Cost of Living Comparison Between Reykjavik and Lisbon Cost of Living Comparison Between Reykjavik and Lisbon

Monthly Cost of Living

Monthly costs for one person with rent: $3,869 in Reykjavik versus $2,291 in Lisbon.

Estimated couple costs with rent: $5,475 in Reykjavik versus $3,322 in Lisbon.

Monthly costs for a family of three with rent: $7,081 in Reykjavik versus $4,354 in Lisbon.

Living in Reykjavik is roughly 69% more expensive than in Lisbon, driven mainly by Groceries & Markets.

Both cities are pricier than the global median: Reykjavik 190% above, Lisbon 71% above.

Meal at Budget Restaurant

$27.43 ISK 3,418

$16.19 €14.15

69.43%

Three-Course Dinner for Two, Mid-Range

$142 ISK 17.7K

$63.3 €55.3

124.47%

Fast Food Meal (McDonalds, etc)

$22.54 ISK 2,809

$10.32 €9.02

118.41%

Cappuccino

$6.05 ISK 754

$2.83 €2.47

113.78%

Coke/Pepsi/Fanta/Sprite (0.33 liter bottle)

$3.22 ISK 402

$2.29 €2.00

40.61%

Water (0.33 liter bottle)

$2.52 ISK 314

$1.58 €1.38

59.49%

Local Beer (0.5 liter draught)

$12.93 ISK 1,611

$3.40 €2.97

280.29%

Imported Beer (0.33 liter bottle)

$11.39 ISK 1,420

$4.03 €3.52

182.63%

Milk (1 liter)

$1.89 ISK 235

$1.09 €0.95

73.39%

White Bread (500g)

$4.19 ISK 522

$1.75 €1.53

139.43%

Rice (white) (1kg)

$3.54 ISK 441

$1.76 €1.54

101.14%

Eggs

$6.31 ISK 786

$3.17 €2.77

99.05%

Local Cheese (1kg)

$18.00 ISK 2,243

$13.19 €11.53

36.47%

Chicken Fillets (1kg)

$24.46 ISK 3,048

$7.97 €6.96

206.90%

Beef Round Steak (1kg)

$41.94 ISK 5,226

$15.53 €13.57

170.06%

Apples (1kg)

$3.33 ISK 415

$2.37 €2.07

40.51%

Banana (1kg)

$2.40 ISK 300

$1.71 €1.49

40.35%

Oranges (1kg)

$3.03 ISK 377

$2.01 €1.75

50.75%

Tomato (1kg)

$5.13 ISK 639

$2.43 €2.12

111.11%

Potato (1kg)

$3.66 ISK 455

$1.76 €1.54

107.95%

Onion (1kg)

$2.42 ISK 302

$2.03 €1.78

19.21%

Lettuce (1 head)

$3.17 ISK 394

$1.92 €1.68

65.10%

Water (1.5 liter bottle)

$1.93 ISK 241

$0.85 €0.74

127.06%

Cigarettes 20 Pack (Marlboro, Camel)

$13.76 ISK 1,714

$6.58 €5.75

109.12%

Wine (Bottle)

$22.67 ISK 2,825

$5.58 €4.87

306.27%

Local Beer (0.5 liter bottle)

$3.75 ISK 467

$1.33 €1.16

181.95%

Imported Beer (0.33 liter bottle)

$3.26 ISK 406

$2.97 €2.60

9.76%

One-way Ticket (Public Transport)

$5.30 ISK 661

$2.28 €1.99

132.46%

Public Transport Monthly Pass (Regular Price)

$88.2 ISK 11.0K

$45.79 €40.01

92.66%

Taxi Start (Normal Tariff)

$6.51 ISK 811

$4.23 €3.69

53.90%

Taxi (Normal Tariff) (1km)

$2.57 ISK 321

$0.81 €0.71

217.28%

Taxi 1hour Waiting (Normal Tariff)

$86.4 ISK 10.8K

$18.44 €16.11

368.66%

Gasoline (1 liter)

$2.52 ISK 314

$2.08 €1.82

21.15%

Midsize Hatchback 1.4l (Volkswagen Golf, Toyota Prius, Honda Civic, etc)

$47.7K ISK 5.9M

$34.7K €30.3K

37.70%

Compact Sedan 1.6l (Toyota Corolla, Mazda3, Kia K4, Hyundai Elantra, etc)

$51.8K ISK 6.5M

$39.2K €34.2K

32.41%

Utilities for 2 People in 2-bedroom Apartment (Heating, Electricity, Gas, Water, Garbage) (85m2)

$87.1 ISK 10.9K

$148 €129

-41.17%

SIM Card Monthly Plan (Calls and 10GB+ Data)

$27.13 ISK 3,380

$20.46 €17.88

32.60%

Internet (50+ Mbps, Unlimited Data)

$85.4 ISK 10.6K

$39.56 €34.56

115.87%

Gym Membership (Monthly)

$84.0 ISK 10.5K

$47.99 €41.93

75.10%

Tennis Court (1 Hour on Weekend)

$38.12 ISK 4,750

$18.60 €16.25

104.95%

Cinema Ticket

$17.35 ISK 2,162

$9.22 €8.06

88.18%

Preschool or Kindergarten, Full Day, Private, 1 Child (Monthly)

$319 ISK 39.8K

$616 €538

-48.19%

International Primary School, 1 Child (Yearly)

$30.7K ISK 3.8M

$16.4K €14.4K

86.60%

Jeans (Levis 501 Or Similar)

$138 ISK 17.1K

$103 €89.7

33.90%

Summer Dress (H&M, Zara, etc)

$62.8 ISK 7,821

$41.74 €36.47

50.38%

Sport Shoes (Adidas, Nike)

$182 ISK 22.7K

$94.8 €82.8

92.15%

Men's Leather Business Shoes

$269 ISK 33.5K

$122 €107

120.51%

1-bedroom Apartment, City Center (Monthly)

$2,254 ISK 280.8K

$1,633 €1,426

38.05%

1-bedroom Apartment, Outside City Center (Monthly)

$2,008 ISK 250.2K

$1,232 €1,077

62.92%

3-bedroom Apartment, City Center (Monthly)

$3,231 ISK 402.6K

$3,098 €2,707

4.29%

3-bedroom Apartment, Outside City Center (Monthly)

$2,756 ISK 343.4K

$2,031 €1,775

35.69%

Buy Apartment in City Center (m2)

$7,955 ISK 991.2K

$7,831 €6,842

1.59%

Buy Apartment Outside City Center (m2)

$6,156 ISK 767.1K

$4,389 €3,835

40.26%

Average Monthly Net Salary (After Tax)

$4,438 ISK 553.0K

$1,607 €1,404

176.14%

20-Year Fixed Mortgage Interest Rate (Annual %)

9.63

3.81

152.76%

CityCost data is based on AI and user input – minor inaccuracies may occur.

Last update for Reykjavik: July 11, 2026

Last update for Lisbon: July 14, 2026

Cost Breakdown

A one-bedroom apartment in the center runs $2,254 in Reykjavik and $1,633 in Lisbon. Housing cost is often the main lever when comparing two cities.

Reykjavik pays 176% more on average. The extra income cushions the higher costs, though housing choices and lifestyle decide how much of the gap is truly closed.

Dining out: $142 in Reykjavik vs $63.0 in Lisbon for a mid-range dinner for two. Groceries echo the gap at $593 vs $267 per month, with Lisbon cheaper across the board.

City Median Internet Speeds Comparison (Updated April 2026)

The chart highlights the Precision Threshold for mobile and fixed broadband internet speeds, updated quarterly.

Digital Nomad Cost of Living Index

Reykjavik vs Lisbon: Cost of Living - Frequently Asked Questions

Reykjavik and Lisbon differ by about 69% in total monthly costs ($3,869 vs $2,291 including rent). Lisbon is meaningfully more affordable – a gap that matters a lot on a fixed or modest income.

Average pay runs 176% higher in Reykjavik, which matters when comparing affordability. Whether that higher income actually nets you more depends on your spending habits and housing choices.

Rent for a central apartment: $2,254 in Reykjavik versus $1,633 in Lisbon. Housing is usually the single largest factor when comparing overall living costs between the two.

Childcare runs $319 in Reykjavik versus $616 in Lisbon. Over years of preschool, even a modest monthly gap compounds into a major financial factor for families.

Supermarket bills run roughly 122% higher in Reykjavik. For households that cook at home regularly, that difference adds up over a month.

Both cities are expensive relative to $3,000. Lisbon is the more realistic option, but even there you'll need to be disciplined with housing, food, and fun money.

Both cities offer a good standard of living with different trade-offs. Neither is objectively better – the right pick depends on what matters most: affordability, career, cultural scene, or climate.

Safety-wise, Reykjavik and Lisbon are on par. Petty crime is typical for cities this size, and most residents feel comfortable going about their daily routines in either place.

Expats usually find Lisbon gentler on the wallet – expenses run 69% less than in Reykjavik. Beyond cost, consider language, visa policies, and how big the international community is in each city.