Quality of Life in Portugal: Safety, Climate & Costs Explained

Why Portugal has a great quality of life?

Portugal’s quality of life is high because of its safety, pleasant climate, welcoming locals, and affordable living. Despite the limited job opportunities and lower average wages than in other Western European countries, the overall quality of life more than makes up for it.

So, why is Portugal considered to have a high quality of life? Let’s explore the main reasons.

The perfect climate

Portugal has a Mediterranean climate and a long coastline that spans 850 km (528 miles). This means mild, wet winters and warm, dry summers, which many people find very pleasant for year-round living in Portugal.

August is usually the warmest month, with average temperatures at about 23 °C (73.4 °F). The coolest month is January, with a high of 11.3 °C (52.3 °F). Winters rarely drop below freezing in mainland Portugal.

In Portugal, you get 300 days of sunshine and an average rainfall of about 726 mm (28.58″), according to Weather Atlas.

Additionally, there are many celebrities who bought homes in Portugal because of the sunny weather, excellent air quality, and welcoming Portuguese people.

Extreme heatwaves (with record‑high temperatures) have occasionally affected Portugal in recent years due to broader climate patterns across southern Europe. They’ve caused heavy droughts and hot summers.

Friendly locals

Want to know how expats rate the quality of life in Portugal? With over 1.5 million foreign citizens, the country is well-known for its friendly locals and large expat communities.

According to a 2025 Expat Insider survey, Portugal ranks 17^th out of 46 countries for welcoming community, relaxed lifestyle, and local culture. About three in four expats say Portuguese people are very friendly toward foreign residents.

Overall, it is easy to get around with basic Portuguese, since Portugal ranks 6^th in the EF English Proficiency Index (EF EPI). Most locals speak English, making it highly beneficial for expat families to integrate and make friends.

In the Quality of Life Index by Global Citizen Solutions (GCS), Portugal ranks 12^th, with a score of 83.7 in 2025. The high score comes from the investment opportunities and visa-free access of the Portuguese passport for those who seek residency by investment, which can eventually lead to citizenship in the country.

Besides, Portugal ranks among the top ten easiest countries to immigrate to. If you are moving to Portugal and are looking for ways to qualify for Portuguese residency, you can consult with immigration specialists at GCS. They can navigate the local bureaucracy, whether you are applying for the Golden Visa, D8 (Digital Nomad Visa), D7 (Passive Income Visa), family reunification, or any other Portuguese visa.

The seventh safest country in the world

Wondering is Portugal safe for expats? The answer is yes! Portugal consistently ranks high for safety with low rates of violent crimes.

According to the 2025 Global Peace Index, Portugal is the seventh safest country in the world, offering political stability, relaxation, and a low risk of serious threats to personal safety. Pickpocketing can occur in busy tourist areas, such as Lisbon, Porto, and the Algarve region. You can use simple precautions to stay safe and rely on the local Police to patrol the area.

Emergency services respond quickly to a variety of incidents, and many public areas have CCTV. Overall, Portugal is a safe place to live as an expat, whether you are moving there with family, for work, or to retire.

Affordable cost of living

So, how affordable is life in Portugal for expats? The estimated monthly costs are lower than in many Western European countries.

To give you a general idea, the monthly rent for a one-bedroom apartment in Portugal’s city centers is about €893 or €703 outside central areas. A three-course meal at a mid-range restaurant costs about €45, while average prices for monthly utility costs are €114. Check out our article for more information about the cost of living in Portugal.

The housing costs, groceries, utilities, and other expenses are the most expensive in Lisbon, the country’s capital city. The cost of living in Lisbon has significantly increased over the years. Expats seeking significantly cheaper rent and property prices often settle in Portugal’s rural areas.

British expats can expect a significantly lower cost of living than in the United Kingdom. According to Numbeo, Lisbon is 39.2 percent lower than in London, without including rent. Housing costs, especially rental prices, are 47.9 percent more affordable than in Lisbon.

American expats can also save a lot of money by moving to Portugal from the USA. For example, the estimated monthly costs in Lisbon are 38.1 percent lower than in Washington DC, 45.5 percent cheaper than in New York, and 44.1 percent more affordable than in San Francisco (excluding rent). You can find out more in our guide to the cost of living in Portugal vs USA.

Beautiful landscapes and beaches

Portugal’s natural beauty is a major part of its high quality of life. In the Algarve, stunning beaches like Praia da Marinha, have golden sands, turquoise water, and dramatic limestone cliffs that are perfect for swimming, sunset views, and exploring some of the best hiking trails in Portugal.

Praia da Falésia (near Albufeira) and Praia Dona Ana (near Lagos) offer long stretches of sandy coast backed by striking red and ochre cliffs. At the same time, the Costa Vicentina in the southwest offers wild, rugged coastline, less-crowded beaches, and natural parks in Portugal.

Along the Atlantic coast south of Lisbon, you can find Praia 19 (Beach 19), which is one of the most popular beaches among the LGBTQ+ community. The best gay areas in Lisbon, such as Príncipe Real and Bairro Alto, attract thousands of tourists every year with their vibrant nightlife, beautiful scenery, and inclusive atmosphere.

Steeped in history

Portugal has a rich cultural heritage, dating back to prehistoric times. From the cobblestone streets in Lisbon to the baroque churches in Porto, the region has a lot to offer. There are even castles for sale in Portugal for affluent buyers.

Portugal was part of the Roman Empire, and its influence can be seen in its architecture, language, and local culture. The country has 17 UNESCO World Heritage sites, including the Tower of Belém, the Jerónimos Monastery, and the Roman Ruins of Conímbriga.

In the 8^th century, Moorish rule left visible signs of cultural and architectural influence across much of the country, especially in the Algarve – one of the best places to live in Portugal. For example, the Moorish tilework, arches, and water management systems can be seen in areas like Silves and Lagos.

However, the most significant period of Portugal’s history is the Age of Exploration in the 15^th century, which put the country at the forefront of the global economy. Lisbon, the capital city of Portugal, became a major center for culture, innovation, and trade.

Favorable tax benefits

Portugal has one of the most favorable tax systems in the EU, providing incentives and exemptions that can benefit foreign residents.

Here are the main benefits that attract entrepreneurs, remote workers, retirees, and families:

• Double Taxation Agreements (DTAs): Portugal has a double-tax agreement with over 70 countries. That means if you are a US citizen, British expat, or a Canadian national, you don’t get taxed twice. This is very useful for expats with foreign-sourced income.
• Foreign tax credits: Some expats can claim foreign tax credits to reduce their tax burden. Examples include dividends, interest, rental income from abroad, pensions, and social security. You can learn more about in our article on taxes in Portugal.
• IFICI (Tax Incentive for Scientific Research and Innovation): Introduced in 2024 alongside the NHR Portugal 2.0, it provides a flat 20 percent tax rate on qualifying employment income in high-value sectors and exemptions on certain foreign-source income.
• Crypto-friendly country: Crypto traders will be pleased to know that Portugal is one of the best countries for cryptocurrency. You can even buy property with crypto. For more information, check our article on Portugal crypto taxes.

High-quality healthcare system

Portugal is one of the best countries for Americans to move to, especially with the affordable healthcare.

Portugal has a universal public healthcare system (Serviço Nacional de Saúde, or SNS) that offers quality healthcare to all legal residents, including expats, with low or symbolic co-payments for GP visits and emergency care.

When you register at a local health center, you get access to doctor visits, hospital care, maternity services, and subsidized prescriptions at rates much lower than in many other Western countries.

According to Numbeo, Portugal ranks 21st in the 2025 Health Care Index and Portugal spends around €3,833 per capita (average per person) in global health expenditure annually.

Many expats choose to supplement public care with private health insurance to access more specialist care, especially in urban areas like Lisbon, Porto, and the Algarve. Private clinics often have English-speaking staff and more personalized service.

Pharmacies (farmácias) are widely available, and prescriptions are heavily subsidized, making medications affordable. For emergencies, you can dial 112, which connects you to Portugal’s public emergency services and provides access to both public and private healthcare afterward.

Overall, Portugal’s healthcare system is high-quality, affordable, and a key contributor to its high quality of life. However, some expats note that the public healthcare system can have long wait times, which is one of the main reasons they opt for private healthcare.

The rich lifestyle and gastronomy

If you are visiting Portugal or planning to live there, you must try the local food. You can enjoy the world-class wines, traditional food, and various Michelin-star restaurants in Portugal.

Portuguese cuisine is famous for the pastel de nata, bacalhau, and port wine. At the heart of local dishes are fresh seafood, legumes, meat, and vegetables. It is a Mediterranean-style cuisine with a variety of spices.

Overall, the rich lifestyle attracts many affluent buyers and celebrities to invest in Portugal luxury real estate. Some of the most popular locations are in the Algarve’s Golden Triangle, Lisbon’s prime areas, and the Douro Valley outside the Porto metropolitan area.

Perfect destination for families

Portugal offers a family-friendly environment. The public school system provides free education for residents from primary to secondary school.

International schools in Portugal are also available, providing British, American, and IB curricula, especially in Lisbon, Porto, and the Algarve. Check our guide to find out more about the education expenses and international schools in Algarve.

International educational institutions are significantly cheaper than those in the United States. For example, annual tuition fees for international primary school cost an average of €10,580 per child in Portugal, while the same type of education in the US would set you back €21,696, according to Numbeo.

For higher education, Portuguese universities offer quality education and diverse programs. The most popular universities in Portugal are the University of Lisbon, the University of Porto, and the University of Coimbra.

Retiring in Portugal

So, is Portugal a good place to retire for quality of life? With its mild climate, high safety standards, and affordable healthcare, Portugal is a great place for retirees.

According to the 2025 Global Retirement Report by Global Citizen Solutions, Portugal is the number one place for retirees around the globe, with a score of 92.61. It ranks higher than countries such as Mauritius, Spain, and Austria.

Based on the Safest Places to Retire in Index published in 2026, Portugal takes the number one spot. The primary reasons for its high ranking are Portugal’s high quality of life, sunshine, diverse landscapes, and rich culture and history. Many retirees gravitate toward the Algarve for its outdoor, easy-going lifestyle, built around beach time, dining out, golf, and scenic cliffside hikes.

Portugal also has a retirement visa, known as the D7 Visa (Passive Income Visa), which can provide a temporary residence permit. The D7 is for people with stable passive income, which often includes retirees living off pensions, rental income, dividends, or other passive sources.

Regional Differences & Best Regions to Live in Portugal for Expats

Wondering how to enjoy a high quality of life in Portugal as an expat? What are the regional differences that set Portugal apart from other European countries like the United Kingdom or Spain?

Here’s what you can expect:

• Greater Lisbon (Lisboa) – This is a cosmopolitan area with the largest job market, excellent infrastructure, and a higher cost of living. It is the most expensive region in Portugal, but it remains the biggest attraction for digital nomads, property investors, and expats.
• Northern Portugal (Porto & Braga) – This area has a lower cost of living and a slower pace of life than Lisbon. However, it has wetter winters with cooler temperatures. Many families, including remote workers, choose to settle here. Read more about is Portugal expensive to visit.
• The Algarve (Faro, Lagos, and Albufeira) – This area has the warmest climate, the biggest expat community in Portugal, but it is the most expensive during peak tourist season. Nevertheless, beach lovers prioritize it over any other area for a great social life and outdoor adventures.
• Central Portugal (Coimbra, Silver Coast) – The Silver Coast in Portugal and Coimbra are exquisite places to live. This area is all about the coastal lifestyle that is more affordable than the Algarve or Lisbon. Academics, retirees, and history enthusiasts prefer to settle here.

Why work with Goldcrest?

Goldcrest is a local buyer’s agent based in Lisbon that provides insightful real estate expertise and strategic advice.

From sourcing to property acquisition, we offer a tailor-made service for our clients.

Contact us today and make the most of your investment opportunities in some of Portugal’s finest locations.

What does a buyer’s agent have to offer?

• 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 right 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: We have a team of estate agents in Portugal, 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 real estate in Portugal is at your fingertips.
• Network of partners: 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.