Portugal Reality vs Expectations: 5 Things You May Not Know

Updated: July 23, 2025

Portugal seems to have had a magnetic pull on foreign buyers, expats, and tourists in recent years, with the country now well-known on the world stage as one of the top destinations to live, visit, and invest in.

However, while expectations of Portugal are usually painted with the idyllic brushes of sunshine, gorgeous beaches, and affordability, there are some aspects that may come as a surprise.

Here, we unpack ten aspects about life in Portugal that you may not be aware of, alligning Portugal reality vs expectations.

1. Expectation: The Cost of living in Portugal is Low

Reality: Despite price increases, especially in Lisbon and other major cities, you will be able to enjoy an affordable lifestyle in Portugal, with many things cheaper than in many other European countries and the USA.

Living costs

From dining out to groceries, the cost of living in Portugal remains affordable compared with other EU countries, particularly when you leave Lisbon. For example, the cost of living is around 27 percent cheaper than in the UK, 29 percent lower than in France, and 29 percent lower than in the USA, according to Numbeo.

Real estate

Property prices have increased significantly over the past years, with property prices in Lisbon and the Algarve having increased by more than 100 percent since 2017, and rental prices also having risen dramatically in hotspot locations, according to analyzing data from the real estate databank, Confidencial Imobiliário.

However, despite price hikes, compared with other Western European countries, particularly European cities such as London and Paris, Portuguese real estate remains on the lower end, particularly when buying outside popular locations and urban areas, where you may be surprised by property prices. The North of Portugal, Central Portugal, and the Alentejo offer exceptional value for money. Property prices in these regions average at €1,903, €2,098, and €3,181 per square meter, respectively.

2. Expectation: A Seamless Transition into Portuguese Life

Reality: While your transition into Portuguese life can be very straightforward, do factor in the bureaucracy, which can take some time to get used to.

As with moving to any country, there are some bureaucratic hoops that you’ll need to jump through, such as:

Securing Portuguese residency
Getting accommodation (for many residence permits, you will need to show proof of accommodation)
Getting a Portuguese NIF (Tax Identification Number)
Opening a Portuguese bank account
Registering for healthcare, social security, and taxes
Getting a job (if applicable)

If you are organized, you should have few problems, although you may face delays as the process of some bureaucratic processes can be slower than what you may be used to. If you seek professional help, this will greatly help you get set up in Portugal.

If you are unsure which Portuguese residency visa could be best suited to your needs, our residency and citizenship division, Global Citizen Solutions, would be more than happy to discuss your options with you. They’ll be able to ensure that you are on the right track – you can get in touch with them here.

3. Expectation: Endless Sunshine and Warm Days All Year

Reality: Portugal has arguably the best climate in Europe, but the country has seasons, and it can still get cold.

While the Algarve enjoys over 300 days of sunshine each year and Lisbon is well known for its incredible climate, Porto and Northern Portugal can experience a milder climate, particularly in the winter months. Plus, many properties, particularly older houses, can lack central heating, meaning that they can get cold inside, even in the winter months. Make sure to check this before renting or buying property.

In the summer months, it can get quite hot, although the long coastline ensures that there is a breeze in many parts of the country, meaning that it does not often get unbearably hot. However, you can always invest in air conditioning to be on the safe side if you are living in one of the warmer parts of Portugal.

Portugal’s mild climate is exceptional, however, and it is possible to enjoy outdoor activities throughout the year. Even in the depths of winter, you’ll be able to enjoy the beautiful landscapes to the fullest and sun-filled days on the beach.

4. Expectation: English Will Get You Everywhere

Reality: English is widely spoken in the hotspot locations, such as Lisbon and the Algarve, but in smaller towns or when handling bureaucratic matters, it is worth learning some basic Portuguese.

Portugal ranks very highly when it comes to English proficiency, ranking in sixth position in the latest English Proficiency Index, above countries such as Denmark, Germany, and South Africa. Particularly in the more international areas, you should have no problems getting by with English, although in smaller towns and rural areas, it will definitely come in handy. Plus, it will make it easier to integrate into Portuguese society.

There are several options to learn Portuguese, whether you are looking for a 1-on-1 teacher, online classes, or group courses. Portuguese friends and locals will also help you on your learning journey.

Realty: While Portuguese locals are warm and welcoming and have been ranked as the most welcoming country in the world in a recent study by InterNations, building a strong support network can take effort, as it would to relocate to any new country.

However, it is relatively easy in Portugal to make new friends and build your network. There are strong expat communities in many parts of Portugal, including Lisbon, the Algarve, and Porto. There are also countless activities to get to know fellow expats and locals, from golfing to water sports activities, and many online expat groups and Meetup groups.

Why consider Portugal?

Portugal has become a firm favorite for many expats seeking to relocate, and not just from one particular demographic group. Young professionals, retirees, and families have all relocated to Portugal in recent years.

Portugal ranked in first position in Global Citizen Solutions’ 2025 Retirement Guide for US citizens, not least due to its excellent public and private healthcare and high quality of life, while families are able to choose from more than 50 international schools in Portugal for their children, with a wide range of curricula, learning styles, and languages available.

The food and wine in Portugal are also very good, and underrated compared with many other Southern European countries, with local markets providing fresh food throughout the year and a combination of local, family-run restaurants (known as tascas), international cuisine, and fine dining experiences. Each part of the country will have its own local delicacies, from pastéis de nata in Lisbon to the famous Francesinha, a unique meat-filled sandwich from the north of the country.

Portugal is the seventh safest country in the world, according to the 2025 Global Peace Index, and is known for its progressive legislation and political outlook, and a wide range of Portugal residency visa options, such as the D7 Visa for passive income earners, and the Digital Nomad Visa, for remote workers.

Looking to relocate to Portugal? Find out how we can help you.

Click here.

Aligning Portugal Reality vs Expectations

While it may be a balancing act to align your expectations with the reality of living in Portugal, with careful planning and an open mind, you’ll quickly come to enjoy the many benefits that Portugal offers.

The bureaucracy may be a bit slower than what you may be used to, and the slower pace of daily life may initially take you by surprise, but living in Portugal is deeply rewarding.

Taking valuable time to enjoy a long lunch with friends, savoring that morning espresso to kickstart your day, or enjoying a leisurely weekend on the beach with your family will become second nature in no time. It is these local experiences that make living in Portugal so enriching.

Whether you’re looking for a relaxed and peaceful lifestyle or an active and vibrant social scene, Portugal has something to offer, making it an ideal destination for expats from all walks of life.

Goldcrest: How We Can Help You

Goldcrest is a buyer’s agent that is based in Lisbon. We provide expert, impartial advice on real estate investments and how to buy property in Portugal. From scouting out the perfect property through to property acquisition, we have you covered throughout the process.

If you are looking to purchase property in Portugal, don’t hesitate to get in touch. Our team of skilled experts is available to solve all your real estate doubts, helping you with the property search and offering insightful expertise and strategic advice.

Why choose Goldcrest?

Local knowledge: With offices located across Portugal, our presence nationwide allows us to assist you personally across the country.
Independent service: As an independent buying agent, we do not represent any development or project. Our service is entirely tailored toward each individual client, providing you with everything you need to secure the perfect property at the best possible price. As an impartial advisor on the market, we work solely on behalf of our client and provide a service tailored to your needs and requirements.
Streamlined process: Our real estate agents speak English and Portuguese, and our service is completely focused on providing you with a hassle-free buying experience, saving you time.
Experienced team: Our expert real estate team has a vast local knowledge of the Portuguese property market. We have cutting-edge technology and metasearch tools at your disposal to provide full market coverage, ensuring the best investment choices and negotiated prices.
Network of partners: We have a close network of partners, including lawyers, property management services, builders, architects, designers, and landscape gardeners, again saving you time and hassle by providing you with trusted experts in their field of work.