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Lisbon vs Madrid: Cost of Living Compared

A side-by-side comparison of rent, daily expenses, and quality-of-life factors in Lisbon (Portugal) and Madrid (Spain). Data sourced from official government statistics, updated 2026.

CategoryLisbonMadrid
CountryPortugalSpain
CurrencyEUR (€)EUR (€)
1BR Rent Range€820 - €1,800€750 - €1,800Cheaper
2BR Rent Range€1,100 - €2,400Cheaper€1,050 - €2,700
Groceries / mo€300€280Cheaper
Transport Pass / mo€40Cheaper€55
Dining Out / mo€150Cheaper€180
English Level4/5 (Good)Cheaper3/5 (Moderate)
Neighborhoods Tracked1213
Healthcare SystemPublic (SNS)Public + Private common

Verdict

Lisbon and Madrid are comparable in overall cost of living, with each city being more affordable in different categories. Your personal priorities and salary will determine which offers a better lifestyle. Use our calculator to compare based on your actual income.

Explore Lisbon

12 neighborhoods, rent data, and full cost breakdown in Portugal

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Explore Madrid

13 neighborhoods, rent data, and full cost breakdown in Spain

View Madrid details

Calculate your salary in both cities

Enter your gross salary to see net pay, rent affordability, and savings potential in Lisbon and Madrid.

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Frequently Asked Questions

Is Lisbon or Madrid cheaper to live in?

Lisbon and Madrid have similar overall costs, with each being cheaper in different categories. The best choice depends on your priorities and lifestyle.

What is rent like in Lisbon vs Madrid?

In Lisbon, 1-bedroom rents range from €820 to €1,800 per month across 12 neighborhoods. In Madrid, 1-bedroom rents range from €750 to €1,800 per month across 13 neighborhoods.

How do transport costs compare in Lisbon vs Madrid?

A monthly public transport pass costs €40 in Lisbon and €55 in Madrid. Both cities have well-developed public transit systems.

Which city is better for expats, Lisbon or Madrid?

Lisbon has an English proficiency rating of 4/5 (Good) and Madrid rates 3/5 (Moderate). Lisbon uses Public (SNS) healthcare, while Madrid uses Public + Private common. Both factors are important for expats considering a move.

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Updated Mar 2026

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© 2026 AffordWhere. Estimates only, not financial advice.

2026 tax rules • Mar 2026 rent data