For decades, Spain has topped the list of dream destinations for expats. Yet, as living costs surge, particularly in Madrid and Barcelona, many are looking westward — toward Portugal.
Offering a similar Mediterranean charm but at a fraction of the price, Portugal has become the go-to country for remote workers, retirees, and digital nomads.
Affordability Leads the Way
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The average rent for a one-bedroom apartment in Spain: €972 per month.
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In Portugal: around €650–700, with total monthly costs averaging €1,285.
Portugal’s cost of living is nearly 38% lower than in the UK, according to Numbeo.
This affordability, paired with high quality of life, makes it a perfect base for retirees and entrepreneurs alike.
Digital Nomad Visa: Portugal’s Winning Card
Introduced in 2022, Portugal’s Digital Nomad Visa has accelerated its appeal.
It allows remote workers to reside in Portugal while working for foreign companies, provided they earn at least €3,480 per month.
Compared to Spain’s tougher visa and income requirements, Portugal offers a simpler and friendlier system for modern professionals.
Tax-Friendly for Retirees
Portugal’s minimum income requirement for residency is €870 per month, far below Spain’s €30,000 annual threshold.
This policy has turned Portugal into one of Europe’s most retirement-friendly destinations, combining affordability with stability.
Lifestyle and Climate
Portugal offers a sunny, balanced lifestyle with easy access to beaches, vineyards, and mountain escapes.
Lisbon and Porto blend history with innovation, while the Algarve provides endless sunshine and seaside tranquility.
Community and Belonging
Portugal’s strong expat networks make settling in seamless. Locals are famously welcoming, helping newcomers build meaningful connections while enjoying the country’s relaxed pace and vibrant culture.
Conclusion
As costs rise across Spain, Portugal emerges as Europe’s new expat capital — affordable, digital-friendly, and deeply human.
A place where Mediterranean living meets modern opportunity.