Smart ways to save money when moving to Portugal

Relocating to Portugal has become increasingly popular thanks to its warm climate, welcoming lifestyle, and comparatively affordable cost of living. Even so, moving abroad can be expensive if you don’t plan carefully. Whether you’re heading to Lisbon, the Algarve, Porto or a quieter inland town, there are several practical ways to reduce costs without compromising your move.

Below are the most effective money-saving tips to help you settle into Portugal comfortably and affordably.

Choose a more affordable region

Housing markets vary widely across the country. Lisbon, Cascais and the Algarve offer great lifestyles, but they’re also the most expensive areas for rent and property purchase. If you’re not tied to a specific location for work, explore alternative regions such as:

• Setúbal and Almada – close to Lisbon with notably lower rents
• Coimbra – a vibrant university city with excellent transport links
• Viseu and Braga – high quality of life at much lower prices
• Alentejo – ideal for spacious housing and slower-paced living
• Algarve – if your heart is set on the Algarve, stay away from tourist traps and move inland to make your money go further.

Doing regional research early can help you secure a large apartment or house for the same price as a studio in Lisbon.

• Check out our guide to some of the cheapest places to buy property in Portugal. 

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Compare shipping costs with local purchasing

International removals can easily become one of the biggest expenses of your move. Prices depend on volume, distance and seasonal demand. To avoid overspending:

• Request quotes from at least three reputable international movers.
• Reduce your shipment size by selling or donating bulky furniture before you leave.
• Compare the cost of transporting items with buying them in Portugal.

Portugal has affordable furniture stores, second-hand shops and local artisans. In many cases, replacing older furniture once you arrive is cheaper and less stressful than shipping an entire household across borders.

Move outside peak season

Timing matters. Summer, Christmas and Easter are peak periods for removals, flights and temporary accommodation. Moving during these months can significantly increase your costs.

The cheapest times to relocate:
Late autumn and winter—especially January to March—tend to offer lower prices, less competition for services, and better availability of long-term rentals. Planning your move for the off-season can easily save several hundred pounds.

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Prioritise long-term rental contracts, or research carefully before buying

Short-term accommodation, including holiday rentals and furnished Airbnb properties, is convenient but far more expensive. Instead:

• Book a short stay for your first week or two, giving yourself time to explore neighbourhoods.
• Search for long-term rentals on Portuguese platforms such as idealista
• Consider signing a one-year contract to secure the best monthly rate.

You’ll also find better value by looking slightly outside major city centres, where prices drop significantly while services remain accessible.

If you’re planning to buy property in Portugal, taking time to research the market can save you a considerable amount. Property prices vary greatly from region to region, and lesser-known towns often offer excellent-value homes compared with Lisbon, Cascais or the Algarve. Always compare new-build vs. resale properties, check for renovation potential, and ask for an independent survey before committing. Shopping around for mortgages, especially through local banks, can also help you secure a better interest rate and reduce your long-term costs.

Use public healthcare and add basic insurance

Portugal’s national health service (SNS) is high quality and much cheaper than private healthcare. After registering your local address, you can sign up for a Número de Utente and begin using public services.

Many expats choose a hybrid approach—accessing public care for routine appointments and purchasing a basic private insurance plan for faster specialist visits. This combination often provides the best balance between cost and convenience.

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Understand available tax incentives

Portugal periodically updates its tax incentives for new residents. The well-known Non-Habitual Resident (NHR) regime has changed in recent years, but several tax benefits still exist depending on your income type and profession.

Before moving, it’s worth consulting a Portuguese tax adviser who can help you:

• Avoid double taxation
• Determine if you qualify for any reduced tax categories
• Optimise your income structure legally

This small investment can lead to long-term savings that outweigh the initial consultation fee.

Stick to local groceries and markets

Food can be a major expense in tourist-heavy areas. To keep costs down:

• Buy fresh fish, fruit and vegetables from weekly municipal markets.
• Compare prices at national supermarkets such as Lidl, Pingo Doce, Continente and Intermarché.
• Take advantage of loyalty cards and regular promotions.

Buying locally not only saves money but also offers better quality, especially for seasonal produce and fresh seafood.

Lower your transport costs

Depending on where you live, a car may not be necessary. Major cities such as Lisbon, Porto and Coimbra have excellent public transport networks, with monthly passes at reasonable prices. If you plan to rely on public transport:

• Look into combined metro, bus and train passes for frequent savings.
• Use ride-sharing apps for occasional journeys instead of owning a vehicle.

If you do need a car, buying locally is usually cheaper than importing one, as Portugal charges high vehicle import taxes (ISV). Always check this cost before deciding.

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Learn basic Portuguese to avoid hidden costs

Even a beginner level of Portuguese helps you avoid unnecessary spending. It makes it much easier to negotiate rental terms, compare utility tariffs, and handle administrative tasks without paying translation fees. Free online courses, language apps and local conversation groups are a simple way to improve quickly.

Compare telecom and broadband packages

Telecom providers in Portugal—MEO, NOS, Vodafone and others—offer competitive bundles that combine Internet, TV and mobile services. To avoid overpaying:

• Use comparison websites before signing a contract.
• Check coverage quality in your neighbourhood, especially in rural areas.
• Avoid tourist-focused or short-term contracts, which cost more.

Bundled packages usually offer the best monthly value for new residents.

Make your move to Portugal a reality

With some strategic planning, moving to Portugal can be far more affordable than most people expect. Choosing a cheaper region, reducing shipping, timing your move wisely and making the most of local services all add up to significant savings. By taking the time to research each step, you’ll ensure a smoother transition and enjoy everything Portugal has to offer without stretching your budget.

• Property for sale in Portugal
• Long-term rentals in Portugal