Portugal Best Cities: The 13 Best Places To Live as an Expat

With its warm climate, UNESCO World Heritage Sites, cobbled streets, delicious local cuisine, historically rich culture, and high quality of life, Portugal is an attractive destination for those seeking a new place to call home. 

Whether you’re looking for a house on a hill overlooking the ocean or an apartment in a capital city with a vibrant nightlight, one of the best places to live in Portugal. Ideal for families, remote workers, retirees, or digital nomads, this captivating country has diverse cities, each with its unique charm and appeal.

For cosmopolitan spirits, Lisbon, a modern city with all the old-world charm, stands out with its vibrant culture and appealing urban energy. Meanwhile, the Algarve region offers family-friendly beaches, the best weather, and coastal serenity for sun-soaked souls. 

Aveiro is a tranquil haven for those seeking a more peaceful existence, and Sintra’s lush natural beauty captivates the hearts of nature enthusiasts.

Coimbra, Portugal’s medieval capital for more than 100 years, is home to the country’s oldest and most prestigious university, making it a great place for students.

Choosing the best places to live in Portugal can be challenging when comparing some of the best cities and towns in the same country.

To help you make up your mind, we’ll take you on a tour of the 13 best cities to live in Portugal for expats. We’ll help you decide where you want to live, whether in mainland Portugal or sunny Madeira if you prefer the serene pace of island life. Keep reading to learn more!

Portugal Best Cities: The 13 Best Places To Live in Portugal

Lisbon

One of the absolute best cities for expats to live in Portugal is the historic capital city, Lisbon. As the largest city in the country, Lisbon boasts awe-inspiring architecture, pleasant weather, vibrant nightlife, a gorgeous city center, famous ancient churches, and historic landmarks, making it one of the most alluring European cities to live in.

Nestled along the scenic Tagus River, Lisbon is a traditional yet modern city at the same time. As you stroll through the narrow cobbled streets
of historic neighborhoods, such as Alfama and Mouraria, you’ll see medieval castles and famous ancient churches. Contrastingly, in up-and-coming areas like Santos, the cityscape transforms into a hub of creativity. Here, you’ll find sleek rooftop bars, hip cultural institutions, and a collection of modern properties.

Lisbon provides residents with the perfect balance between excitement and serenity. For those looking for activities, there is always plenty to do and see in Portugal’s capital. You can enjoy the local restaurants and museums, explore the city’s cobbled streets lined with colorful buildings, go to live concerts, eat the famous pastal de nata, explore nearby beaches, and more.

Lisbon also has all the amenities of a big city: hospitals, banks, schools, bustling cultural events, expansive shopping malls, a comprehensive public transport network, modern properties, and more.

Natural wonders also make Lisbon a picturesque setting as one of the most enchanting cities in Portugal. Beautiful gardens, such as Edward VII Park, are spread out across the city. You’ll also find many viewpoints (miradouros) overlooking the fabulous Tagus River.

Not to mention that Lisbon also boasts an international airport, making traveling back home easy and convenient.

The Portuguese capital is a very safe city, which provides locals with a sense of peace and well-being.

Regarding real estate, property prices in Lisbon vary significantly depending on where in the city you are. Consider exploring areas outside the city center and popular beachside areas to find more affordable options.

Why choose Lisbon?

Lisbon is also one of Portugal’s best places to live as an American. This Portuguese city has a vibrant community of expats, making it the best place for English speakers to live. However, we highly recommend learning a few words in Portuguese—this will help you integrate into the city and carry out everyday activities smoothly.

Cost of living in Lisbon

Porto

Porto is a charming port city located along the Douro River estuary in Northern Portugal. It’s celebrated for its distinctive character, cobbled streets, port wine, and culturally rich heritage, making it one of the most popular cities for expats in Portugal.

From homes on the hill overlooking the enchanting riverfront to apartments inside whitewashed buildings, there’s something for everyone in this former resort town turned into the country’s second-largest city, Porto. Porto’s historic center, recognized as a UNESCO World Heritage site, is dotted with medieval and baroque architecture, including the landmark Clerigos Tower and the Livraria Lello bookshop.

As the country’s port wine-making region, Porto is surrounded by world-class wineries and vineyards where you can try some of the country’s finest bottles paired perfectly with authentic local cuisine.

This Portuguese city also has some great neighborhoods to live in, such as Foz do Douro, Riberia, Boavista, Campanha, and Avenida do Aliados. While it may be slightly colder than other regions, it’s still considered one of the best places to live in Portugal by the sea.

Why choose Porto?

Porto is a cheaper and smaller city than Lisbon, so it’s ideal for those on a budget. However, it has several cosmopolitan amenities, such as a big city airport and great public transport. As a popular tourist destination, this resort town has much to offer in terms of unique sites and experiences.

It has also become an upcoming hub for the start-up scene, with many expats relocating to this beautiful city to start a business or join start-up companies.

Not by chance, Porto’s large expat community provides new residents with a supportive network, fostering a sense of belonging and easing the transition into Portuguese culture and daily life.

Cost of living in Porto

Faro

Faro is the main city of the Algarve, Portugal’s southernmost region. It’s renowned for its coastal beauty, hot summer weather, historical significance, delicious seafood, and pleasant all-year-round weather.

Aside from some of the best weather in Portugal, this balmy coast is also praised for offering locals and visitors access to some of Portugal’s most picturesque beaches, making it one of the best places to live in Portugal by the sea. 

Another advantage of living in Faro is that the city is located just a two-hour drive from the capital city and less than an hour’s drive from the Spanish border, meaning you’ll have plenty of day trip opportunities to explore the neighboring country. It also has an international airport, making traveling back home easy. 

With a booming real estate market, Faro is a comfortable city to live in in southern Portugal. Rental property prices are cheaper than in Lisbon and other major cities. Prices drop as you leave the historical center.

Ideal for

Due to its slow pace of living and some of the best weather in the country, Faro is one of the best cities in Portugal for retirees.

Cost of living in Faro

Viseu

If living in a big city is not for you, Viseu is your best bet. Located in Central Portugal, it has been ranked as the best city to live in Portugal multiple times and one of the best cities in Europe. This is due to Viseu’s excellent quality of life, great weather, excellent education, efficient public transportation, and outstanding healthcare system.

In Viseu, housing is not expensive compared to other cities in Portugal, and the job market is thriving. The city’s rich heritage and eye-popping Renaissance architecture are also very charming. Not to mention that Viseu is surrounded by nature, so living there is perfect for hikers and outdoor enthusiasts.

Ideal for

Considerably less well-known than major cities like Lisbon and Porto, this small rural town with a rich heritage is a perfect place to live for expats looking for an affordable, tranquil, and top-quality lifestyle.

Cost of living in Viseu

Évora

Évora is a place that boasts a rich history and century-old architectural marvels, and for that reason, it’s often considered one of the most beautiful European cities. It is the main city of the southcentral region of Portugal called Alentejo, an area located south of Lisbon that traverses across the Silver Coast all the way to the Spanish border heading east.

This ancient medieval city was built on the remains of an ancient fortress. Not by chance, Évora is filled with relics of medieval architecture and many Gothic, Renaissance, and Baroque buildings. One of Évora’s most famous historical sites is the mysterious Roman Temple of Évora, which is listed as a national monument.

The walled city of Évora is relatively small in size, so you’ll be able to stroll around the historic center with ease. In fact, if you choose to live in this historic city dating back to the Middle Ages, you will enjoy a very relaxed pace of living, especially compared to other cities in Portugal.

Compared to bigger cities such as Lisbon and Porto, Évora offers fewer employment opportunities. However, the city generally offers a cost of living that is more reasonable compared to larger urban centers. Housing and daily expenses, including dining out and groceries, are often more affordable, contributing to a comfortable lifestyle for residents.

Ideal for

The peaceful ambiance and slower pace of life in Évora contribute to a quality of life and make the city one of the best places to live in Portugal for families.

Cost of living in Évora

Sintra

The magical town of Sintra is not only one of the best places to visit in Portugal but also one of the best cities to live in the country.

With a rich history dating back to centuries ago, Sintra was intended for the Portuguese royal family to spend the summer months.

Made up of century-old constructions like the colorful Pena Palace and the commanding Moorish Castle, beautifully surrounded by dense, lush vegetation, the entire cultural landscape of Sintra is a designated UNESCO World Heritage Site. 

This irresistible combination of natural beauty and historic flair makes Sintra one of the most beautiful places in Portugal. 

Beach lovers can also go north along the stunning coastline and explore the nearby beaches. They’ll come across the quaint villages and beautiful small towns of the Silver Coast region. The fishing town of Nazaré, famous for its massive waves, is the area’s most famous coastal town. There, you can watch the surfers testing their mettle against the Atlantic Ocean.

Ideal for

The proximity to some of the world’s finest seaside escapes makes Sintra one of the best places to live in Portugal near the beach.

Cost of living in Sintra

Aveiro

With its meandering canals, vibrant Moliceiro boats gracefully passing by, and delectable cuisine, Aveiro has earned the reputation of being the Venice of Portugal.

Moreover, if you’re considering relocating to this small city, you’ll discover that properties are relatively affordable compared to other regions in Portugal.

Another advantage is that you’re conveniently located close to Porto, Coimbra, and the serene Silver Coast.

Ideal for

For those seeking an authentic and historically rich place to live in Portugal, Aveiro fits the bill perfectly.

Cost of living in Aveiro

Leiria

Leiria, located northeast of Nazaré, is a captivating city abundant in history, sunshine, and delightful Portuguese cuisine. The city boasts remarkable attractions such as a medieval castle, recognized as a UNESCO World Heritage Site, and numerous churches.

Additionally, Leiria is renowned for its international living and substantial expat community, drawn to its leisurely lifestyle and close proximity to the Silver Coast.

One of the most enchanting aspects of Leiria is its charming old town, which provides a glimpse into the medieval era.

Ideal for

If you yearn for tranquility, authenticity, and the freedom to visit the beach whenever you desire, Leiria might just become your ideal new home.

Cost of living in Leiria

Cascais

Cascais is a charming coastal town situated just beyond Lisbon. Often hailed as the Portuguese Riviera, it’s one of the best places to live in Portugal by the sea. The entire Atlantic coastline is dotted with stunning beaches that provide a relaxing escape from the hustle and bustle of Lisbon city life.

Among the best beaches in Cascais are Praia de São Pedro do Estoril and Tamariz Beach. Praia da Rainha (Queen’s Beach), with its trendy beach cafés, is also a favorite for locals and visitors alike.

Apart from discovering beautiful beaches, other key activities in Cascais include strolling through the historic center, indulging in delectable fresh seafood (part of the local cuisine), and having leisurely walks along the seaside promenade.

But there’s more to Cascais than family friendly beaches, a charming city center, and historic buildings. This coastal gem of a town also has a high quality of life, aside from being home to some of the best international schools in Portugal. In addition, Cascais is home to plenty of luxurious real estate properties, so do expect higher property prices there.

Ideal for

Living in Cascais is a great bet for families and retirees seeking a beautiful and luscious place to call home.

Cost of living in Cascais

Coimbra

Coimbra, a historic university city nestled along the banks of the Mondego River, stands as one of the best cities to live in Portugal for a multitude of reasons. 

Steeped in centuries of academic tradition and known for its vibrant student life, Coimbra was Portugal’s medieval capital for more than a century and is home to the country’s oldest and most prestigious university, the University of Coimbra (UC).

Apart from a vibrant student life, the city flaunts enchanting medieval architecture, winding cobblestone streets, and a hilltop university campus, offering residents a unique blend of past and present. 

However, compared with cities like Porto and Lisbon, Coimbra has fewer employment opportunities. Fortunately, the city’s relatively lower cost of living compared to larger metropolitan areas is also a notable draw for expats.

Additionally, its central location within the country grants easy access to Portugal’s diverse landscapes, from pristine beaches to lush forests. 

Ideal for

Coimbra invites expats and locals alike to experience the enchantment of living in a historic university city. With a strong sense of community, a rich cultural heritage, and a high quality of life, Coimbra is one of the best Portuguese cities for students and retirees.

Cost of living in Coimbra

Funchal (Madeira)

Funchal is the capital city of the Madeira archipelago, an autonomous region of Portugal located off the northwest coast of Africa.

Despite being the sixth largest city in Portugal, Funchal is surrounded by lush green mountains and overlooks the Atlantic Ocean. The city’s natural beauty, combined with well-maintained parks and gardens, creates a stunning and tranquil living environment.

In addition, the natural landscape of Funchal provides ample opportunities for outdoor activities. Residents can explore hiking trails, enjoy water sports, or simply relax on the beautiful beaches.

Portugal, in general, is known for its safety, and Funchal is no exception. The city has a low crime rate, contributing to a sense of security for residents. Not to mention that Funchal offers a high quality of life with a range of amenities, including healthcare, education, and recreational facilities.

Funchal has a rich cultural heritage, evident in its historic architecture, museums, and festivals. Residents can immerse themselves in the local culture, enjoying traditional events, music, and art. The city is also a foodie’s haven, well known for its fresh seafood and world-class wine.

Ideal for

The city’s combination of natural beauty, cultural richness, mild climate, and laid-back lifestyle makes it one of the best places to live in Portugal for remote workers who have chosen island life.

If what you’re looking for is peace and serenity far from Lisbon and Porto’s hustle and bustle, Funchal is the place to go.

Cost of living in Funchal

Ponta do Sol, Madeira: the Digital Nomad Village

Another amazing place to live on Madeira Island is Ponta do Sol. Also known as the “Sunniest Place in Madeira,” the city enjoys a microclimate that results in more sunny days compared to other parts of the island. The mild and sunny weather contributes to a pleasant environment for international living.

The town is surrounded by beautiful landscapes, with the Atlantic Ocean on one side and mountains on the other. The picturesque setting, surrounded by green hills, terraced fields, and beautiful beaches, creates the perfect backdrop for outdoor activities.

One of the reasons why there are so many expats moving to Ponta do Sol is the Digital Nomads Madeira project, which is a digital nomad village that welcomes up to 1,000 remote workers at a time.

If you live in Madeira’s Digital Nomad Village, you will have access to the Slack community, continuous fun activities, and events that are aimed at fostering networking and meeting new people.

Ideal for

Ponta do Sol is also one of the best places to live in Portugal for expats and digital nomads.

Cost of living in Ponta do Sol

Ericeira

Located on the western coast of Portugal, Ericeira is a charming town that has gained popularity among expats.

Moreover, Ericeira is known for its consistent waves and has become particularly renowned as a world-class surfing destination.

This picturesque seaside town maintains a laid-back and relaxed atmosphere. The slower pace of life, combined with the sound of crashing waves, creates a tranquil environment that appeals to expats seeking a more peaceful lifestyle.

Ericeira has also preserved its traditional Portuguese charm with narrow streets, white-washed buildings, and a historic center. The cultural richness adds character to the town, making it an authentic and welcoming place to live in Portugal.

Ideal for

The town is situated only an hour’s drive from Portugal’s capital, along the rugged coastline of the Atlantic Ocean, making it one of the best places to live in Portugal by the sea.

Cost of living in Ericeira

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Frequently Asked Questions about the Best Cities to Live in Portugal for Expats

How can I live permanently in Portugal?

There are several visa options available for foreigners to live permanently in Portugal. These include the Golden Visa scheme and the Portugal D7 Visa.

What are the best places to live in Portugal for expats?

Portugal has its fair share of beautiful cities. Some of the best places to live in mainland Portugal for expats are Lisbon, Porto, Faro, Viseu, and Évora.

What is the best place to live in Portugal by the sea?

Depending on the type of lifestyle you are looking for, Lisbon and Faro are some of the best places to live in Portugal by the sea. Porto, with its charming cobblestone streets, is also a top place to consider.

Can I get a Portuguese passport as a non-European citizen?

Yes, you can get a Portuguese passport as a non-European citizen. Thanks to the Portugal Golden Visa Program, it is possible for investors and their families to get a Portuguese passport in five years in exchange for a minimum investment into the country’s economy.

What are the best cities in Portugal to retire to?

The are so many incredible Portugal cities to live and retire to. Some of the best include Faro, in the Algarve region, Lisbon, Porto, Viseu, and Cascais. They offer safety, beautiful landscapes, infra-structure, and high-quality of life.

What are the biggest cities in Portugal?

The biggest Portuguese cities are Lisbon, the Portuguese capital,  Porto, Vila Nova de Gaia, Braga, and Amadora.

What are the most famous cities in Portugal?

Some of the most famous cities in Portugal are Lisbon, the captivating capital, Porto, Sintra, Faro, Coimbra, Braga, and Setúbal.

Where is the nicest city in Portugal?

There are many stunning cities in Portugal, each nice in its own way. Some of Portugal’s best cities to live in are Lisbon, Porto, Coimbra, Aveiro (aka the “Venice of Portugal”), Viseu, and Faro.

Which cities in Portugal have the best shopping opportunities and markets?

Lisbon, the capital, stands out with its diverse range of shopping districts. Porto, known for its rich history, boasts charming streets lined with shops, lively marketplaces such as Mercado do Bolhão, and shopping malls.

Coimbra also offers a unique shopping scene centered around its city center.

Which cities in Portugal have the most accessible public transportation systems?

When it comes to convenient public transportation, Portugal’s cities have a lot to offer. Some of the Portuguese cities that have the best public transportation network with buses, trams, and a metro system are Lisbon, Porto, and Coimbra.

What are the top cities to visit in Portugal for wine and vineyard experiences?

Portugal is known for its excellent wines, and there are several cities that offer exceptional wine and vineyard experiences. One of the best is Porto, in the famous Douro Valley region, which produces the renowned Port wine. The Alentejo region is also a world-class wine-making region.

Which cities in Portugal offer the best options for water sports and activities?

With a stunning coastline, Portugal presents excellent options for water sports and activities. The best Portuguese cities for watersports are Nazaré, Peniche, Ericeira, Sintra, Cascais, and the Algarve region.

What are the hidden gem cities in Portugal that are worth visiting?

In Portugal, there are plenty of hidden gem city ties that promise enchanting experiences for travelers. Some of the best are Aveiro, often referred to as the “Venice of Portugal,” Covilhã, nestled in the Serra da Estrela mountains, and Guimarães, one of Portugal’s oldest cities and a UNESCO World Heritage Site.

What is the oldest city in Portugal?

With over 2000 years of history, Braga is the oldest city in Portugal. Located in Northern Portugal, Braga is also famous for the hillside church of Bom Jesus do Monte, one of Portugal’s most famous religious sites.

Where do the most expats live in Portugal?

These are the Portugal best cities to live:

• Lisbon
• Porto
• Évora
• Faro
• Aveiro
• Viseu
• Ponta Delgada
• Funchal
• Cascais
• Sintra
• Ericeira
• Leiria
• Coimbra

What are the best places to live in Portugal for English speakers?

Portugal has cities that are popular among English speakers. Some of the best places to live in Portugal for English speakers include:

• Lisbon: The capital city attracts a diverse expatriate community.
• Porto: In Portugal’s second-largest city, many people, especially in business and tourism, speak English.
• Cascais: This coastal town is a popular choice for English speakers due to its picturesque setting and great international schools.
• Algarve: The southern region of Algarve is home to a robust community of British expats. English is widely spoken in the region.

What are the best coastal towns to live in Portugal?

The 10 best coastal towns to live in Portugal are:

• Cascais;
• Faro;
• Portimão;
• Ericeira;
• Albufeira;
• Peniche;
• Sesimbra;
• Nazaré;
• Lagos;
• Costa Nova (Aveiro).

What are the quieter, more rural places to live in Portugal?

The 10 best small towns to live in Portugal are:

• Viana do Castelo;
• Monsaraz;
• Evora;
• Olhão;
• Aveiro;
• Porto Covo;
• Torres Vedras;
• Tavira;
• Vila Real de Santo Antonio;
• Monsanto.

What areas in Portugal are best for families with children?

The 10 best places in Portugal for families are:

• Lisbon;
• Cascais;
• Funchal (Madeira);
• Porto;
• Palmela;
• Costa da Caparica (Lisbon);
• Braga;
• Coimbra;
• Aveiro;
• The Algarve.