Things to know about settling in Lisbon

inside Lisbon
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Updated 2023-11-05 11:05

Welcome to Lisbon, one of the hippest capitals in Europe and a place that has been making headlines all over the Web. Unsurprisingly, we must say, there aren't that many cities in the “Old Continent” with such an affordable cost of living. Buckle up, as we're about to disclose 10 random (yet important) facts about Lisbon.

Lisbon is the second sunniest capital in all of Europe

Yes, everything you hear about the weather in Lisbon is accurate. One of the sunniest capitals of Europe (only lagging behind La Valletta, in Malta), the city is blessed with about 300 days of sunshine every year. The winters are mild, and temperatures rarely drop below 5 ºC during the day, even when the rain strikes (watch out for the slippery pavements, though).

From April onwards, expect the average temperature to be above 20 ºC, peaking at 35 ºC or even higher in July and August. Buildings remain fresh during the hot days thanks to the insulation, but you might need an electric or gas heater during the cold season since most houses and apartments in Lisbon do not have central heating (though some have fireplaces).

Lisbon's most important museums are free for residents on Sundays

If you're officially moving to Lisbon, you'll be happy to hear there are plenty of museums offering free admission for residents every single Sunday (all day long). These include some widely popular places, such as the Jeronimos' Monastery, the Palace of Mafra, the Belem Tower or the National Pantheon, as well as some other lesser-known gems, like the National Tile Museum, the National Coach Museum or the Chiado Museum.

In total, there are almost 30 museums offering some sort of free admission during this day of the week (holidays, too), both public and private. You just need to bring proof of residency, and you'll be allowed inside the museums without spending a single dime!

Lisbon is currently going through a housing crisis

Rent prices are high. In fact, news outlets have recently highlighted Lisbon as the single most expensive city in Europe to rent a 1-bedroom apartment in the city center (2,500€/month), surpassing the likes of Amsterdam, Paris, Berlin or Milan. Unfortunately, things aren't looking any better outside the downtown area, where prices for renting a studio have risen 70% in a year, and a modest bedroom in a shared apartment can currently set you back 525€/month (a 30% increase from 2022). Furthermore, and looking at the entire city, new leasing contracts signed in the first quarter of 2023 have shown that rent prices have gone up 23% since the same period of 2022, reaching an average of 1,480€/month.

When it comes to buying property in Lisbon, things don't get any better. A study from the real estate platform CASAFARI, which compared real estate prices across different southern European cities in the first quarter of 2023, has shown that Lisbon's average price per square meter in the city center was sitting at 5,149€, with the last few months aggravating this stat. According to Portuguese real estate website Idealista, that same square meter rate had risen to 6,000€ in July 2023. In order to put a stop to price escalation, the government has recently suspended the Golden Visa Scheme in Lisbon, which allowed foreign investors to live legally in the country and apply for citizenship after 5 years if they bought 500,000€ worth of property.

Lisbon boasts the top-ranked universities in Portugal

According to the famous and reputed Shanghai Ranking, Lisbon boasts two universities ranked among the 700 best in the world: Universidade de Lisboa and Universidade Nova de Lisboa, with the former featuring in the top 300 (the best university in the country).

Regarding Universidade Nova de Lisboa, the ranking highlighted the institution's work in Finances (top 100), Tourism (top 150), Civil Engineering (top 200), Food Science (top 200), Economy (top 200), Political Science (top 200), Business Management (top 200) and Biotechnology (top 300).

As for Universidade de Lisboa, it showed great results regarding its degrees in Naval Engineering (6th best in the world), Civil Engineering (43rd best in the world), Oceanography (top 75), Pharmacy (top 75), Geography (top 100), Atmospheric Sciences (top 100), Agricultural Science (top 100) and Veterinary Medicine (top 100).

Although they didn't make the ranking, other well-rated institutions of higher education in Lisbon include Instituto Universitário de Lisboa (Social Sciences, Technology, Business and Architecture) and Universidade Católica Portuguesa (private).

Locals are very easy to get along with in Lisbon

The Portuguese are generally seen as very relaxed and outgoing, and Lisbon is no exception! Although the “Lisboetas” are generally seen as rude and unwelcoming by Portuguese people hailing from other cities, the truth is that most people coming from other Western countries will most likely find them rather sociable and communicative. While older generations are still bound to show some elitism for living in the capital, treating Portuguese outsiders as “hillbillies” younger generations are much more open and understanding.

Regardless of the age group, and similarly to the rest of the country, hang-outs usually take place around the dinner table or over a cup of coffee. Just don't expect it to be a quick one, as the Portuguese certainly like to take their time.

Expats enjoy a favorable tax regime in Lisbon

Recently launched, the brand-new digital nomad visa provides tremendous tax benefits for digital nomads establishing themselves (and their businesses) in the city for a period of 10 years. If your line of work falls within one of the designated categories, you can enjoy a flat 20% tax on your income, a percentage that Portuguese workers (or foreign workers without the digital nomad visa) reach when earning over 1,961€/month. That being said, if you make more than that amount, you'll be saving on taxes by adhering to the visa. Once again, it is always best to consult with an accountant for further details.

Even if you take advantage of this visa regime, we recommend not bragging about it next to other Portuguese workers/business owners, as it is widely regarded by locals as unfair and unbalanced.

You can find great beaches just 30 minutes away from Lisbon

With many beaches within 30 minutes from Lisbon, surfing is a very particular sport that some Portuguese natives are very passionate about. Most beaches like Carcavelos, Cascais and Estoril will have surfing boards for rent, and even surfing schools if you are new to the sport.

During the hotter Summer months, though, these beaches will be absolutely jampacked, which is why it might be worth heading to the neighboring district of Setúbal for some well-deserved R&R in the exclusive beaches of Troia. Alternatively, you can also head north and check out Ericeira or even Nazaré, both world-famous great surfing spots.

Lisbon has a growing IT community

Due to the success of the recently introduced digital nomad visa, Lisbon has attracted a wide pool of qualified workers, freelancers and business owners. Invariably, a lot of these expats work in IT, and the city has been flooded with web developers, web designers, software developers, project managers, system analysts and support specialists. Aside from the highly favorable tax regime, the city council has also been keen on attracting start-ups and IT enterprises, hosting the famous Web Summit and inaugurating a physical hub (Fábrica de Unicórnios) to help scale up businesses. This facility is financially sponsored by the likes of Google, PwC, Ryanair, BPI (Portuguese bank) and GALP (Portuguese energy corporation).

Not so long ago, the city was also extremely popular among crypto investors, mostly because these investments were tax-exempt. However, local authorities have recently filled that loophole, and they are now taxed as any other category of capital gains (usually at 28%).

Bairro Alto and Cais do Sodré are the best places to mingle with the locals on a night out

If you want to party all night and have a great time, there is an insane plethora of discos, bars and nightclubs in Lisbon that will be happy to accommodate visitors! The most popular quarters to have a drink and listen to some music are Bairro Alto and Cais do Sodré, the quintessential nightlife hotspots in the Portuguese capital and the areas where most locals gather for a night out.

Be that as it may, and in case you're studying in Lisbon and want to meet other fellow international students, you will quickly hear about the Erasmus Corner, a trendy destination in Bairro Alto famous for the unusual concentration of international students.

Locals in Lisbon are called “Alfacinhas”

Last but not least, and once you start getting more comfortable with your Portuguese, try not to look too puzzled when people from other Portuguese cities refer to locals in Lisbon as “Alfacinhas”. Roughly translated as “little lettuces”, the nickname picked up after the release of a book from famous Portuguese writer Almeida Garrett.

Apparently, in the 19th century, it was fashionable for men to wear giant bowties in Lisbon, which, for visitors, resembled two giant lettuce leaves. Though its origins are still up for debate, people assume the degrading taunt is retaliation from outsiders for the fact that “Lisboetas” used to openly refer to anyone from outside the capital as “saloios”, which is the local word for “redneck”.

We do our best to provide accurate and up to date information. However, if you have noticed any inaccuracies in this article, please let us know in the comments section below.