Portugal vs Spain – A League Of Their Own
Watching the FIFA World Cup 2022 has been so exciting that I’m inspired for a league of my own pitting 2 perennial heavyweights against each other: Portugal vs Spain. Both countries seem similar but upon further exploration, have distinguishing aspects and markedly different appeal. Having visited and researched both as 2nd home destination, am sharing my views here, focusing on the southern regions of Algarve in Portugal and Costa del Sol in Spain, where retirees typically flock to.
So, let this little league between Portugal and Spain begin…starting whistle – pheeeeee!
Match – Location and Climate
Nestling right next to each other in the Iberian Peninsula and separated by a 1200km border, both Portugal and Spain boast a stunning coastline and mild Mediterranean climate.
The Costa del Sol stretches over 155km from east of Malaga to the border of Cadiz along the Mediterranean Sea. It is dotted with lovely Spanish villas, countless beach clubs, marinas and cosmopolitan restaurants offering diverse cuisine.
Several mountains – my favourite is La Concha – rise impressively against its coastline, moderating summer heat and winter cold. During winter one can ski in the morning at Sierra Nevada and head to the beach for a sundowner followed by dinner. On clear days, the Atlas Mountains in Morocco can be sighted across the Mediterranean Sea, being just 15km apart!
Algarve lies in the southern-most part of Portugal from Tavira to Sagres, the very tip of the peninsula. It too has 150km of coastline, though in the Atlantic Ocean. Algarve is known for its sandy beaches, gorgeous cliffs, coves, marinas, ancient towns and of course, weather.
The most scenic and liveliest city has got to be Lagos, with its pristine beaches, turquoise waters, amazing rock formation and narrow cobbled streets that challenge even the smallest cars. Algarve has a laid-back, rustic feel attracting culture and water-sports enthusiasts.
Score: Portugal 1 – Spain 1
Match – Lifestyle
The sunny and mild weather encourages outdoor living and healthy lifestyle. Costa del Sol is vibrant, upbeat, modern and cosmopolitan while Algarve is laid-back, relaxed, cosy small-town feel with its picturesque old towns.
Both regions are home to manicured golf courses. One is spoilt for choice with 50 in Algarve and more than 70 in Costa del Sol, the latter also known as Costa del Golf, both attracting golfers all year round. It is common for retirees to spend up to 6 months chasing a little golf ball hole to hole from November to April.
Dinning is fantastic: fresh catches from the local waters either char-smoked, grilled or drenched in olive oil. Spanish tapas, prawn pil-pil and paellas are sensational!
Algarve is host to 8 Michelin Star restaurants while its neighbour has 7. The squares and undulating cobbled streets of Algarve are filled with quirky restaurants and bars. Its octopus in olive oil, grilled sardines, salted cod fish and Pasteis de Nata are world famous.
Score: Portugal 1 – Spain 1
Match – Culture & Entertainment
Next to its famous beaches, Costa del Sol has a pulsating art, culture and entertainment scene with regular exhibitions, concerts, performances, shows and of course flamenco dances. Benahavis is a hangout for artisans and creatives and Malaga hosts an annual Jazz Festival every November. Always something to do, somewhere to go, something to see. And if you get bored, there are many interesting places to explore in other parts of Spain and Portugal.
The entertainment scene in Algarve is more subdued, skewed towards culture, ancient architecture, historical squares and villages. It offers sunset and full moon parties during high summer but from mid January to end February, is quiet with many places closed.
Score: Portugal 0 – Spain 1
Match – Cost of Living
Both places are home to multi-billion dollar homes for HNWIs but those are out of the league in this discussion. Popular cities for retirees and expatriates are Marbella, Mijas, Benahavis, Estepona and Malaga, all offering excellent infrastructure. Housing wise, Costa del Sol command higher prices though price range can be very wide, depending on neighbourhood and proximity to water. For €2,500 to €3,500/sqm one can find lovely apartments though luxe development with state-of-the-art designer installation in sought-after area like Golden Mile can cost upwards of €10,000/sqm.
In Algarve, apartments are between €2,000/sqm-€2,500/sqm with Lagos the outlier at €3,000/sqm or higher. Prices have risen markedly past decade due to its popular golden visa programme.
Besides accommodation, other cost of living comparison between the most expensive city in each area are presented below:
Match – Medical Costs and Health Insurance
Medical costs are affordable, quality of healthcare is good and extensive. There are national and private healthcare with comprehensive insurance coverage in both locations. In-hospital knee replacement surgery costs €10,000-€12,000 in Costa del Sol vs €8,500-€10,000 in Algarve.
Insurance costs are higher in Costa del Sol at €100/month compared to €60/month in Algarve. However, for this difference, the hospitals in Costa del Sol are more modern with higher medical competency, latest equipment and technology, and shorter wait time.
Score: Portugal 0 – Spain 1
Community and Social Interaction
I find the Spanish more cheerful and friendly with a zest for life and good living. It is common to see customers drinking wine or beer in restaurants and bistros as early as noon, after which they take a siesta. The Spanish embody true joie de vivre with passion for cuisine, comfort and style.
This sunny disposition makes for more welcoming and pleasant social interaction, in stark contrast to the Portuguese, who have a more sombre, serious and reserve nature. They tend to look down when walking but are nice and helpful when approached. Perhaps this latent melancholy is a hangover from its fascist past, which ended only in the 70’s.
Score: Portugal 1 – Spain 1
Match – Retirement Visas
Both countries offer attractive retirement and digital nomad visas, drawing even more retirees and remote workers, sealing their favourite positions in these categories. You can read more about Spain’s Digital Nomad visa here.
Salient points for retirement visas are captured below, though not comprehensive:
Tax is tied to residence status, qualifying and exemption criteria, personal circumstance and subject to tax treaties between countries so do make personal investigation.
For the well-heeled who do not want to commit to minimum stay, there is a Golden Visa offered by both countries:
Portugal has been trying to end its wildly successful Golden Visa program recent years. It is unclear how existing visa holders will be impacted should the scheme be removed, so do make an informed decision.
Score: Portugal 1 – Spain 0
Match Verdict – Portugal 5 vs Spain 5
It’s a draw…proving both are such worthy opponents.
Extra Time
For me, the Algarve winter is too cold due to the Atlantic winds, which explains why it is dead mid January – end February. This is a major consideration for me and my husband. We want a place that is vibrant throughout winter months as that is the period we plan to be there. We want to live vividly all year instead of being locked-in during winter. We love getting our doses of Vitamin D with drinks in the sun and dinners under the stars in winter!
While Costa del Sol property are dearer than in Algarve, I favour the Spanish quality and attractiveness. Scroll through Idealista featuring properties in both Algarve and Costa del Sol and you will see what I mean. Costa del Sol offers superior choices in terms of design, landscaping, layout and facilities. Plus it hardly experience hurricanes, an important climate impact consideration. Most condominiums offer swimming pool(s), gym and some even tennis courts. Spanish home designs are world renowned, I mean, have you ever heard of Portuguese villas? All reasons driving our apartment purchase in Marbella.
For integration, Spanish language is easier to learn and more useful being the 3rd most spoken, after Chinese and English. As in any society, proficiency in local language goes a long way towards a decent level of effectiveness and connectedness to the community, even within expatriate and retiree community where English is widely spoken. Another plus.
Final Score
Spain might have been knocked out of World Cup 2022 as I write this but it remains a winner in many other ways. In my little league, Spain is the champion! It ticks all boxes and more. Are you thinking of somewhere nice for retirement or 2nd home? No better way to find out your winner than by spending extended time to fully appreciate and experience the greatness that both countries have to offer. You will have a ball of a time regardless of the winner.
To winners,
Savvy Maverick
(Main image: Reisehu, Unsplash)
Disclaimer: The views expressed here are drawn from my own experiences and do not constitute financial advice in any way whatsoever. Nothing published here constitutes an investment recommendation, nor should any data or content be relied upon for any investment activities. It is strongly recommended that independent and thorough research be undertaken before making any financial decisions, including consulting a qualified professional.
