Why People Move to Portugal? Moving abroad is a life-changing decision, and one destination that has been increasingly captivating the hearts and minds of expatriates is Portugal. Nestled on the Iberian Peninsula, Portugal offers a delightful blend of tradition, natural beauty, and modern amenities that make it an attractive prospect for those seeking a fresh start.
In this comprehensive guide, we’ll explore the top 10 reasons why people from all corners of the globe are choosing Portugal as their new homeland.
Why People Move to Portugal
Here are the top 10 reasons why more and more expats are choosing to move to Portugal:
- Mid Climate
- Affordable Cost of Living
- Safety
- High-Quality of Life
- Strong Expat Community
- Ease of Residency and Visa Programs
- Excellent Healthcare System
- Access to Europe
- Diverse Real Estate Opportunities
- The New NHR Tax Regime: IFICI Program
1. Mide Climate: A Mediterranean Dream
Portugal enjoys over 300 days of sunshine a year, making it an ideal location for those seeking a warm and pleasant climate. The Mediterranean climate, particularly in regions like the Algarve and Lisbon, offers hot summers and mild winters, which appeals to retirees and individuals looking to escape harsher weather conditions elsewhere.
Even in the cooler northern regions, temperatures remain moderate, allowing residents to enjoy outdoor activities year-round.
This favorable climate supports a relaxed and active lifestyle, with expats able to enjoy a wide range of recreational activities such as surfing, hiking, golfing, and exploring the scenic coastline and natural parks.
The consistent weather also makes it easier for people to plan social events, travel, and spend time outside, contributing significantly to the overall quality of life. Furthermore, the warm, sunny climate is known to have positive effects on mental health, promoting a sense of well-being among residents and visitors alike.
2. Affordable Cost of Living
Compared to other Western European countries, Portugal offers a relatively low cost of living, including affordable housing, dining, and healthcare. This affordability is one of the main reasons expats are increasingly drawn to Portugal, as it allows them to enjoy a comfortable lifestyle without the high expenses typical of other European capitals like London or Paris.
Housing costs, whether renting or buying, are significantly lower in Portugal, even in popular cities like Lisbon, Porto, or the Algarve. This makes it possible for expats to find high-quality properties—whether modern apartments in the city or charming villas near the coast—at prices far more competitive than those in neighboring countries.
Beyond housing, day-to-day expenses such as groceries, transportation, and dining out are also quite affordable. Many expats are pleasantly surprised by the low cost of fresh produce, wine, and dining options, allowing for an enjoyable culinary experience without breaking the bank.
3. Safety
Portugal is ranked as one of the safest countries in the world, offering a secure environment for individuals and families alike. The country consistently appears in the top 10 of the Global Peace Index, thanks to its low crime rates, stable political environment, and well-functioning public institutions.
This sense of safety and security is particularly appealing to families with children, retirees, and solo travelers, as it allows them to feel at ease whether they are exploring urban centers like Lisbon and Porto or relaxing in quieter rural and coastal areas.
Additionally, the low levels of violent crime and the absence of significant political unrest contribute to the overall peace of mind for residents and visitors. According to Numbeo’s 2024 Crime Index by Country, Portugal boasts a strong safety rating of 68.8 percent, compared to other European nations.
For solo female travelers, a recent report by TimeOut places Portugal at the top of the list of the safest countries. This recognition highlights Portugal’s commitment to maintaining a secure and welcoming environment for women traveling alone.
The strong sense of community in Portugal also plays a role, as locals are generally friendly and supportive, often looking out for their neighbors and newcomers alike. This welcoming atmosphere enhances the feeling of safety and comfort for expats, who can move about freely at any time of day or night without major concerns.
4. High-Quality of Life
With its beautiful beaches, vibrant culture, excellent food, and diverse landscapes, Portugal provides a high standard of living for expats. The country offers a unique blend of natural beauty and rich cultural heritage, making everyday life feel like a vacation.
Whether expats choose to settle along the stunning coastline of the Algarve, in the lively cities of Lisbon and Porto, or in the picturesque countryside, they are never far from breathtaking scenery and outdoor activities. Portugal’s diverse landscapes range from golden beaches and rugged cliffs to lush vineyards and rolling hills, providing endless opportunities for hiking, surfing, and exploring nature.
This variety makes it easy for expats to find a lifestyle that suits their preferences, whether it’s coastal relaxation, urban excitement, or rural tranquility.
Moreover, Portugal’s vibrant culture and excellent food contribute significantly to its high quality of life. Portuguese cuisine is known for its fresh ingredients and simplicity, with seafood, olive oil, and local wines playing a central role in daily meals. As an example, Portuguese cuisine has been voted as the fourth best in the world, according to audience votes collected by food website TasteAtlas.
5. Strong Expat Community
With a total population of well over 10 million and a growing expat population, it’s easy for newcomers to connect, network, and build a supportive community across the country. The foreign population residing in Portugal increased by 33.6% in 2023, totalizing 1,044,606 citizens with a Residence Permit.
Whether settling in major cities like Lisbon, Porto, or the Algarve, or even in smaller towns and rural areas, expats can find established groups and social networks that help them navigate the challenges of relocating.
Expat communities often organize events, meetups, and online forums where new arrivals can exchange information, share experiences, and offer support. From social clubs and language exchange groups to professional networking events and hobby clubs, the variety of expat-focused activities ensures that newcomers have ample opportunities to connect with like-minded individuals. Moreover Portugal consistently ranks high in English proficiency, securing 8th place in Education First’s 2023 global rankings.
Moreover, the presence of a large and diverse expat community contributes to a multicultural atmosphere that enriches life in Portugal. Expats from all over the world – whether from the USA, UK, Canada, South Africa, or other parts of Europe – bring their own cultural influences, creating a dynamic and inclusive environment where people of different backgrounds and nationalities come together.
6. Ease of Residency and Visa Programs
Programs like the Golden Visa and D7 Visa make it convenient for expats, investors, retirees, and digital nomads to obtain residency, attracting people from all over the world.
The Golden Visa program, for instance, offers residency to individuals who invest in Portugal, create jobs, or support cultural and scientific initiatives. This pathway not only provides an opportunity for investors to gain residency but also opens the door to obtaining EU citizenship after five years, making it an attractive option for those looking for greater mobility within Europe.
On the other hand, the D7 Visa is tailored for retirees and individuals with passive income, such as pensioners, allowing them to establish residency by proving sufficient financial means.
Beyond the Golden Visa and D7 Visa, Portugal offers additional visa options that accommodate a wide range of circumstances, such as the Digital Nomad Visa tailored for remote workers or the D2 Entrepreneur Visa for those interested in creating a business in Portugal.
7. Excellent Healthcare System
Portugal has a high-quality and affordable healthcare system, both public and private, that is accessible to residents and expats.
The public healthcare system, known as the Serviço Nacional de Saúde (SNS), provides comprehensive coverage for residents, including general medical care, specialist services, and emergency treatments. According to Numbeo’s 2024 Healthcare Index by Country, Portugal’s healthcare system ranks 21st globally.
The costs for services under the SNS are minimal, and many services are either free or heavily subsidized, making it an attractive option for expats seeking quality medical care without the high costs associated with other countries.
Additionally, the SNS offers extensive preventive care programs, such as vaccinations and regular health screenings, which contribute to the overall well-being and longevity of Portugal’s residents.
For expats, registering with the SNS is straightforward once they establish residency, ensuring they can access public healthcare services without hassle.
On the other hand, Portugal’s private healthcare sector is also highly regarded and offers a level of convenience and comfort that appeals to many expats and retirees. Private clinics and hospitals provide shorter wait times, access to specialists, and a range of additional services such as English-speaking doctors and personalized care plans. Private health insurance is affordable compared to other European countries, allowing expats to benefit from premium medical care without high costs.
8. Access to Europe
Portugal’s strategic geographical location makes it an ideal hub for those who love to travel and explore. Situated at the crossroads of Europe, Africa, and the Americas, Portugal offers easy and quick access to a variety of destinations and cultures.
With major international airports in Lisbon, Porto, and Faro, expats can reach other European capitals in just a few hours, as well as destinations in Africa and the Americas. This convenient location allows residents to enjoy weekend trips to neighboring countries, experience diverse landscapes, and savor different cuisines, making Portugal a perfect base for globetrotters and adventure seekers.
Additionally, as a member of the European Union (EU), Portugal offers its residents significant benefits, including the freedom of movement within the Schengen Area, which allows visa-free travel across most of Europe. This ease of access is particularly attractive for those looking to explore job opportunities, study, or simply travel across the continent without administrative hurdles.
9. Diverse Real Estate Opportunities
From beachfront properties to charming countryside homes and modern city apartments, Portugal offers a variety of attractive and affordable real estate options that appeal to a wide range of preferences and budgets.
Along the Algarve coast, for instance, expats can find luxurious villas with stunning ocean views, perfect for those seeking a coastal lifestyle with proximity to some of the country’s best beaches and golf courses. These seaside properties are often designed with a focus on outdoor living, featuring large terraces, pools, and gardens that take full advantage of the sunny climate. On the other hand, the northern regions like the Douro Valley and Minho offer charming rural homes and estates, surrounded by vineyards and picturesque landscapes, ideal for those who prefer a quieter, more nature-oriented lifestyle.
Urban areas such as Lisbon and Porto provide modern and historic apartments in vibrant neighborhoods, catering to professionals, digital nomads, and families who want the excitement and convenience of city living. These cities boast a mix of newly developed properties and beautifully renovated historic buildings, combining contemporary comforts with classic Portuguese architecture.
For those interested in investment opportunities, the real estate market also offers a wide range of properties suitable for short-term rentals, especially in tourist hotspots. Portugal’s attractive real estate prices, compared to other Western European countries, combined with the potential for rental income, make it a popular choice for property investors.
10. The New NHR Tax Regime: IFICI Program
The new Non-Habitual Resident (NHR) tax regime in Portugal, known as the Fiscal Incentive for Scientific Research and Innovation (IFICI) Program, is designed to attract highly qualified professionals to relocate to Portugal.
This regime aims to support and boost the country’s growth in sectors like technology, research, and innovation by providing a favorable tax environment. Under the IFICI Program, eligible individuals benefit from a reduced Personal Income Tax (PIT) rate of 20% on work-related income for both dependent and independent activities. This special rate is applicable for a period of up to 10 consecutive years, making it a significant incentive for professionals looking to establish themselves in Portugal.
In addition to the reduced tax rate on employment income, the IFICI Program offers further benefits, including exemptions from income tax on a variety of foreign-sourced income types. Eligible sources include income from employment, independent work, capital investments (such as interest or dividends), royalties, capital gains, and income derived from real estate.
However, it’s crucial to be aware that foreign pensions are not covered by these exemptions and will be taxed according to Portugal’s standard progressive tax rates, which range from 14.5% to 53%.
Why choose us to move to Portugal?
Local Expertise
We know Portugal. Due to our extensive local knowledge, we believe that concentrating our services in a single country destination is the best way to give you the most thorough and useful information.
Holistic Approach
One single channel of communication for the entire process. We provide you with a comprehensive service that covers all aspects of your move, from identifying the ideal residency visa to finding your new home or helping you to settle.
Transparent Service
We recommend what’s best for you based on an extensive process experience that saves time and money to clients. Our pricing is clear and competitive, and we don’t sell services that make us more money.
Simple Process
Technology plays a very important role in our company. We minimize our clients’ involvement in paperwork. We are customers ourselves and we know how to serve you.
For more videos about investing or moving to Portugal, explore our YouTube channel here: YouTube Channel Portugal Residency Advisors®.
Frequently Asked Questions about Why People Move to Portugal
What is Portugal's climate like?
Portugal enjoys a Mediterranean climate with mild, wet winters and warm, dry summers. This climate allows residents to engage in outdoor activities throughout the year, making it a top draw for those seeking a pleasant lifestyle.
Can expatriates work in Portugal?
Yes, Portugal’s long-standing democratic tradition and political stability provide a secure environment for expatriates. As a member of the European Union (EU), it also offers access to a diverse job market, making it an attractive destination for career opportunities within Europe.
Is the Portugal's healthcare accessible for expats?
Portugal’s healthcare system is known for its accessibility and quality. It offers universal healthcare through the National Health Service (SNS), ensuring that residents can access a wide range of medical services without the financial burden often associated with private healthcare systems.
Is Portugal an affordable place to live?
Yes, Portugal offers a high quality of life at a relatively affordable cost. Housing, daily expenses, and dining out are often more affordable than in many other European countries, making it an attractive destination for expatriates.
How safe is Portugal for residents and expatriates?
Portugal consistently ranks as one of the safest countries globally. Low crime rates and a welcoming atmosphere ensure a secure and peaceful environment for residents and expatriates alike.
What is the Portugal's NHR tax regime?
Portugal’s Non-Habitual Residency (NHR) tax regime offers significant tax benefits to eligible individuals, including tax exemptions on foreign income for a set period. This regime attracts investors, retirees, and expatriates seeking tax-efficient living.
How is the Portugal's quality of life?
Portugal offers an exceptional quality of life, characterized by a harmonious blend of factors that enhance well-being. Its Mediterranean climate encourages an active outdoor lifestyle. Additionally, Portugal’s healthcare system is known for its accessibility and quality, ensuring residents’ well-being. With a low cost of living compared to many other European countries, safety, tax incentives, and a welcoming atmosphere, Portugal consistently ranks among the top destinations for those seeking a fulfilling and high-quality life in Europe.
Is English widely spoken in Portugal?
While Portuguese is the official language, English is widely spoken and understood, especially in urban areas and among the younger population. Expatriates often find it relatively easy to communicate and adapt to daily life without becoming fluent in Portuguese.
