If you’re planning on moving to Portugal, one of the first questions you’ll probably ask is:
“How much money do I need?”
I wish there was a simple answer, but the truth is… it depends.
The amount you’ll need depends on where you’re moving, whether you’ll be renting or buying a property, if you’ll be working remotely, looking for a job in Portugal, or retiring here.
I relocated to Portugal myself, and today I help people from all over the world relocate and buy property here. Every situation is different, but after helping many clients through this process, I’ve noticed there are a few costs that almost everyone should plan for.
Hopefully this guide will help you create a realistic budget before making the move.
If you are planning on renting a property in Portugal:
For most people moving to Portugal, renting is the first step.
One thing that surprises many foreigners is how much money landlords usually ask for before handing over the keys.
In many cases, you’ll need the equivalent of four months’ rent upfront (minimum) for 2 months as a security deposit and 2 months’ rent paid in advance.
After that, you’ll simply pay your rent monthly, just like in most countries.
That said, every landlord is different.
If you’re moving to Portugal without an employment contract or local income, don’t be surprised if a landlord asks for six months, or sometimes even twelve months, paid upfront. It doesn’t happen every time, but I’ve definitely seen it happen.
Another thing many people don’t know is that three-year rental contracts are very common in Portugal.
At first, this can sound intimidating, but don’t worry. Under Portuguese law, tenants can normally end the contract after completing one third of the agreed term, provided they give the required notice. So, if you sign a three-year contract, you can usually leave after the first year without penalties.
Be careful with Rental Scams
Unfortunately, rental scams are becoming increasingly common, especially for people trying to rent from abroad.
If there’s one piece of advice I always give, it’s this:
Never transfer money before you’re certain the property and the landlord are genuine.
Always make sure:
~ The property actually exists.
~ The person renting it is really the owner (or legally represents the owner).
~ The advert is genuine.
~ The contract has been properly reviewed.
I always recommend using Idealista to understand rental prices in different areas of Portugal, but don’t let excitement rush your decision.
Every year, people lose thousands of euros by paying deposits for properties that don’t even exist.
This is actually one of the biggest reasons my clients hire me. When you’re relocating from another country, having someone on the ground to visit the property, verify the documents and make sure everything is legitimate gives you peace of mind and can save you from very expensive mistakes.
Buying a Property in Portugal
If you’ve already saved enough for a deposit, I honestly think buying a property before relocating is worth considering.
In many parts of Portugal, monthly mortgage payments are actually cheaper than renting a similar property.
Of course, buying isn’t the right option for everyone, but if you know you’ll be staying long-term, it’s definitely something worth exploring.
For most foreign buyers, Portuguese banks usually require:
~ Around 20% as a deposit.
~ Approximately 8% of the property’s purchase price to cover tax costs.
That means you’ll generally need around 28% of the property’s value available in cash before completing the purchase.
The good news is that many foreigners are surprised to discover they can still obtain a mortgage in Portugal, even before relocating permanently.
Don’t Forget the Visa and Paperwork
While finding a property is exciting, getting the right paperwork is one of the most important parts of moving to Portugal.
Before choosing a house, make sure you have a clear plan regarding your visa or residency status.
Without the correct documentation, renting a property can become much more complicated.
You’ll also need a Portuguese tax number (NIF), which is required for almost everything you’ll do in Portugal, including opening a bank account, signing a rental contract and buying a property.
The good news is that you can often arrange your NIF before arriving in Portugal.
I help my clients with this through trusted partners, making the relocation process much smoother.
My Monthly Living Costs in Portugal
People often ask me what it actually costs to live in Portugal.
Obviously, everyone’s lifestyle is different, but to give you a real example, these are roughly my monthly household expenses for two adults living in Setúbal.
Expense Monthly Cost:
~ Electricity – €50
~ Water & municipal charges – €40
~ Internet – €30
~ Groceries – €450
~ Mobile phone – €15 per person
These costs don’t include rent or a mortgage, but they should give you a realistic idea of everyday living expenses.
So, How Much Money Do You Need to Move to Portugal?
There’s no single number that fits everyone.
As a rough guide, I normally recommend budgeting for:
~ Your rental deposit or property deposit.
~ Taxes and purchase costs if you’re buying.
~ Visa and relocation expenses.
~ Flights and moving costs.
~ At least a few months of living expenses as a financial safety net.
The better prepared you are financially, the smoother your move will be.
Need Help Moving to Portugal?
Moving to another country can feel overwhelming, especially when you’re trying to organise everything from abroad.
I help clients throughout the entire relocation process, from finding the right property and arranging viewings to verifying documents, avoiding scams and buying property in Portugal.
If you’re planning your move and would like some guidance, get in touch through my site or email isabellapastore.info@gmail.com. I’d be happy to help make your relocation to Portugal as smooth and stress-free as possible.
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