Portugal's Atlantic coast runs cooler and cloudier than the interior — the Algarve averages 3,141 calibrated sunshine hours while Porto sits at 2,451. That's a 27% difference within one country, larger than the gap between Lisbon and Berlin.
Regional data
| Region | Sunshine hr/day | Temp range (°C) | Est. cost/mo |
|---|---|---|---|
| Algarve | 8.6 | 12–29 | ~€1,300 |
| Alentejo | 8.2 | 8–35 | ~€900 |
| Lisbon area | 7.8 | 11–28 | ~€1,400 |
| Setúbal coast | 7.7 | 11–27 | ~€1,100 |
| Porto | 6.7 | 8–25 | ~€1,100 |
Liveability data
| Metric | Lisbon | Algarve (Faro) |
|---|---|---|
| Precipitation mm/yr | 726 | 503 |
| Rainy days/yr | 82 | 61 |
| Avg humidity | 74% | 71% |
| PM2.5 (annual avg) | 9 µg/m³ — WHO Good (<10) | |
| Global Peace Index | 1.3 — Rank #7 globally | |
| Median broadband | 97 Mbps fixed | |
Portugal's Algarve takes 503 mm across 61 rainy days — nearly all October–March, leaving summer bone dry. Porto, 300 km north, receives over 1,150 mm across 118 days. That rainfall gap between Portugal's north and south is larger than the difference between Lisbon and Dublin.
Seasonal sunshine
ERA5-calibrated values. January–December.
Tax data
| Tax type | Rate | Notes |
|---|---|---|
| Income tax (IRS) | 28–48% | Progressive; surcharge applies above €80k |
| NHR regime | 10% flat | 10-year scheme for new residents; replaces standard IRS on eligible foreign income |
| Capital gains | 28% flat | On securities and real estate gains |
| Crypto (held >365 days) | 0% | Long-term crypto gains exempt as of 2023 |
| Crypto (held <365 days) | 28% | Short-term treated as capital gains |
| Corporate (IRC) | 21% | Standard rate; reduced rates for SMEs |
| VAT (IVA) | 23% | Standard rate; 6% for essentials |
Country comparison
| Metric | Portugal | Spain | Georgia | Italy |
|---|---|---|---|---|
| Sunshine hr/day | 7.8 | 7.4 | 6.0 | 6.3 |
| Top income tax | 48% | 47% | 20% | 43% |
| Capital gains tax | 28% | 23% | 0% | 26% |
| Est. cost/mo | ~€1,400 | ~€1,600 | ~€800 | ~€1,600 |
| Special regime | NHR 10% | Beckham Law | Flat 20% | Flat €100k |
Common questions
Lisbon averages 2,853 calibrated sunshine hours per year — about 7.8 hours per day. This is ERA5 satellite data corrected against WMO ground stations, not a raw estimate. It places Lisbon well above Paris (1,662), Berlin (1,625), and London (1,477), but below Seville (2,900) and the Algarve (3,141).
Portugal's NHR (Non-Habitual Resident) regime was its strongest tax draw — a flat 10% rate on eligible foreign income for 10 years. The original NHR scheme closed to new applicants in 2024 but was replaced by IFICI (similar structure). For those without the regime, the standard IRS tops out at 48% on high income, making it less attractive. Capital gains tax is 28% flat.
The Algarve leads with 3,141 hr/yr — outperforming even Lisbon by 10%. The Alentejo interior follows (2,980 hr/yr), benefiting from continental dryness. Porto, on the Atlantic northwest, is Portugal's cloudiest major city at 2,451 hr/yr. All values are ERA5-calibrated.
Portugal generally runs 10–20% cheaper than equivalent Spanish cities. Lisbon (~€1,400/mo) vs Madrid (~€1,600/mo); Porto (~€1,100/mo) vs Barcelona (~€1,700/mo). The Algarve competes directly with Costa del Sol at similar price points (~€1,200–1,300/mo). The Alentejo interior is Portugal's most affordable region at ~€900/mo.
Yes — Portugal's D7 Passive Income Visa is the standard route for American retirees. It requires demonstrating minimum passive income (currently ~€760/mo). The IFICI regime (successor to NHR) may provide flat-rate tax on eligible foreign-source income. US-Portugal tax treaty applies but does not eliminate Portuguese tax obligations on local-source income.
Keep exploring
Explore calibrated sunshine data at 0.5° resolution across all of Portugal — region by region.
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