It’s easy to see why Portugal has long been a favourite with international buyers. With over 300 days of sunshine a year, a relaxed pace of life and property prices that remain competitive compared with much of Western Europe, it offers an enviable mix of lifestyle and value.

Whether you’re after a sun-drenched seaside villa, a city apartment with culture on your doorstep or a rural retreat surrounded by vineyards, Portugal has something for everyone.

Here are five of the best places to buy property in Portugal, plus a few practical considerations to help you get the most from your move.

 

1. The Algarve

Portugal’s southern coast continues to top the wish list for many overseas buyers; the Algarve’s combination of golden beaches, world-class golf courses and established expat communities make it a natural choice for retirees and second-home owners alike.

Beyond the coastal resorts, you’ll find charming inland towns like Silves, surrounded by orange groves and peaceful mountain villages offering better value for money. Those seeking luxury will be drawn to the ‘Golden Triangle’ of Vilamoura, Vale do Lobo and Quinta do Lago, where modern villas, marina living and Michelin-starred dining come as standard.

With easy access via Faro Airport and year-round flights from the UK, it’s the ideal balance of convenience and coastal beauty.

 

2. Lisbon

Built across seven hills overlooking the River Tagus, Lisbon combines old-world charm with modern vibrancy. Wander through the cobbled streets of Alfama or hop on one of the city’s iconic trams and you’ll soon see why it’s so popular with international buyers.

Lisbon is also one of Europe’s fastest-growing tech hubs, attracting professionals, entrepreneurs and investors from around the world. Demand within the city has risen in recent years, but nearby coastal towns like Cascais and Estoril, both just half an hour away, offer a more relaxed lifestyle while keeping the capital within easy reach.

If you’re looking for strong rental potential alongside a cosmopolitan lifestyle, Lisbon remains hard to beat.

 

3. Porto

In the north, Porto offers an edgier yet equally appealing alternative to the capital. The city’s mix of medieval architecture, colourful riverfront buildings and contemporary design has transformed it into a hotspot for culture lovers and digital nomads alike.

Set on the banks of the Douro River, Porto is steeped in history and world-famous for its port wine. It’s also more affordable than Lisbon, with average city-centre prices being significantly lower, yet still enjoys excellent international connectivity.

For buyers seeking character properties, creative energy and a strong sense of community, Porto ticks all the boxes.

 

4. The Silver Coast

Stretching roughly 150 kilometres between Porto and Lisbon, the Silver Coast, or Costa de Prata, is Portugal’s best-kept secret. Here, long sandy beaches meet traditional fishing towns and rolling countryside.

Towns like Caldas da Rainha, Nazaré and Figueira da Foz are increasingly attracting foreign buyers who prefer a quieter, more authentic lifestyle than the Algarve offers but with easy access to both Lisbon and Porto.

With lower property prices and a laid-back pace of life, the Silver Coast is perfect for families, retirees and anyone seeking an affordable coastal retreat.

 

5. The Alentejo

For a true taste of rural Portugal, head to the Alentejo. Covering nearly a third of the country, it’s a region of wide plains, cork forests and whitewashed villages. From the Roman city of Évora to the coastal towns of Vila Nova de Milfontes and Zambujeira do Mar, the Alentejo offers space, tranquillity and some of the best value property in the country.

It’s an ideal option for those seeking a slower pace of life — and perhaps a renovation project or farmhouse with land. Despite its peaceful setting, the Algarve and Lisbon are still within easy reach.

 

What else should you know about buying in Portugal?

Buying property overseas involves more than choosing the right location. You’ll need to factor in legal, tax, and currency considerations to ensure your purchase runs smoothly:

• Property buyers will need to obtain a NIF number (the Portuguese equivalent of a National Insurance number) before making an offer.
• You’ll need a notary to oversee the sale.
• Various fees and taxes, such as IMT transfer tax, stamp duty and registry fees, will also apply.
• Consider how you’ll transfer funds for your purchase, as exchange rate fluctuations between agreeing a price and completing the sale can add thousands to your costs. Working with a currency specialist like can make a big difference, helping you secure competitive rates to make sure your budget stretches as far as possible.

 

Portugal offers an incredible range of property options to suit every taste and budget. Whether you’re drawn to the Algarve’s sunshine, Lisbon’s energy, Porto’s charm, or the rural calm of the Alentejo, understanding each area – and preparing for the practicalities – will help you decide with confidence when the time comes.

For more on buying property in Portugal, check out our comprehensive guide that breaks down everything you need to know.

 

This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Lumon or its subsidiaries, and it is not intended as a substitute for obtaining advice from the relevant professional services. We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.