Where is the Best Place to Live? Portugal v Spain

No, we aren’t talking football (although it’s always a good showdown). We’re talking about our new blog series ‘Where is the best place to live?’. In this post, we will be focusing on Portugal and Spain.

People decide to move to another country for lots of different reasons. Living overseas can offer new opportunities, a new career, a whole new direction, or simply a holiday destination for life. When choosing to move abroad or purchase a holiday or investment home overseas, there is lots to think about. 

Before you buy property in Spain or Portugal:

Some of the things you should consider before you buy property in Portugal or Spain are:

  • Quality of life

  • Value for money (Best currency exchange rates)

  • Healthcare

  • Education

  • Transport 

  • Taxes

  • Requirements as an expat (Insurance, Visa, Yearly income) 

  • Cost of flights home 

  • Cultural rules 


It’s not just about a better lifestyle, indulgent food, or year-round sunshine. You need to do in-depth research on and think about what you want. What are your priorities and how will Spain or Portugal meet them? Of course, there will be compromise and sacrifice along the way, but your Spanish or Portuguese dream could be on the horizon once you’ve explored the differences. If you’re considering buying a property in Spain or Portugal but don’t know which one to choose, this guide will help you to discover which will be the best choice for you. 

So which country is best to live in, Spain or Portugal? 

Well, that depends on who you speak to. Preferences are personal but to get started, let’s kick off with the similarities. 

  • Both have a rich history that is celebrated and evident throughout the country in architecture, food, local culture, and communities 

  • Both have annual celebrations, traditions and events that are deeply ingrained into their culture (La Tomatina Festival, Freedom Day)

  • They have a similar climate with a generally warm and dry climate all year round 

  • They are both on the Iberian Peninsula benefiting from beautiful landscapes and great beaches

  • They are directly next to each other, so there will be plenty of opportunities to explore both countries with ease

  • Both are around 2 to 3 hours flight time from the UK

Although they are neighbours, that’s where the similarities end. Let’s move on to the important aspects you need to consider and how Spain and Portugal perform. According to the Portuguese Chamber of Commerce, over 46,000 Britons are living in Portugal compared to 407,628 UK nationals officially living in Spain in 2021. It isn’t fair to compare as the population is so much higher as Spain is much bigger, but it is important to know why they did it.

Does size matter?

Spain is a much larger country than Portugal. This means there’s much more space to enjoy and lots of different areas to explore. Spain has a population of 47.3 million and Portugal has 10.3 million. Spain's 10 largest cities are Madrid, Barcelona, Valencia, Seville, Zaragoza, Malaga, Murcia, Palma, Las Palmas, and Bilbao. There are fewer big cities in Portugal which isn’t a bad thing, but something to consider in terms of lifestyle. 

Education Abroad

If you have children who are still of school age, you’re attending University abroad or wish to continue your education into adulthood, the standard of education will be an important factor.  Both Spain and Portugal have high-quality, free education systems. Education is compulsory in Spain up to the age of 16 and in Portugal until 18. In Portugal, the government has recently invested money to improve the education system overall. There are private and international schools available, which are popular with Golden Visa residents, but these are expensive and only available in larger cities. 

Language

Generally, Spain is less fluent when it comes to English. You will find that Spain has many more dialects as you travel around the country. English is taught and spoken widely in both countries, but Portugal is more accommodating. In cities and tourist areas you will be able to get by with minimal effort, but as you move out into towns and villages the language barrier will become more of an issue. When moving abroad, it is always a good idea to learn as much of the native language as possible before arriving in your new country of residence to avoid communication difficulties.

Healthcare

In Portugal, some procedures are covered, but it is recommended as an expat, to invest in private health insurance to cover your medical costs. Spain offers health insurance which is paid for by residents through social security payments. However, if you apply for residency after 10 years with a Golden Visa, you will be considered a resident. Healthcare in Spain frequently ranks high in the world ranking and expats benefit from free public healthcare, but they must be registered at the social security office. Dentistry costs are not covered by either country for adults, so this will need to be paid for separately. 


The Golden Visa

Both Spain and Portugal offer a Golden Visa programme. You are eligible to apply for residency when you invest in Spain or Portugal including buying property. Portugal edges Spain in this department as you can apply for citizenship after 5 years in Portugal, but this doubles to 10 years in Spain. In Spain, you are required to invest a minimum of €500k. This number is much lower in Portugal. 

A few extra tips on moving abroad…

  • Visit the country as much as you can. Choose different locations if you’re undecided and go at different times throughout the year.

  • Talk to ex-pats or find groups online. Expat communities are the best source of information when thinking of taking the plunge into living abroad yourself.

  • Talk to us about your currency exchange plans. We can help you get the best exchange rates, so your money goes further.


Will it be Spain or Portugal? We have free property guides for both countries if you need more information before you decide. Follow us or reach out today to find out more about moving to Spain or Portugal.