup of coffee that warms your soul. It’s one of the oldest cities in Portugal, with beautiful historic streets, buildings, and super friendly locals. Braga is situated on the northeast side of Porto, almost 40 minutes away from Porto’s city centre. 

As you can tell by looking at the data in the table below, Braga has the highest number of inhabitants. It’s one of the most important cities in Portugal, but it’s also quite affordable. The city has excellent housing offers; rent is cheap, so it’s home to many families, university students, and pensioners.

The museums, theatres, and galleries always have diverse activities to keep you entertained and connected to the culture. Also, it experiences slightly chilly winters, with the lowest temperature being 7.4 °C in January. August is the hottest but still pleasant at 20.9 °C.

14. Beja

Beja is a small city considered the capital of the southern Alentejo region. It’s located nearly 2 hours from Lisbon, with a peaceful atmosphere and mouthwatering cuisine, in a hilly area in central-southern Portugal. Beja has a unique tranquillity thanks to its ancient origins and landmarks, and like all the region, strong ties to agriculture.

The town’s main square, Pelourinho de Beja, is a cosy terrace where you can sip coffee and enjoy the weather. If you’re up for some thrill, you can go on a hot-air balloon trip, go off-roading, cycling, or kayaking!

You’ll love Beja if you’ve lived in cold regions your entire life but also enjoy the warmth of summertime. The temperature in summer goes up to 32.6 °C, but you can also enjoy chilly winters at 5.6 °C.

15. Sines

Our list of cheapest cities to live in Portugal ends with Sines, a small seaside town on the Alentejo coast. You can travel to and from Lisbon in roughly an hour and a half, with a distance of only 159km. In fact, many Lisbon residents spend their holidays in this area.

Fun fact: The great Portuguese explorer Vasco da Gama was born in Sines! His statue stands tall behind the castle walls where he grew up, known as Monumento do Vasco da Gama. 

The city is popular for fishing and surfing on its incredible ultramarine beaches. Would you like to know the best part? The population is significantly lower than in other cities we’ve talked about! So you can fully relax by the beach or go check out the yearly Sines Music Festival.

As for the weather, August experiences temperatures up to 22.5 °C, while January is the coldest with 10.9 °C. 

Why is it cheaper to live in smaller cities?

You may have noticed that the cheapest cities to live in Portugal have some things in common. Besides being known for the quality of life, they have a low crime rate, mild climates, and low population density.

We came to the conclusion that living in a smaller city, like those we presented, benefits you with a more egalitarian and better standard of living.

Sure, living in Lisbon is great. Living in Porto is also amazing. And living in the Algarve is no worse.

But living in a small town in Portugal is a completely different experience. You, as an ex-pat, get to explore the rough, real Portugal. Far away from tourism and the crowds. A much more authentic and cheap way of life.

What is the cost of living in Lisbon, Porto and the Algarve?

The cost of living in Lisbon is the highest in Portugal. The Algarve region is also known for its foreign inhabitants with high standards and high expenditure, so this region comes in second. Porto comes as a close third.

In relation to rent, the average price for one-bedroom apartments in Lisbon is €650, in Porto €550 and in Faro €450.

These are also the most famous places in Portugal, so it may be more expensive to live here. Living in Lisbon, Porto, and the Algarve are the most common choices ex-pats make. But they are not necessarily better. Living well goes beyond the price you pay for your rental.

What is the best city in Portugal to live in?

There isn’t a “best city” in Portugal for everyone. The truth is that Portugal is a diverse and fantastic country, with many enchanting cities. You are the only person who can tell which of the Portuguese cities is best for you.

That’s why we recommend you to visit Portugal before relocating so that you know first-hand what life’s like here. Go on a scouting trip to Portugal to make your decision with certainty!

Article by Viv Europe - Official Legal and Relocation Partner to KipperTree.

Read the full article here