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: $3,883 in Reykjavik versus $2,210 in Lisbon.

Estimated couple costs with rent: $5,535 in Reykjavik versus $3,311 in Lisbon.

Monthly costs for a family of three with rent: $7,188 in Reykjavik versus $4,411 in Lisbon.

Living in Reykjavik is roughly 76% more expensive than Lisbon, driven mainly by Groceries & Markets.

Both cities are pricier than the global median: Reykjavik 190% above, Lisbon 65% above.

Meal at Budget Restaurant

$27.17 ISK 3,346

$15.91 €13.70

70.77%

Three-Course Dinner for Two, Mid-Range

$144 ISK 17.7K

$64.8 €55.8

121.60%

Fast Food Meal (McDonalds, etc)

$22.42 ISK 2,761

$10.51 €9.05

113.32%

Cappuccino

$6.19 ISK 763

$2.87 €2.47

115.68%

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

$3.28 ISK 405

$2.24 €1.93

46.43%

Water (0.33 liter bottle)

$2.53 ISK 311

$1.50 €1.30

68.67%

Local Beer (0.5 liter draught)

$13.11 ISK 1,615

$3.49 €3.01

275.64%

Imported Beer (0.33 liter bottle)

$11.43 ISK 1,408

$3.88 €3.34

194.59%

Milk (1 liter)

$1.94 ISK 239

$1.14 €0.98

70.18%

White Bread (500g)

$4.29 ISK 528

$1.75 €1.51

145.14%

Rice (white) (1kg)

$3.72 ISK 458

$1.76 €1.51

111.36%

Eggs

$6.53 ISK 804

$3.22 €2.77

102.80%

Local Cheese (1kg)

$17.88 ISK 2,202

$13.49 €11.62

32.54%

Chicken Fillets (1kg)

$24.10 ISK 2,968

$7.91 €6.81

204.68%

Beef Round Steak (1kg)

$42.88 ISK 5,281

$15.87 €13.67

170.20%

Apples (1kg)

$3.35 ISK 412

$2.31 €1.99

45.02%

Banana (1kg)

$2.51 ISK 309

$1.70 €1.46

47.65%

Oranges (1kg)

$3.13 ISK 385

$2.01 €1.73

55.72%

Tomato (1kg)

$4.89 ISK 602

$2.46 €2.12

98.78%

Potato (1kg)

$3.71 ISK 457

$1.84 €1.59

101.63%

Onion (1kg)

$2.32 ISK 285

$2.00 €1.72

16.00%

Lettuce (1 head)

$3.07 ISK 378

$1.93 €1.66

59.07%

Water (1.5 liter bottle)

$1.99 ISK 246

$0.79 €0.68

151.90%

Cigarettes 20 Pack (Marlboro, Camel)

$13.85 ISK 1,705

$6.61 €5.69

109.53%

Wine (Bottle)

$23.47 ISK 2,891

$5.72 €4.93

310.31%

Local Beer (0.5 liter bottle)

$3.62 ISK 446

$1.37 €1.18

164.23%

Imported Beer (0.33 liter bottle)

$3.38 ISK 416

$2.97 €2.56

13.80%

One-way Ticket (Public Transport)

$5.10 ISK 628

$2.37 €2.04

115.19%

Public Transport Monthly Pass (Regular Price)

$85.4 ISK 10.5K

$45.56 €39.23

87.36%

Taxi Start (Normal Tariff)

$6.28 ISK 773

$4.29 €3.69

46.39%

Taxi (Normal Tariff) (1km)

$2.57 ISK 317

$0.82 €0.70

213.41%

Taxi 1hour Waiting (Normal Tariff)

$85.8 ISK 10.6K

$18.30 €15.76

368.69%

Gasoline (1 liter)

$2.52 ISK 310

$2.06 €1.78

22.33%

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

$47.2K ISK 5.8M

$34.3K €29.5K

37.62%

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

$51.8K ISK 6.4M

$39.3K €33.8K

31.87%

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

$86.9 ISK 10.7K

$148 €127

-41.27%

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

$26.94 ISK 3,317

$20.52 €17.67

31.29%

Internet (50+ Mbps, Unlimited Data)

$85.9 ISK 10.6K

$39.61 €34.11

116.91%

Gym Membership (Monthly)

$83.4 ISK 10.3K

$47.85 €41.20

74.34%

Tennis Court (1 Hour on Weekend)

$37.54 ISK 4,623

$18.92 €16.29

98.41%

Cinema Ticket

$17.53 ISK 2,159

$9.18 €7.91

90.96%

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

$321 ISK 39.5K

$614 €529

-47.76%

International Primary School, 1 Child (Yearly)

$30.2K ISK 3.7M

$16.0K €13.8K

87.93%

Jeans (Levis 501 Or Similar)

$140 ISK 17.2K

$105 €90.1

33.63%

Summer Dress (H&M, Zara, etc)

$60.6 ISK 7,456

$42.06 €36.22

43.96%

Sport Shoes (Adidas, Nike)

$181 ISK 22.3K

$94.0 €80.9

92.43%

Men's Leather Business Shoes

$263 ISK 32.4K

$120 €103

120.15%

1-bedroom Apartment, City Center (Monthly)

$2,175 ISK 267.8K

$1,628 €1,402

33.61%

1-bedroom Apartment, Outside City Center (Monthly)

$2,023 ISK 249.2K

$1,255 €1,081

61.19%

3-bedroom Apartment, City Center (Monthly)

$3,139 ISK 386.6K

$3,030 €2,609

3.61%

3-bedroom Apartment, Outside City Center (Monthly)

$2,738 ISK 337.1K

$2,020 €1,740

35.51%

Buy Apartment in City Center (m2)

$8,022 ISK 987.9K

$7,800 €6,716

2.85%

Buy Apartment Outside City Center (m2)

$6,223 ISK 766.3K

$4,273 €3,679

45.64%

Average Monthly Net Salary (After Tax)

$4,441 ISK 546.9K

$1,603 €1,381

176.96%

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: May 30, 2026

Last update for Lisbon: June 1, 2026

Cost Breakdown

A one-bedroom apartment in the center runs $2,175 in Reykjavik and $1,628 in Lisbon. Housing cost is often the main lever when comparing two cities.

Reykjavik pays 177% 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: $144 in Reykjavik vs $65.0 in Lisbon for a mid-range dinner for two. Groceries echo the gap at $599 vs $269 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 76% in total monthly costs ($3,883 vs $2,210 including rent). Lisbon is meaningfully more affordable – a gap that matters a lot on a fixed or modest income.

Reykjavik pays 177% more on average, 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: $2,175 in Reykjavik versus $1,628 in Lisbon. Housing is usually the single largest factor when comparing overall living costs between the two.

Childcare runs $321 in Reykjavik versus $614 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 76% less than in Reykjavik. Beyond cost, consider language, visa policies, and how big the international community is in each city.