Cost of Living in Lisbon: Updated 2025

What is the cost of living in Lisbon?

The cost of living in Lisbon, Portugal, is generally very affordable compared with other European capitals, like London, Paris, and Zurich. A single person’s monthly expenses often amount to around €750, while a family of four may spend approximately €2,600 (excluding rent).

Housing costs will vary based on the neighborhood and the apartment size, with the average apartment costing €6,173 per square meter in the city center. Monthly budgets for groceries are around €250 to €300, utilities are €125, and transportation is around €40 per month. Rent is a key factor for your monthly expenses, with a one-bedroom apartment in Lisbon costing about €1,410 to €1,043.

In 2024, the total gross monthly salary was €1,777 in Portugal, according to Statistics Portugal. The average worker in Lisbon takes about €1,595 a month after taxes. Therefore, you will need a monthly budget of about €1,500 to €3,000 to manage the living expenses.

Is Lisbon expensive?

While Lisbon is pretty expensive compared to other cities in Portugal, it’s still way more affordable than many other large capitals in Western Europe, such as Bern, Amsterdam, London, Paris, and Copenhagen.

Overall, the cost of living in Lisbon, especially in exclusive parishes like Santa Maria Maior, Santo António, or Misericórdia, is higher than in other parts of the country. However, prices can be much cheaper away from the city center in areas like Marvila, Olivais, Carnide, and Lumiar.

Average monthly living costs in Lisbon

Lisbon is the capital of Portugal, so it comes with high prices. Regardless, the city provides excellent value for money. For example, primary education is free for residents and Portuguese citizens at public schools. The country also has an excellent public healthcare system that is affordable and reliable.

Overall, the cost of living in Portugal is reasonable. Most living costs in Lisbon, from securing an apartment to eating in your local restaurant, are significantly cheaper than in other Western European cities. But your expenses will vary based on your income, financial situation, and spending habits. For example, have you considered luxuries, travel, and nightlife? You will need a higher budget if you prefer to eat out most nights and party regularly.

In fact, in the Numbeo Cost of Living Index, Lisbon takes the 103^rd spot, based on property prices, rent, groceries, and other expenses. This makes it a cheaper place to live than in London (United Kingdom), Amsterdam (Netherlands), and Stockholm (Sweden).

Here you can see some average prices for common goods in Lisbon:

Housing: Rent & Utilities in Lisbon

There are many beautiful neighborhoods in Lisbon, each with its own unique characteristics. Whether you want to live in the city center or the surrounding area, you will find stunning properties to rent or buy.

Renting property

Based on recent data from Numbeo, the average rent price per month in Lisbon is:

• For a one-bedroom apartment in city center: €1,410
• For a one-bedroom apartment outside city center: €1,043
• For a three-bedroom apartment in city center: €2,557
• For a three-bedroom apartment outside city center: €1,697

The best neighborhoods in Lisbon for you to invest in will depend on your personal preferences, lifestyle, and property goals.

Buying a property

Foreigners can buy property in Lisbon without any restrictions. Lisbon real estate market prices have been increasing over the past years, and housing costs must be taken into account. The average Lisbon housing price stood at €6,934 per square meter in 2024. If you look at Greater Lisbon, this is reduced to €4,935 per square meter.

Lisbon real estate is now a top choice among foreign buyers. The purchase price can be higher or lower than the asking price—although it is usually lower—so keep this in mind when negotiating with the seller. You can buy an apartment for €6,173 per square meter in the city center, or for €4,030 per square meter further away from the center. However, these prices are subject to change and a general estimate, which vary based on the type of property, location, and demand.

Lisbon land for sale is also much more affordable than buying a property close to the capital, and you’ll be able to customize the land to your heart’s content.

Close to Lisbon, the seaside town of Cascais could also be an excellent choice, particularly amongst families and lifestyle buyers. The cost of living in Cascais is on par with Lisbon, with rent prices being lower in Lisbon, while groceries and restaurants tend to be higher.

To purchase property anywhere in Portugal, you must obtain a Portuguese Tax Number (NIF). It is highly recommended that you open a Portuguese bank account to avoid transaction fees. There are many banks in Portugal, and you can even open one online.

You can consult with a real estate agent in Lisbon to keep up with recent updates on the property market.

Utility costs

The cost of electricity, gas, and water will depend on the size of the property and the number of people living there. For example, a 45m² studio or a small apartment can cost between €80 and €90 per month. The monthly fee is also dependent on your provider.

For an 85m² apartment, expect to pay over €125 per month for utilities like electricity, water, and gas. However, for some apartments, there will be no additional cost, as these will be included in the rental price. Be sure to check if your bills are included in the rental price.

For mobile phones, a monthly plan with calls and 10GB+ data will cost around €20.

Cost of living in Lisbon: Taxes and Bills

Lisbon has a progressive tax system, which can be favorable for some residents and citizens. For example, annual property taxes are lower in Portugal than in the United States. Here is a quick look at the bills you may need to pay.

Taxes

If you are a tax resident in Portugal, your worldwide income will be subject to taxation at progressive rates from 12.5 to 48 percent for 2025.

The system currently in effect is the Tax Incentive for Scientific Research and Innovation – also known as the Portugal NHR 2.0. It provides attractive tax advantages to expats for their first ten years living in the country.

But the NHR 2.0 is not universal for all expats. To benefit from the tax advantages, you must meet specific criteria, such as not having been a tax resident in Portugal for the previous five years. Our article on taxes in Portugal offers a more detailed guideline.

Healthcare

Portugal has relatively cheap and very good quality healthcare. This is provided by the public National Health Service (Serviço Nacional de Saúde or SNS).

Most essential medical services are almost free. You will be required to pay additional fees for non-essential services and treatments, which will vary in price. For example, a consultation will cost less than Accident & Emergency, and X-rays will require you to pay an additional fee.

There is also private healthcare, which has become more popular. Private healthcare costs will depend on the consultation and treatment.

Dental treatment does not usually fall under the National Health Service for most residents. You will probably have to pay out of your own pocket unless you have private dental insurance. Elderly people and children may receive free treatment.

Dental treatment is not as expensive as in other countries. Dental filling in the USA can cost €185 to well over €465, €190 to €270 in the UK, and €50 to €75 in Portugal.

Our guide for healthcare in Portugal takes a closer look at the potential expenses for various services.

Childcare and schooling

Public schools are free in Portugal, but remember that the lessons will be taught in Portuguese. If your children are young, they will pick up the language quickly.

There are many very good quality English-speaking international schools available in Lisbon.

Expect to pay around €800 to €1,800 per month for international primary schools. Our guide to international schools in Lisbon provides more information.

Cost of Living in Lisbon: Other Costs to Consider

From dining out to getting around the city, below we take a closer look at other costs that you’ll need to keep in mind when considering moving to Lisbon.

Restaurants

When it comes to restaurants in Lisbon, there are plenty of affordable options, and a typical meal at a mid-range restaurant will cost around €15 to €20 per person.

You’ll find many restaurants in Lisbon, from extremely affordable eateries to mid-range and luxury Michelin-starred restaurants. You’ll be pleased to see many a tasca (traditional, local, inexpensive restaurant) where you can happily eat great food for between €8 and €15, often with a café and sobremesa (dessert) included.

This is often typical traditional fare that is very well-cooked in family-run restaurants. Domestic beer costs about €1.11  for a 0.5-liter bottle, while a mid-range bottle of wine can cost €5.00.

For something a bit more special, a three-course meal for two in a mid-range restaurant will cost around €55, and for luxury restaurants, you can expect to pay international prices.

Household essentials

Generally speaking, household essentials, like food or cleaning products, are fairly affordable.

What’s more, Portugal’s produce is incredible. Much of it is grown in the green hills of the Alentejo region, where the constant sunshine makes for delicious fruits and vegetables. Also, because of the long coastline, it will be no surprise that the fish and seafood available are both cheap and extremely good.

Going grocery shopping is generally very affordable. A weekly grocery budget for one person can be around €60 to €80 for a frugal lifestyle. In most cases, you may need a monthly budget of €250, €300, to €400, depending on what products you buy, where you shop, and if you buy in bulk. Meat, fish, fruits, and vegetables are all inexpensive and of very good quality.

Olive oil costs roughly €12 to €28, depending on the brand. The fresh produce is also excellent. Oranges from the Algarve, cheese from the Azores, fish straight from the Atlantic, and wine from countless regions in the country are among the freshest products available at local markets.

Transportation costs

In Portugal, public transport is relatively cheap and well-connected. You can travel from Lisbon to Porto for as little as €28 to over €80. The monthly public transport pass for the Lisbon Metropolitan Area (Navegante Metropolitano) is €40.

A monthly pass for €30 allows you to travel around just one municipality. Young people can also get discounts, and children under 13 can travel for free. A monthly pass for families, which costs €80, is also available for the Lisbon Metropolitan area.

An individual trip will cost you about €1.61 (with ‘Zapping’) or €1.85 (a single Metro ticket). With “zapping,” you can quickly and easily top up your Viva Viagem card to get around the city. Gasoline is around €1.77 per liter in Lisbon, but it often fluctuates.

Sports and leisure

There are plenty of things to do in Lisbon for fun. You can expect to spend about €8.00 for a seat at the cinema for an international release movie. If you play tennis and want to rent a court for an hour on the weekend, it can cost you €16.87. A monthly fee for a fitness club is about €43.89. However, the expenses vary based on the type of services, location, and entertainment venue.

Many Lisbon tourist attractions are reasonably priced compared to other European capitals.

Shopping

You will find chain stores and local Portuguese boutique shops in the capital. When spending money on clothes and brand-name products, you will notice that prices generally meet international standards.

Lisbon has many shopping malls and shops where you can get your shopping fix. You should have no problem finding everything you would find in your local store, including clothes and shoes.

For more information on life in the capital, check out our article: Living in Lisbon: A Guide for foreigners.

Cost of Living in Lisbon for Retirees

The capital has become a firm favorite among seniors looking for a high quality of life.

If you are thinking about retiring in Lisbon, the cost of living for retirees will also not set you back much, and you should be able to live a very high quality of life in the city.

Generally, Portugal is an affordable country to live in. Healthcare is also excellent and affordable, particularly compared to healthcare in the USA or other Western European countries.

If you want to learn more about the lifestyle for seniors, check out our guide on retirement homes in Lisbon, Portugal.

What is the cost of living in Lisbon compared to the US?

Lisbon is much cheaper than the United States, especially in cities like Washington, DC.

Here is why:

• The cost of living in Lisbon (excluding rent) is around 37.7 percent lower than in Washington, DC. 
• Rent in Lisbon is 45.5 percent lower than in Washington, DC. 
• Restaurant prices are 44.5 percent lower in Lisbon than in Washington, DC. 
• The cost of groceries in Lisbon, Portugal, is 45.4 percent lower than in Washington, DC. 

The data is taken from Numbeo. 

This is one of the many reasons that Portugal sees an increasing number of American expats and investors heading to its sunny shores. With talk that Lisbon is the new LA, Americans are taking note and looking for a better quality of life, with cheaper healthcare, progressive legislation, pristine beaches, and a wonderful climate.  

But not just Americans are moving to Portugal; foreigners are also coming from Europe, China, South America, and Brazil.

Cost of living in Lisbon: Living the Luxury Lifestyle

The luxury market in Lisbon is booming, with the Lisbon luxury property market expected to rise by 4 percent in 2025, surpassing cities such as Monaco, Geneva, Milan, and Paris.

If you are seeking a luxury property in Portugal, then you’re in for a treat, as there are some stunning luxury abodes on the market. You can find luxury real estate in Lisbon with extra facilities, such as a pool or a gym, near the coast and close to popular tourist destinations.

Our partner, Global Citizen Solutions, a boutique residency and citizenship by investment consultancy focused on finding the perfect investment, citizenship, or residency program for individuals worldwide, has recently developed a new passport ranking. They evaluate not only visa-free access to other countries but also investment opportunities and quality of life.

In their Quality of Life Index, Portugal ranks in 7th position. This considers the cost of living alongside levels of freedom, happiness, environmental performance, sustainable development, and migrant acceptance. This highlights that, as countries go, Portugal is one of the best countries to live in for those looking for a high quality of life in an affordable country.  

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.