Lisbon
With a mild climate by European standards, highquality internet and a large proportion of the population fluent in English, Lisbon has become a favorite for digital nomads in recent years. But now the rise in the cost of living, driven primarily by skyrocketing rental prices, is making the Portuguese capital less attractive for this audience.
Data from Nomadlist, one of the main information platforms for the telecommuting community, shows a significant decline in the number of arrivals. In July, around 7,600 nomads landed in the city, compared to 12,600 in October 2022. The decrease is even more noticeable compared to the peak of arrivals recorded by the platform: 20,600 people in October 2021.
In reviews, users particularly criticize the prices in the city. “Housing in particular is outrageously expensive for sad, precarious spaces: buildings with no elevators, no heat, no air conditioning, lots of mold, leaky roofs and windows, and no soundproofing,” says one of the most recent reviews on the platform.
A survey by international consultancy Housing Anywhere found that Lisbon is the most expensive European city to rent a furnished onebedroom apartment in the central region among the 23 cities analyzed. The average price for this type of apartment, one of the most popular configurations among digital nomads, was €2,500 (R$13,380) per month.
“It is not a decline in the popularity of Lisbon. Many people like the city and would like to be there. What is happening is that due to tourism development there are no longer options at reasonable prices and that has been a decrease in arrivals,” analyzes Gonçalo Hall, president of the Association of Digital Nomads of Portugal.
“Nomads often use the accommodation structure of tourism. Currently, homeowners make a lot more money from tourists on Airbnb than renting to nomads for a whole month,” adds Hall.
According to him, a similar phenomenon occurred five years ago in Barcelona, which used to be one of the preferred destinations for travelers. “It was one of the biggest hubs in Europe, but suddenly it became so expensive that nomads started looking for other destinations.”
English teacher Anne Claire Stuart, 35, now spends time in Seville, Spain, and was a digital nomad in Lisbon for two periods: 2015 and 2019. The Brit says she enjoyed the experience and would like to return, but says it’s through the rental prices in Lisbon prevented.
“I can’t quite understand how it all happened so quickly. Prices have risen so absurdly that I currently think every European capital, even Paris, has better and more affordable options,” laments Stuart.
The teacher says she was pleasantly surprised by the quality of English spoken by the Portuguese and also by the variety of events for expatriates, but claims she noticed some “somewhat aggressive speech” regarding digital nomads, particularly on social networks.
Alleged “hostility” of locals towards travelers often appears on platforms specializing in this target group. In the center of Lisbon there are posters and graffiti criticizing this niche.
In recent years, the arrival of digital nomads many with incomes well above the Lisbon average has been identified as one of the factors putting pressure on prices in the capital. At the opening of the last edition of the Web Summit, one of the largest technology conferences in the world, there was a demonstration against digital nomads and their “privileges” on Portuguese soil.
One of the posters drew attention to the impact of the influx of this public on the city’s already underpressure housing market: “1 digital nomad = several forced nomads.” The protesters also criticized the government’s introduction of a new visa aimed exclusively at this sector.
The residence permit for digital nomads is considered a success by the authorities. To be eligible for the visa, professionals must work remotely for companies in other countries, either on a contract or freelance basis, and also demonstrate a monthly income of at least four minimum wages, which today is €3,040 (R16.3 thousand). $) corresponds. .
This is a purchasing power profile well above the Portuguese average. According to the Ministry of Labor, Solidarity and Social Security, in 2022, 56% of Portuguese workers received a wage of less than €1,000 (R$5,366). For young people up to 30 years old, this percentage rises to 65%.
For Gonçalo Hall of the Digital Nomads Association, criticism of remote workers has been used by certain groups as a kind of political tool. “There is a housing crisis that is very complex. The ultraright chose to criticize immigration, while the ultraleft chose digital nomads. Ironically, two very different sides took up the same issue to make excuses and have something political.” “We will benefit from what happens in Portugal,” he says.
Despite Lisbon’s prohibitive prices, Hall emphasizes that Portugal has several other attractive destinations for work travelers. One of the biggest highlights is the island of Madeira, which has created a kind of village for digital nomads.
In addition to a modern and equipped free coworking space, the region developed a comprehensive project to welcome travelers, including special integration events and involving local business owners in the initiative.
“For nomads, the existence of a community is fundamental,” says Hall, who helped implement the digital nomad project in Pipa, Rio Grande do Norte. “It’s a way to combat loneliness among solo travelers. Someone who spends a month or two in a city has great difficulty making friends with the locals because they already have the social structure, the friends. That’s why nomadic communities are so important.”