A new report from the editors at InternationalLiving.com spotlights Northern Portugal as one of Europe’s most overlooked—and most promising—regions for expats looking to live better for less.
As traditional hotspots like Lisbon and the Algarve grow increasingly crowded and costly, a quieter, greener, and more affordable alternative is emerging to the north.
“Driving through a eucalyptus forest on the approach to Braga, I texted my wife: ‘This is the best part of Portugal. I think we made a mistake moving to Lisbon. This is where we should live,” writes Jeff D. Opydke, IL’s Personal Finance expert, in a new dispatch chronicling his journey through Portugal’s underappreciated north.
His road trip took him through forested hills, coastal villages, and culturally rich cities—including Porto, Braga, Caminha, Esposende, and Vila Praia de Âncora.
“Northern Portugal feels very, very different from the rest of the country. Quieter. Cleaner. Less traffic. Different cuisine. Locals seem less stressed,” he writes. “The region looks different, too—like the gods of geography pulled together the best of San Francisco, the Pacific Northwest, and Asheville, North Carolina, molded it into a compact diorama, and plopped it down onto a corner of Western Europe…”
Lower Expenses, Higher Quality of Life
While one expat couple reported paying $3,320 per month to live in Lisbon’s upscale Saldanha neighborhood, comparable rentals in Porto or nearby towns can be significantly lower. Throughout the north, the report highlights examples of affordable coastal apartments, restored stone homes, and even hillside villas with infinity pools—all at prices that offer real value compared to the U.S. or Portugal’s capital.
Lauren, a 63-year-old single woman from Washington, D.C., now lives in Porto’s seaside neighborhood of Matosinhos Sul.
She lives in a 600-square-foot, one-bedroom apartment for just $850 per month. “With water, electricity, a mobile plan, internet, and health insurance, my all-in monthly expenses are under $1,500.”
Back in Washington, DC, her apartment alone—an 800-square-foot, one-bedroom with utilities—cost her $1,800.
Town by Town: What Northern Portugal Has to Offer
Porto
Often described as “Lisbon without the chaos,” Portugal’s second-largest city offers all the cosmopolitan perks—historic neighborhoods, excellent healthcare, top universities, international schools, and direct flights to Europe and the U.S.—but with friendlier locals and less congestion. Expats in Porto can rent a centrally located two-bedroom apartment for $1,900/month—about 10% cheaper than comparable Lisbon neighborhoods. Across the river in Gaia, sea-view flats rent for as little as $1,250/month.
Braga
Just an hour inland from Porto, Braga is a lively university town surrounded by forested hills and historical charm. Buyers will find modern hillside homes with pools and panoramic views for $300,000 or less, while the city center offers fixer-uppers and updated apartments in the $300k to $500K range.
Caminha
At the far northern tip of Portugal, where the Minho River separates the country from Spain, Caminha offers a quiet, timeless lifestyle. The Old Town is lined with azulejo-tiled buildings, cobbled squares, and family-run cafés. A fully remodeled two-bedroom apartment near the river costs around $203,000. For many expats—especially those coming from the Pacific Northwest—it feels like home, just at a third of the cost.
Esposende
This fishing village-turned-sleepy beach town lies just 45 minutes from Porto’s international airport. Life here is tranquil and deeply local, yet infrastructure is strong and prices remain low. A three-bedroom apartment near the sea rents for just $885/month, and a brand-new four-bedroom riverfront home with a plunge pool recently sold for $411,000.
Vila Praia De Âncora
Further up the coast, this town of under 5,000 offers one of the best beach-meets-mountain combinations in Portugal. Hikers, cyclists, and nature lovers are drawn to the Serra d’Arga mountains, while golden beaches attract those seeking solitude. Properties here are astonishingly affordable—$270,000 for a modern two-bedroom new build two minutes from the sand, or $190,000 for a livable older unit in need of a refresh.
The region also offers strong infrastructure, a vibrant cultural scene, easy access to international airports, and proximity to Spain… all key benefits for relocating expats.
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