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: $4,048 in Reykjavik versus $2,316 in Lisbon.

Estimated couple costs with rent: $5,736 in Reykjavik versus $3,361 in Lisbon.

Monthly costs for a family of three with rent: $7,424 in Reykjavik versus $4,405 in Lisbon.

Living in Reykjavik is roughly 75% more expensive than in Lisbon, driven mainly by Groceries & Markets.

Both cities are pricier than the global median: Reykjavik 195% above, Lisbon 69% above.

Meal at Budget Restaurant

$30.26 ISK 3,667

$17.30 €14.93

74.91%

Three-Course Dinner for Two, Mid-Range

$135 ISK 16.4K

$63.3 €54.6

114.11%

Fast Food Meal (McDonalds, etc)

$26.29 ISK 3,186

$11.39 €9.83

130.82%

Cappuccino

$6.95 ISK 842

$3.19 €2.75

117.87%

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

$3.30 ISK 400

$2.45 €2.11

34.69%

Water (0.33 liter bottle)

$3.35 ISK 406

$1.76 €1.52

90.34%

Local Beer (0.5 liter draught)

$14.06 ISK 1,704

$3.59 €3.10

291.64%

Imported Beer (0.33 liter bottle)

$12.60 ISK 1,527

$3.39 €2.93

271.68%

Milk (1 liter)

$2.10 ISK 254

$1.24 €1.07

69.35%

White Bread (500g)

$4.47 ISK 542

$1.98 €1.71

125.76%

Rice (white) (1kg)

$3.59 ISK 436

$1.52 €1.31

136.18%

Eggs

$7.13 ISK 865

$4.04 €3.49

76.49%

Local Cheese (1kg)

$21.34 ISK 2,586

$13.54 €11.68

57.61%

Chicken Fillets (1kg)

$24.37 ISK 2,953

$8.39 €7.24

190.46%

Beef Round Steak (1kg)

$42.10 ISK 5,102

$18.25 €15.75

130.68%

Apples (1kg)

$3.35 ISK 406

$2.29 €1.98

46.29%

Banana (1kg)

$2.82 ISK 341

$1.74 €1.50

62.07%

Oranges (1kg)

$3.21 ISK 389

$1.86 €1.60

72.58%

Tomato (1kg)

$6.24 ISK 756

$2.63 €2.27

137.26%

Potato (1kg)

$4.01 ISK 487

$1.92 €1.65

108.85%

Onion (1kg)

$1.70 ISK 206

$2.09 €1.81

-18.66%

Lettuce (1 head)

$3.83 ISK 464

$1.44 €1.24

165.97%

Water (1.5 liter bottle)

$1.78 ISK 216

$0.84 €0.73

111.90%

Cigarettes 20 Pack (Marlboro, Camel)

$13.75 ISK 1,666

$6.78 €5.85

102.80%

Wine (Bottle)

$24.28 ISK 2,942

$5.71 €4.93

325.22%

Local Beer (0.5 liter bottle)

$3.79 ISK 460

$1.38 €1.19

174.64%

Imported Beer (0.33 liter bottle)

$3.45 ISK 418

$2.22 €1.91

55.41%

One-way Ticket (Public Transport)

$5.81 ISK 704

$2.40 €2.07

142.08%

Public Transport Monthly Pass (Regular Price)

$92.7 ISK 11.2K

$46.78 €40.37

98.23%

Taxi Start (Normal Tariff)

$6.84 ISK 829

$4.17 €3.60

64.03%

Taxi (Normal Tariff) (1km)

$2.90 ISK 352

$1.14 €0.98

154.39%

Taxi 1hour Waiting (Normal Tariff)

$74.5 ISK 9,033

$17.68 €15.26

321.61%

Gasoline (1 liter)

$2.00 ISK 242

$2.32 €2.01

-13.79%

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

$50.6K ISK 6.1M

$35.3K €30.5K

43.10%

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

$53.4K ISK 6.5M

$41.4K €35.8K

28.90%

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

$89.6 ISK 10.9K

$170 €147

-47.41%

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

$33.11 ISK 4,013

$19.34 €16.69

71.20%

Internet (50+ Mbps, Unlimited Data)

$85.1 ISK 10.3K

$33.64 €29.03

153.09%

Gym Membership (Monthly)

$99.0 ISK 12.0K

$48.10 €41.50

105.78%

Tennis Court (1 Hour on Weekend)

$50.3 ISK 6,100

$19.90 €17.17

152.96%

Cinema Ticket

$19.43 ISK 2,354

$9.92 €8.56

95.87%

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

$1,173 ISK 142.1K

$717 €619

63.51%

International Primary School, 1 Child (Yearly)

$31.2K ISK 3.8M

$17.5K €15.1K

78.80%

Jeans (Levis 501 Or Similar)

$161 ISK 19.5K

$105 €90.4

53.61%

Summer Dress (H&M, Zara, etc)

$65.1 ISK 7,890

$46.95 €40.51

38.68%

Sport Shoes (Adidas, Nike)

$183 ISK 22.2K

$103 €89.2

77.09%

Men's Leather Business Shoes

$249 ISK 30.2K

$124 €107

101.11%

1-bedroom Apartment, City Center (Monthly)

$2,506 ISK 303.7K

$1,677 €1,447

49.47%

1-bedroom Apartment, Outside City Center (Monthly)

$2,092 ISK 253.5K

$1,271 €1,097

64.60%

3-bedroom Apartment, City Center (Monthly)

$3,408 ISK 413.0K

$2,985 €2,575

14.20%

3-bedroom Apartment, Outside City Center (Monthly)

$2,752 ISK 333.5K

$1,992 €1,719

38.14%

Buy Apartment in City Center (m2)

$7,972 ISK 966.1K

$7,826 €6,753

1.87%

Buy Apartment Outside City Center (m2)

$6,354 ISK 770.0K

$4,658 €4,019

36.41%

Average Monthly Net Salary (After Tax)

$4,606 ISK 558.1K

$1,583 €1,366

190.99%

20-Year Fixed Mortgage Interest Rate (Annual %)

8.88

3.79

134.30%

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

Last update for Reykjavik: August 29, 2026

Last update for Lisbon: August 30, 2026

Cost Breakdown

A one-bedroom apartment in the center runs $2,506 in Reykjavik and $1,677 in Lisbon. Housing cost is often the main lever when comparing two cities.

Reykjavik pays 191% 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: $135 in Reykjavik vs $63.0 in Lisbon for a mid-range dinner for two. Groceries echo the gap at $625 vs $283 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 75% in total monthly costs ($4,048 vs $2,316 including rent). Lisbon is meaningfully more affordable – a gap that matters a lot on a fixed or modest income.

Average pay runs 191% 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: $2,506 in Reykjavik versus $1,677 in Lisbon. Housing is usually the single largest factor when comparing overall living costs between the two.

Childcare runs $1,173 in Reykjavik versus $717 in Lisbon. Over years of preschool, even a modest monthly gap compounds into a major financial factor for families.

Supermarket bills run roughly 121% 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 75% less than in Reykjavik. Beyond cost, consider language, visa policies, and how big the international community is in each city.