The Iberian Peninsula's two gems are often the final two on expat shortlists. Spain has larger cities and cheaper groceries; Portugal has a booming tech scene and the famous D7 visa. Here's how they really compare.

Overview

Category	🇪🇸 Spain	🇵🇹 Portugal
Monthly Budget	from €1,600	from €1,500
Internet Speed	248 Mbps	205 Mbps
English Proficiency	Moderate - higher in cities & tourist areas	Widely spoken (ranked #6 globally)
Climate	Mediterranean, semi-arid inland, oceanic north	Mediterranean / Atlantic
EU & Schengen	EU + Schengen	EU + Schengen
Currency	Euro (€)	Euro (€)

Cost of Living

Estimated monthly budget for a single expat (rent, food, transport, and leisure). Amounts normalised to USD for comparison.

🇪🇸 Spainfrom €1,600 (~$1,728/mo)

🇵🇹 Portugalfrom €1,500 (~$1,620/mo)

Portugal is approximately 6% cheaper based on estimated monthly budgets.

Internet & Connectivity

🇪🇸 Spain

248 Mbps

🇵🇹 Portugal

205 Mbps

Spain has faster average internet at 248 Mbps.

Language & English Proficiency

🇪🇸 Spain

Moderate - higher in cities & tourist areas

Good

🇵🇹 Portugal

Widely spoken (ranked #6 globally)

Excellent

Why Expats Choose Each Country

🇪🇸 Why Expats Choose Spain

🌞
300+ Days of Sunshine
Seville averages 3,000 hours of sun per year - the most of any major European city. Even Madrid enjoys 2,700 hours annually. Warm, dry summers and mild winters make outdoor living a year-round reality.
🍷
World-Class Food & Wine
From pintxos in San Sebastián to paella in Valencia and jamón ibérico in Extremadura - Spain's food culture is extraordinary. Meals at local restaurants start at €10–€15 including wine.
💰
Affordable Western Europe
Groceries cost 25–35% less than the UK or Germany. A comfortable expat life in Valencia or Seville runs €1,600–€2,200/month. Even Madrid and Barcelona are far cheaper than Paris or Amsterdam.

Full Spain guide

🇵🇹 Why Expats Choose Portugal

🌞
300+ Days of Sunshine
Lisbon is one of Europe's sunniest capitals. The Algarve rivals the Mediterranean coast - warm, dry summers and mild winters year-round.
💰
Affordable Western Europe
Groceries run 39% cheaper than the US. A comfortable life in Porto costs €1,500–€2,000/month - half the price of London, Amsterdam, or Paris.
🛂
World-Class Visa Options
The D7 passive income visa (€920/mo) and D8 digital nomad visa (€3,680/mo) are among the most accessible in Europe. Both lead to permanent residency after 5 years. The new Nationality Law (promulgated May 2026) extends the citizenship timeline to 10 years for most foreign nationals (7 years for EU and CPLP nationals).

Full Portugal guide

Popular Expat Cities

🇪🇸 Spain

Madrid Barcelona Valencia Málaga Alicante Seville Tenerife

Explore Spain

🇵🇹 Portugal

Lisbon Porto The Algarve Madeira (Funchal) Braga Coimbra

Explore Portugal

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Spain vs Portugal - FAQ

Is Spain or Portugal cheaper for expats?

Portugal is approximately 6% cheaper. The estimated monthly budget in Spain is from €1,600 versus from €1,500 in Portugal (including rent, food, transport, and leisure).

Which country has faster internet - Spain or Portugal?

Spain has faster average internet at 248 Mbps. Spain averages 248 Mbps and Portugal averages 205 Mbps.

Is English widely spoken in Spain and Portugal?

Portugal has stronger English proficiency (Widely spoken (ranked #6 globally)). Spain is rated "Moderate - higher in cities & tourist areas" and Portugal is "Widely spoken (ranked #6 globally)".

Which is better for digital nomads - Spain or Portugal?

Both are popular with digital nomads. Spain offers Madrid, Barcelona, Valencia as key expat cities, while Portugal has Lisbon, Porto, The Algarve. Consider internet speed, visa options, cost of living, and lifestyle when choosing.

Can I get a visa to live in Spain or Portugal?

Both countries have visa options for expats. Visit our Spain visa guide and Portugal visa guide for detailed requirements, processing times, and eligibility.

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🇪🇸 Explore Spain 🇵🇹 Explore Portugal All comparisons