Buying Property in Portugal: Ranking the Cheapest Cities
Despite the rising real estate market, purchasing a house or apartment in Portugal remains far more affordable than in many other European countries. Below is an overview of the least expensive towns for property investment—complete with proximity details, average prices, and lifestyle highlights. You might be surprised at how budget-friendly some areas can be, even near major cities.

Nisa: Portugal’s Cheapest Town

Location and Property Prices

• Where is it?
  Nisa is located inland in the Portalegre district, boasting the lowest property prices in the country.
• Average Price:
  Approximately €420 per square meter in 2023.
• Example:
  You can find a small, 3-bedroom house of around 90 m² for about €50,000.

Amenities

• Proximity to Larger Cities:
  • A 20-minute drive to Portalegre
  • Around 45 minutes to Castelo Branco
• Local Services:
  Multiple supermarkets, shops, and restaurants. For a wider range of amenities—like shopping centers, hospitals, and higher education—Portalegre is your go-to, just 20 minutes away.
• Schools:
  Nisa has primary and secondary schools. For university-level studies, Portalegre’s higher education institutions are nearby.
• Accessibility & Leisure:
  Good road connections (via the A23), plus a medieval castle on a hilltop with panoramic views of the town and surrounding countryside.

Towns Under €500/m²

Across Portugal, you can still find properties for under €500 per square meter—much cheaper than in other European markets. For context, the cheapest city in France averages around €1,300/m².

Below are some of Portugal’s most budget-friendly locations:

Towns Under €800/m²

For those willing to spend a bit more—up to €800/m²—here’s an extended list of affordable areas:

Baião: The Cheapest Town Near Porto

Five Times Cheaper Than Porto

• Location:
  About 80 km east of Porto, with prices around €718/m²—a fraction of Porto’s cost.
• Lifestyle & Amenities:
  Local supermarkets, shops, restaurants, and healthcare services. Sports facilities (football, tennis) also cater to residents.
• Education:
  Several primary and secondary schools in Baião. For more extensive educational options, students typically commute to Porto.
• Transport Links:
  The A4 highway runs through Baião, connecting Porto and Bragança. Travel time to Porto is roughly one hour by car.

Setúbal: The Cheapest Town Near Lisbon

An Affordable Alternative

• Average Price:
  Around €2,300/m², significantly lower than Lisbon’s €3,800/m².
• Location & Commute:
  Approximately 50 km south of Lisbon, easily accessible by train or ferry.
• Lifestyle & Scenery:
  Beloved for its natural environment, including beaches, mountains, and the Arrábida Natural Park.
• Why Choose Setúbal?:
  It’s often considered a more budget-friendly option for those who want to live near Lisbon’s major services and job market without paying premium city-center prices.

Final Thoughts

Portugal offers a surprising range of affordable properties, from small inland towns to areas not far from major cities like Porto and Lisbon. While remote regions (like Nisa or Baião) cater to those seeking quiet and lower cost of living, places like Setúbal strike a balance between city access and cheaper real estate.

Whether you’re looking for a primary residence, a vacation home, or an investment property, there’s likely a Portuguese location that fits your lifestyle and budget. Just be sure to consider factors like commuting, local amenities, and your long-term plans before signing on the dotted line—and enjoy exploring all that Portugal’s diverse regions have to offer.