How expensive is Lisbon compared to other European cities?

Lisbon is considerably cheaper than major Western European capitals but has seen significant price increases, making it more expensive than other Southern European cities. For instance, Numbeo data shows consumer prices in Lisbon are 43% lower than Paris and 38% lower than London (excluding rent). However, rent is a different story. A 1-bedroom apartment in Lisbon's city center averages €1,200 per month, compared to €800 in Porto or €600 in Faro. This makes Lisbon's rent comparable to some German cities like Berlin, where a similar apartment costs around €1,300. While groceries and dining out remain affordable in Lisbon (a meal out costs €10-€15), the rising cost of housing is a major factor. Net Life Value's Cost of Living Index puts Lisbon at 65 (against NYC at 100), while Paris is 95 and Rome is 75. If you're considering Lisbon, factor in the escalating rent prices, especially if you want to live in central, desirable neighborhoods. Other Portuguese cities offer significantly better value for housing.