Moving to Portugal from USA: A Guide

Portugal is one European country that has become a hotspot for US citizens to relocate and settle. Moving to Portugal from the USA not only lowers the cost of living considerably, but the high quality of life that is a given when living in Portugal is difficult to match.

Portugal is blessed with a warm climate all year round and a slow and relaxed lifestyle. Americans living in Portugal can look forward to sunny days on pristine beaches in the Algarve region, exploring Portugal’s oldest cities and vibrant Portuguese city centers, and once you acquire a Portuguese residence permit through one of the Portuguese visas, you can enjoy visa-free travel to any other European country.

This article is your ultimate guide to moving to Portugal from the USA and will discuss everything you need to know before starting the process, offer a step-by-step guide for relocating to Portugal through various residency programs such as the Golden Visa and D7 Visa programs, and share the advantages of living in this beautiful Western European country.

The Portuguese Visa Process for Moving to Portugal from the US

One of the key reasons why Portugal is one of the best countries for American expats and retirees is due to the wide range of residency options on the table.

Portugal offers various Portugal visa options for you to live, work, and study in the country. These options include the Portuguese Golden Visa, D3 Visa, D7 Visa, D8 Visa, and Family Reunification Visa. The Golden Visa and the D7 Visa are the easiest routes to take to get your initial temporary residency visa in Portugal and ultimately obtain European citizenship after five years of having legal residence in Portugal.

A Portugal visa for US citizens can be obtained through your local Portuguese Embassy or Portuguese Consulate. The visa process is carried out by AIMA, which is the agency for migration and asylum. Let’s delve into some of the visa options to enter Portugal and get a Portuguese residency permit.

 Portugal Golden Visa Program

The Portugal Golden Visa was introduced in 2012 and is a five-year residency-by-investment scheme for non-EU nationals, including Americans wanting to move to Portugal. The intention of the Golden Visa is to attract foreign investors, who can obtain Portuguese resident cards through investment. The Golden Visa residence permit enables you to settle, work, and study in Portugal.

Also, the Golden Visa allows you to travel across the Schengen area without any restrictions.

To qualify for the Golden Visa program, you must fulfill the following Golden Visa requirements for Portugal:

• Have a clean criminal record
• Be either non-EU, non-Swiss, or non-EEA national
• Minimum investment of €250,000, with a range of investment routes to choose from, including investment or donation in the arts or reconstruction of national heritage, scientific research, and the creation of ten jobs
• Meet all legal requirements, including an average of seven days spent per year in Portugal, guaranteeing a total of 14 days during the validity of each residence card (issued with a validity of 2 years)

Please read our guide to the Portugal Golden Visa to learn more.

Portugal D3 Visa

The Portugal D3 Visa was created by the Portuguese government to attract highly qualified professionals looking to work and live in Portugal on a Portuguese residency visa. To apply for the D3 Visa, applicants from outside the European Union/EEA/Switzerland can conveniently do so through the E-Visa Portal, which is the Portuguese Consulate in the applicant’s country of residence, or via VFS Global, an intermediary appointment system. After you move to Portugal and have lived here for five years with a D3 Visa, you can apply for a permanent residence permit or citizenship.

One of the eligibility factors for the D3 Visa is that the applicants must have a formal job offer or a binding contract from a Portuguese employer. There is a great selection of jobs in Portugal for Americans in various industries.

Moving to Portugal from the USA requirements with the D3 Visa include:

• A clean criminal record, proven by a criminal record certificate
• The applicant must have a valid employment contract or a preliminary employment contract, which is valid for a minimum of twelve months.
• There has to be proof of professional qualifications or a professional certificate.
• The applicant has to show that their work is a highly qualified activity and that they have the required experience for the job.
• Proof that the D3 Visa applicant’s expected annual salary is at least 1.5 times the Portuguese minimum wage (€820) or three times the Index of Social Support (IAS), which is €509,26 as of 2024.

Portugal D7 Visa

The Portugal D7 Visa, also known as the Passive Income Visa or Retirement Visa, is for Americans moving to Portugal and other non-EU citizens who earn a regular passive income from pensions, rental income, financial investments, or other sources. It is popular among American citizens who wish to spend their retirement in Portugal, and after five years, they can apply for citizenship in Portugal, with the country allowing dual citizenship.

In order to be eligible for the Portugal D7 Visa, you must be able to reside for more than 183 consecutive days per calendar year in Portugal and meet the requirements outlined below:

• Be a non-EU/EEA/Swiss national
• Earn a passive income of at least €760 per month (as mentioned above, this passive income can come from different sources)
• Have a clean criminal record
• Show proof of a residential address where you will be living in Portugal

Portugal D8 Visa

Launched by the Portuguese government in October 2022, the Digital Nomad Visa, also referred to as the D8 Visa, is designed for individuals working remotely in Portugal who are non-EU and US citizens who want to work and live in Portugal. Digital nomads can obtain a residence permit with this visa and, after five years of legal residency, can apply for citizenship.

To qualify for the Digital Nomad Visa, the requirements include:

• Being from a non-EU or a non-EEA country
• Be self-employed or employed by a business with a location outside of Portugal.
• Earn four times the minimum wage in Portugal, which, at the moment, amounts to around €3,280 per month

Costs comparison of different Visa types

The different visa options we’ve explored also come with different costs that you will need to factor into your planning when researching how to immigrate to Portugal. Here are the costs, investments, and income requirements you can expect to encounter when applying for each visa:

Of course, these fees and costs may vary depending on changes in the visa requirements and your country of residence. Not to mention, there are other visa options with varying fees, like the work visa Portugal offers. So, confirming with a migration expert, like the experts at Global Citizen Solutions before starting your journey to Portugal is a good idea.

Required documents to apply for a Portuguese residence visa

As a US citizen planning to move to Portugal and begin your Portuguese immigration journey, you need to submit your residence visa application form to the Portuguese Embassy or the Portuguese Consulate in the USA.

The list below includes the standard required documents you will need to submit for screening by the Portuguese government in order to enter Portugal, irrespective of the visa type you are applying for, which could be the Portugal Golden Visa, D7 Visa, or Digital Nomad Visa. You will then have to download a Portuguese visa application form for the Schengen area or European countries.

These are the documents that you need to submit when you apply for the Portuguese visa:

• Two passport-size photographs
• A valid passport that extends for three months longer than the duration of your stay
• A valid travel insurance contract that covers you for the Schengen area
• A copy of the return ticket, depending on your nationality
• Flight dates and time
• Accommodation proof for the duration of your stay
• Proof of sufficient funds in your bank account for your duration of stay
• Proof of economic status
• Proof of civil status
• Some additional documents that will depend on your reason for the visit, for instance, a work contract, proof of enrollment in a Portuguese institution, proof of investment for the Golden Visa scheme, etc.

Permanent residency or Portugal citizenship for US citizens

After getting your temporary residence permit in Portugal through the Golden Visa or other naturalization visa routes and renewing it within five years, you can apply for permanent residency or Portuguese citizenship and obtain a Portuguese passport.

The application will cost you around €220 ($240), and these are the documents that are required to get your permanent residence permit:

• Valid passport
• Two colored passport-size photographs with a blank background
• A standard application form
• Valid temporary residence
• Proof of accommodation
• Proof of sufficient income to live in Portugal
• Clean criminal record, verified by AIMI
• Proof of basic Portuguese language

As a part of your language proficiency proof, you can submit the following:

• A certificate from an officially recognized teaching institution
• Completing the language studies issued by the teaching institution
• Completing the elementary Portuguese studies issued by the Institute for Employment and Professional Training (IEFP)
• A certificate of education in essential Portuguese, such as Teaching Portuguese as a Foreign Language (CAPLE), is recognized by the Ministry of Education and Science.

Why move to Portugal?

Whether you are considering moving to Portugal and gaining residency through the Portugal Retirement Visa (D7 Visa) or other options like the Portugal Golden Visa program, Portugal offers American expats a high quality of life in Western Europe. If you maintain your residency in Portugal for five years, you can also apply for Portuguese citizenship, with the country allowing dual citizenship.

The number of Americans living in Portugal has certainly risen in recent years, totaling around 14,126 in 2023 according to the Agency for Integration, Migration, and Asylum (AIMA). This is no surprise considering the warm weather all year round, the beautiful country landscapes, and the unique local culture.

The country is also a top choice for US expats as money will certainly go a lot further in Portugal. Living in Portugal as an American, you will find quality property, healthcare, schooling, and living expenses available at an affordable cost. The country is very safe, and with the welcoming nature of Portuguese people, Americans, and other foreigners often feel immediately at ease when immersed in Portuguese culture.

Weighing the pros and cons of moving to Portugal is the best way to decide if it’s the right step for you. Here’s a brief look at the main considerations.

The pros of moving to Portugal

• Pleasant climate: Most of the year is soaked in sunshine for many areas in Portugal, particularly in Southern Portugal. 
• Affordable cost of living for a European country: Compared to the USA and Western European countries, Portugal’s cost of living is significantly lower.
• Safety: Portugal has low crime rates and is ranked seventh on the 2024 Global Peace Index.
• Beautiful scenery and beaches: Boasting some of the best beaches in the world and home to stunning natural landscapes, Portugal is the perfect destination for nature lovers.
• High-quality education: Families with children have excellent options for international schools.
• A well-functioning healthcare system:  Portugal offers a robust, reliable public healthcare network and world-class private healthcare options.
• English spoken widely:  Portugal is ranked eighth on the global English Proficiency Index, categorizing the country as having a very high proficiency in speaking English.
• Favorable real estate market: Portugal real estate consistently sees positive growth in value, making buying property in Portugal a smart investment.
• Excellent food: From traditional to modern cuisine, Portugal is a hotspot for foodies.
• Top nightlife: Portugal nightlife has something for everyone. From north to south, the country has much to offer, whether you enjoy a night out on the town or a calm bar to enjoy sensational sunsets.

The cons of moving to Portugal

• Portuguese language takes time to learn:  While Portuguese people speak English quite well, Portuguese remains the primary language, and you will find parts of the country away from tourist areas where they are not as well versed in English. This means you might need to learn Portuguese, or at least the basics of the language, to communicate when needed outside of the major cities.
• Bureaucracy: The slow processes can be frustrating.
• Scarce central heating: Some of the older homes do not have central heating and can get cold at night.
• Carrying cash: Not all establishments accept Visa or Mastercard payments. So, it will be best to carry cash at all times, which can be a hassle.

Americans retiring in Portugal

Portugal is considered one of the world’s best countries for Americans to retire. If you are planning to retire in Portugal, the country has a variety of lifestyle options to consider. All you have to do is find out what you want from your retirement. You can opt for peaceful gardening projects, play golf, or volunteer in the neighborhood. Portugal is a versatile country with many alternatives; you can stay in a vibrant expat community or move to a serene location to have an authentic Portuguese lifestyle experience.

Here are some of the benefits for Americans retiring in Portugal:

• Quality healthcare at an affordable cost
• Political stability
• Fresh local produce food
• Easy Portuguese immigration rules
• Tolerant and friendly community
• Easy route to the European Union
• Tax breaks

Moving to Portugal from the USA

The process of moving to Portugal for US citizens is straightforward. However, you need to know the Portuguese laws that are specific to foreigners entering the country. In this section, we will brief you on the laws regarding customs, goods, storage, pets, and vaccination. Think of this as a moving to Portugal from USA checklist so that you are best prepared for the relocation process.

Moving to Portugal from USA as an American: Customs requirements

According to Portuguese customs law, Americans moving to Portugal must be present in the country before their shipment arrives for inspection. Before moving to Portugal, you need to get the Certificado de Bagagem (luggage certificate) from the local Portuguese Consulate or diplomatic mission.

The certificate can be acquired by providing the complete inventory of your household goods and possessions that you are relocating to Portugal. You won’t have to pay tax on household goods and furniture, which will be admitted into Portugal free of duty if you can prove that they have been in your possession for more than a year. The shipments mentioned in the Certificado de Bagagem will arrive within 90 days after your arrival in the country.

Some of the items that are prohibited from entry to Portugal are:

• Drugs and narcotics
• Firearms, ammunition, and weapons. However, a caliber of 7.62mm is permitted with a special permit, but anything over this is banned.
• Gold bars
• Pornographic materials
• Games of chance
• Perishable food items

Below are some of the restricted or “subject to duty” items:

• Items that are less than six months old
• Tobacco products
• A reasonable quantity of spirits and wine
• Antiques
• Vehicles owned for at least six months can be imported subject to duty and tax. The tax and duty depend on the make, age, engine size, and model.

Shipping and flying goods

There are several options to ship household items to Portugal when you are relocating. Shipping by sea is the cheapest and slowest option, and it will take one to three months for the products to reach you. Air freight is the fastest and most expensive option, costing twice as much as sea freight. By air freight, your items will reach you within a week.

By road is the best option to ship your items and is slightly more expensive than sea freight. The items will reach you in a couple of weeks. However, road freight is obviously not an option for items coming from the US. You can opt for sea freight, an affordable alternative to shipping by road.

Storage for moving from USA to Portugal

The options in Portugal are limited if you are looking for short or long-term storage to keep your items. You can still find a few self-storage options in bigger cities. To book a storage facility in Portugal, you need to plan in advance. You need to search for storage companies online near the place that you are planning to move to. If you contact them either via email or phone call, they will give you a quote, and you can book the storage facility in advance.

Vaccination

Portuguese immigration does not require any specific medical tests or vaccinations when you apply for your residence permit in Portugal. However, it is recommended to visit your doctor before traveling to get some advice on other vaccinations that are right for you, such as Hepatitis A, B, or, on rare occasions, rabies.

Moving to Portugal from the US with pets

Portugal allows you to bring up to five animals into the country as long as they are for non-commercial purposes. The importation rules depend on where you are moving in from, within or outside the European Union. Let’s see the requirements to bring your pets into the country when you obtain a temporary residence permit in Portugal.

• A European pet passport with relevant information about the pet. The passport must be issued by an authorized veterinarian from the US and sealed and signed by the issuer.
• The pet must have a microchip or a pet tattoo. This is valid only if it was done before 3 July 2011. The identification number or the microchip or tattoo must be mentioned in the pet passport.
• The pet must be vaccinated against rabies. The rabies vaccination is done for pets that are three months old. This means that pets under three months are not allowed to enter the country.
• If you have just vaccinated your pet, there is a 21-day waiting period before you can move your pet into the country.
• There are some breeds considered dangerous. In such cases, you need to sign a liability term and get a special permit from a local veterinarian.

Best Portuguese Cities for Americans Moving to Portugal to Live

Like most other Western European countries, Portuguese cities are small compared to US cities. Cities such as Lisbon, Porto, and, increasingly, Braga have a lot of influence throughout Western Europe in economics, trade, and tourism. The biggest city in Portugal is Lisbon, the capital city, which has a unique and bustling lifestyle. If you want to move away from the city when living in Portugal, you can enjoy an idyllic lifestyle on the coast of the Algarve region.

Wherever you are staying in Portugal, the cost of living is affordable compared to the US, although Lisbon does have its own price range. Most of the cities have fascinating architecture and a strong connection to the history of Portugal.

A number of areas would work out nicely for American expats wanting to relocate to Portugal, depending on what your goals are and what you value most. We recommend doing plenty of research on different areas and traveling around to discover which part of the country is well suited to you. Some of the best cities in Portugal that Americans living in the country usually opt for are located in the following areas:

• Lisbon
• Cascais
• Porto
• Algarve

Towns on the Silver Coast, such as Peniche or Nazaré, could also be excellent options, as could the autonomous islands of Madeira and the Azores. You will also find citizens of the USA settled in Figueira da Foz in the Coimbra region. Portugal offers a mix of vibrant cities and serene, peaceful towns. Let us see some of the famous cities and top locations that you can consider living in after moving to the country.

Lisbon

Lisbon, the cosmopolitan capital of Portugal, is the country’s bustling business center. The population of Lisbon is just over three million people, and with the stunning Tagus River and the Atlantic Ocean nearby, you have many waterside properties and excellent beaches to enjoy. If you are into charming architecture, then Lisbon may be the place for you, as you’ll stumble upon buildings and structures from both Moorish and Roman Empire rule.

The liveliness of the city centre, along with the historic centers and access to lovely beaches, make the capital city an ideal choice for expats looking for the best of both worlds. Also, most of the locals in Lisbon can speak English, particularly the younger generations, which makes it a very favorable city for American retirees who are yet to learn Portuguese. Avid travelers will also be able to jet around easily, with the Lisbon Airport facilitating easy international travel, including flights to the USA.

Read our Lisbon real estate guide if you would like to learn more about Lisbon.

Porto

Porto is the second largest city in Portugal after Lisbon, with a population of 1,329,300. It is often overlooked by retirees and others who are relocating to Portugal because of its northern position. Porto is a safe and gorgeous city on the banks of the Douro, which has now cemented itself as one of the most captivating cities in Europe and is regarded as one of the top European cities of the future. It is less expensive compared to Lisbon, making it very affordable for US retirees. Porto is a trending spot for Americans too, who enjoy the affordable cost of living and healthcare, as well as the relaxed and culturally-enriched lifestyle.

Braga

Braga is considered to be the oldest city in Portugal and a great alternative to Lisbon and Porto for American retirees relocating to Portugal and looking for a quieter place to live. Braga is famous for its charming streets, quiet lifestyle, and rich history. Braga is positioned in such a way that you can access pristine beaches in 30 minutes and mountains in 15 minutes, Porto is less than an hour away, and even Spain is just a 40-minute drive away. Braga plays an important role in the history of Catholic churches and the Christian faith in Portugal and is the home to one of Portugal’s oldest cathedrals.

Read our Braga real estate guide if you would like to learn more about Braga.

Madeira

An absolute dream for American expats, particularly for retirees looking for a perpetually fabulous climate. Funchal is the island’s largest city, with a magnificent location and mild weather year-round. It is the best option for American retirees seeking an island paradise to settle in.

Read our Madeira real estate guide if you would like to learn more about Madeira.

Coimbra

Once the capital of Portugal, Coimbra is now a stunning city that offers something for everyone, with the Modego River running through it. It is well connected to other parts of the country by train. The cost of living in Coimbra is less compared to other Portugal cities, as it is a student city.

Coimbra has a lot of interesting architecture and culture on offer to make it the ideal option for American citizens moving to Portugal after their retirement. Coimbra is also the home to Portugal’s oldest university, providing a lively atmosphere to the city. The countryside in the surrounding area would also make an exceptional home, with property prices very attractive to prospective buyers.

Read our Coimbra real estate guide if you would like to learn more about Coimbra.

Portimão

Portimão is a sunny city in the Algarve that has proven year after year to be a very popular destination, making it an interesting option to retire to Portugal from the USA. A popular tourist destination in the summer, Portimão gives a pleasant vibe with its beach cafes and relaxed ambiance. Portimão is well connected to major locations such as Lagos and Faro, making it very easy to get around. The fabulous Praia do Rocha beach can be found here, one of the best beaches in Southern Portugal. There are several charming cities in the Algarve to consider if you are looking to move to Portugal, each with its own unique charm and character. Some cities that are worth a look include Faro, Vilamoura, the Golden Triangle in the center, Lagos, and Tavira.

You can find out more about Portimão in our article: Portimão Portugal Real Estate.

Opening a Portuguese Bank Account when you Move to Portugal

As an American citizen with the intention of moving to Portugal, you must get an NIF number in Portugal. The NIF is a tax identification number that you will need for any financial transactions, including setting up a Portuguese bank account. To get a NIF, US nationals will need to have a fiscal representative.

When you have secured your NIF number, opening a Portuguese bank account is usually easy and straightforward, provided you have the correct documents. When it comes to banking in Portugal, you have a range of options, from online banks to more traditional banks, including many that offer mortgages to foreigners.

Because of the strict regulations enforced by the IRS in compliance with the Foreign Account Tax Compliance Act (FATCA), a few banks might not accept US citizens as clients. Therefore, you need to find one of the banks that allow Americans to open a bank account in Portugal after getting your NIF number. Some of the best banks to consider in Portugal are Millennium BCP, Novo Banco, Banco BPI, and Banco Santander Totta.

Taxes for American Expats in Portugal

American expats living in Portugal will likely need to file both US and Portuguese tax returns. You will pay taxes on your Portuguese earnings in Portugal and American earnings in America. The US expects all US citizens, irrespective of where they are living, to disclose their worldwide income to the IRS. However, the US has a tax agreement with Portugal to prevent double taxation on your income.  Please go through the foreign-earned income exclusion specifications to check if you are eligible for any exclusions.

How can Goldcrest help you?

At Goldcrest, we provide an independent property-buying service and buyer’s agent in Portugal. So, why work with a buyer’s agent? We present you with insightful real estate expertise and strategic advice. You can just sit back and relax as we do all the hard parts for you, from sourcing to property acquisition in some of Portugal’s finest locations.

Get in Touch

Whether you are looking for a beach house in the Algarve, a modern apartment in Lisbon, or a country home in the depths of the Portuguese countryside, the Goldcrest team will be more than happy to discuss your needs and how we can help you snap up your ideal property in Portugal. All you need to do is contact us via the form below and one of our friendly experts will be in touch.