Cost of Living in Lisbon vs. Porto in 2025 — What’s More Affordable?
Lisbon and Porto are Portugal’s two most popular cities for expats, but they offer very different cost-of-living experiences. In this guide, we compare housing, food, transport, utilities, and lifestyle expenses to help you choose the best city for your budget.
Housing Costs — The Biggest Budget Factor
Lisbon: Premium Prices, Especially in the Center
- As of late 2025, one-bedroom apartments in central Lisbon typically rent for €1,400–€1,800/month. juuli.com+2idealista.pt+2
- Outside the city center — suburbs or less central neighbourhoods — 1-bed apartments are more affordable, around €1,000–€1,300/month.
- For larger apartments (2–3 bedrooms), or in popular expat neighborhoods, expect significantly higher rents, especially given the 2025 rental market surge in Lisbon.
Because of these high rents, many newcomers and expats in Lisbon choose to share apartments, live slightly outside the central districts, or budget carefully for housing — especially in the first months after arrival.
Porto: More Affordable But Prices Also Rising
- In Porto, one-bedroom apartments in the city center generally cost €1,000–€1,400/month.
- Outside of the center (less touristy or more residential zones), 1-bed rentals can drop to €700–€950/month, which presents a notably more budget-friendly option than central Lisbon.
- Because rent is among the lowest major expenses in Porto relative to Lisbon, newcomers often opt for Porto when budget control matters most — especially remote workers, digital nomads, or people working with modest salaries.
Summary (Housing): On rent and housing-related expenses alone, Porto is significantly more affordable than Lisbon — often 20–40% cheaper, depending on neighbourhood and apartment type.
Utilities & Internet — Comparable, Slightly Cheaper in Porto
Monthly bills for utilities (electricity, water, heating/cooling, trash) and internet are roughly similar in both cities, but with a modest advantage for Porto.
- Typical monthly utilities for a small to mid-size apartment in 2025: €100–€150 in Lisbon, and €90–€120 in Porto.
- High-speed internet (fibre) costs between €30–€40/month in both cities.
That makes utilities and internet a fairly minor part of the monthly budget, but combined with lower rents, Porto offers a noticeable saving potential here.
Food, Groceries & Dining Out — Slight Edge to Porto
Groceries
Monthly grocery costs for a single person vary depending on habits. As of 2025:
- In Lisbon: expect to spend around €200–€300/month on groceries.
- In Porto: typical grocery spending is a bit lower — around €180–€250/month.
Local markets and supermarkets such as Lidl, Pingo Doce, or Continente often offer good value — and cooking at home instead of eating out frequently helps keep costs down.
Dining Out & Entertainment
- A casual meal in a local Porto restaurant generally costs €10–€18, while in Lisbon it’s usually €15–€25 (depending on neighborhood and tourist zones) for similar quality.
- Mid-range restaurants in Lisbon — especially in central or tourist-heavy areas — tend to be pricier than in Porto.
- Overall, dining out and entertainment tend to be 10–20 % more affordable in Porto than in Lisbon (on average), especially if you avoid the main tourist corridors.
For budget-conscious expats or those living on modest incomes, Porto’s food and nightlife costs make a tangible difference.
Transport & Mobility — Slight Cost Differences
Public Transport
- Monthly transport pass: €40–€50 in Lisbon versus €30–€40 in Porto.
- Porto’s more compact layout and walkability — especially in the city center — can reduce transport dependence compared to Lisbon’s sprawl and traffic.
Other Mobility Costs
Fuel, taxis, rideshares tend to follow national pricing, but local commuting costs remain slightly lower in Porto due to its smaller scale and shorter distances.
Lifestyle & Leisure — What You Get for Your Money
Lisbon: Vibrant, International, More Expensive
Living in Lisbon gives you access to:
- A large international community and expat network
- Frequent cultural events, festivals, museums, nightlife, coworking spaces, and startup scene
- Easier access to international companies and remote-work hubs
- Direct flights and transportation connections — beneficial if you travel often
However, that comes with a price tag: higher rent, higher cost of dining/entertainment, and generally more competition for housing, especially in central zones.
Porto: Relaxed, Affordable, Traditional Charm
Porto offers a more relaxed lifestyle with:
- Historic charm, heritage zones, coastal proximity, and a slower pace
- More affordable housing and modest rents
- Lower daily costs — groceries, utilities, dining — making it easier to save or live comfortably on lower salaries
- Growing coworking and remote-work friendly infrastructure, increasingly attractive to digital nomads and remote professionals
For many, Porto represents a balanced choice — affordable, manageable, and with a European-city lifestyle without the steep prices of capitals.
Typical Monthly Budget Scenarios (2025 Estimates)
Here are two example budget scenarios for a single person living modestly vs. comfortably in each city.
Lisbon — Middle-Income Lifestyle
| Expense | Estimated Monthly Cost |
|---|---|
| 1-bed apartment (outside center) | €1,100 |
| Utilities & Internet | €140 |
| Groceries | €250 |
| Transport pass | €45 |
| Eating out / Leisure (some nights out) | €200 |
| Miscellaneous (clothes, gym, small travel) | €150 |
| Total (approx.) | €1,880/month |
Porto — Moderate Lifestyle
| Expense | Estimated Monthly Cost |
|---|---|
| 1-bed apartment (outside center) | €800 |
| Utilities & Internet | €120 |
| Groceries | €220 |
| Transport pass | €35 |
| Eating out / Leisure | €170 |
| Miscellaneous | €120 |
| Total (approx.) | €1,465/month |
Takeaway: For a similar lifestyle, living in Porto can save you ≈ €400–€500+ per month compared to Lisbon.
If you choose a city-center apartment or dine out frequently, the gap grows further.
Factors That Can Shift the Balance
While Porto generally offers better affordability, there are factors that could make Lisbon worth the cost — depending on your priorities:
- Higher salary potential in Lisbon — more international companies, higher demand for certain jobs.
- Better infrastructure and amenities — bigger hospitals, international schools, expat services, flights, etc.
- More dynamic professional network — helpful for freelancers, remote workers, entrepreneurs.
- Lifestyle preference — active nightlife, social events, faster pace.
On the other hand, Porto wins if you care more about cost stability, lower living expenses, and a calmer lifestyle.
Also worth noting: Both cities’ rental and real-estate markets have been rising steadily. Recent data shows 2025 rental price growth in many Lisbon neighborhoods reaching new highs.
Conclusion — Which City Is More Affordable for You?
If you plan to live on a lean or moderate budget, prefer lower rent and want to maximize savings while enjoying Portuguese culture and lifestyle — Porto is almost always the more affordable and convenient choice in 2025.
However, if you prioritize access to international companies, higher job opportunities, robust services, a fast-paced urban environment, and don’t mind paying more — Lisbon may offer value that justifies its higher cost.
Bottom line: For many expats, remote workers or newcomers on entry-level or mid-level salaries, Porto offers the most “bang for buck.” For professionals seeking higher income and growth, Lisbon might be worth the extra cost.
