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Cost of Living in Portugal in 2025
Living in Portugal remains one of the most attractive options in Western Europe. With its Mediterranean climate, low crime rates, diverse landscapes, and overall affordability compared to the UK and USA, Portugal continues to draw expatriates and investors.
🏡 Housing
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Property purchase (2025):
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Lisbon: ~€4,150/m²
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Porto: ~€3,180/m²
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Algarve: ~€3,850/m²
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Rent:
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Lisbon: ~€1,700/month for a one-bedroom apartment
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Porto: ~€1,200/month for a one-bedroom apartment
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Funchal (Madeira): ~€1,000/month for a two-bedroom apartment
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💡 Household Bills
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Electricity and water: €90–130/month depending on property size
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Fiber internet: ~€50/month
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Bills are usually issued every two months
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In warmer regions, air conditioning can increase electricity costs
🛒 Food and Groceries (2025)
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Milk (1L): €0.90
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Bread (500g): €1.40
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Eggs (12): €2.60
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Cheese (1kg): €8.50
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Apples (1kg): €2.00
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Bananas (1kg): €1.30
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Mid-range wine: €5.00
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Average grocery basket: €243.65/month (+4.5% vs 2024)
🍽️ Dining and Leisure
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Three-course meal for two: ~€45
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Coffee/cappuccino: €1.60
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Cinema ticket: €7–8
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Theater: €10–40
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Concerts/opera: €15–90
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Museums and attractions: €10–75
🚆 Transport
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Monthly pass Lisbon: €40
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London: >€150; New York: US$127
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Carpool services like BlaBlaCar remain popular
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Major airports: Lisbon, Porto, Faro, Madeira, Azores
🏥 Healthcare
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National Health Service (SNS): €5 for a basic consultation, €15 for emergency care
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Private insurance optional, but far cheaper than in the USA
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241 hospitals nationwide, half of them private, many internationally accredited
🎓 Education
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Daycare: €250–500/month
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Public schools: free
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International schools: €5,000–15,000/year
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Universities: €3,000–4,000/year for international students
✅ Conclusion
In 2025, Portugal’s cost of living remains about 25% lower than the UK and up to 60% lower than the USA. Despite rising housing and food prices, Portugal continues to be one of the most desirable destinations in Western Europe, combining climate, culture, and safety with competitive living costs.