Funchal Guide: What It’s Like to Live in Funchal

Renting & Buying Property

Funchal offers a range of property options for both renters and buyers, catering to various budgets and preferences. The real estate market in Funchal has been steadily growing, attracting both local and international investors. Whether you’re looking for a modern apartment with ocean views or a traditional Madeiran house with a garden, you’ll find plenty of options to choose from.

Buying

Property prices in Funchal vary widely depending on the location, size, and condition of the property. For a small apartment in need of renovation in the city centre, prices start around €100,000. Mid-range properties, such as two or three-bedroom apartments in good condition, can range from €200,000 to €400,000. Luxury villas with panoramic ocean views or properties in exclusive areas can easily exceed €1 million. The types of properties available include modern apartments, traditional Madeiran houses, and spacious villas, often featuring beautiful gardens or terraces to enjoy the pleasant climate.

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Renting

Rental prices in Funchal are generally more affordable compared to major European cities, but they can still vary significantly based on location and property type. A one-bedroom apartment in the city centre typically ranges from €500 to €800 per month, while larger apartments or houses can cost between €800 and €1,500 per month. Long-term rentals are available, and some landlords may offer discounts for extended stays. For more information on renting in Portugal, including tips and legal considerations, check out this comprehensive guide: Renting in Portugal

Cost Of Living

The cost of living in Funchal is generally lower than in many Western European countries, making it an attractive destination for expats and retirees. While property costs, whether renting or buying, tend to be the most significant expense, other daily living costs are relatively affordable. Groceries, dining out, and local transportation are reasonably priced, allowing residents to enjoy a good quality of life without breaking the bank.

Utilities, including electricity, water, and internet, are moderately priced, with an average monthly cost of around €100-€150 for a typical apartment. Healthcare costs are also relatively low, especially if you’re eligible for the public healthcare system. However, it’s worth noting that imported goods and certain luxury items may be more expensive due to Madeira’s island location.

Overall, a couple can live comfortably in Funchal on a budget of €1,500 to €2,500 per month, depending on their lifestyle choices and housing situation. This estimate includes rent, utilities, groceries, dining out occasionally, and some entertainment expenses.

Can I move to Funchal?

Portugal has a number of visas and residency permits aimed at EU/EEA/Swiss nationals, and people from the rest of the world, including students, retirees, and entrepreneurs.

The most common options are:

• EU/EEA/Swiss nationals: Those from most European countries can move to Portugal fairly easily and without the need for a visa. Spouses/partners of EU/EEA/Swiss nationals can normally move easily as well, as can some qualifying family members.
• The D7: Aimed at those with a regular passive income. The most common income types are pensions and social security, but rental income, dividends, and royalties are accepted also.
• The D8: Aimed at freelancers and remote workers who can bring their own work to Portugal.
• The Golden Visa: Aimed at those with significant savings that want to invest in Portugal (or donate). The big selling point of this visa is that you only need to spend an average of 7 days per year in Portugal.
• The D2: Aimed at entrepreneurs or those that want to start a business in Portugal or transfer an existing business here. This is one of several entrepreneurial visas Portugal offers.

Can I Move to Portugal?

Attractions

Funchal Cable Car (Teleférico do Funchal)

The Funchal Cable Car offers a breathtaking journey from the Old Town to the parish of Monte. During the 15-minute ride, passengers are treated to stunning panoramic views of Funchal Bay and the city’s terracotta rooftops. At the top, visitors can explore the beautiful Monte Palace Tropical Garden or experience the famous toboggan rides back down to Funchal.

Mercado dos Lavradores (Farmers’ Market)

This vibrant market is a feast for the senses, showcasing Madeira’s rich agricultural heritage. Visitors can wander through stalls filled with colourful local produce, exotic fruits, fresh fish, and beautiful flowers. The market’s Art Deco building, dating back to 1940, is itself a notable attraction, featuring beautiful azulejo tiles depicting local scenes.

Monte Palace Tropical Garden

Perched high above Funchal, the Monte Palace Tropical Garden is a horticultural paradise. Spanning 70,000 square metres, the garden boasts an impressive collection of exotic plants from around the world, as well as a museum showcasing minerals and contemporary Zimbabwean sculpture. The garden’s oriental-inspired landscapes, complete with koi ponds and pagodas, offer a tranquil retreat from the bustling city below.

Expat Life

Funchal boasts a thriving expat community, making it easy for newcomers to settle in and find like-minded individuals. The city’s international population is diverse, with a significant presence of British, German, French, and increasingly, American expats. This multicultural mix contributes to a vibrant social scene and a wealth of international events and activities.

Many expats are drawn to Funchal for its relaxed lifestyle, beautiful scenery, and favourable climate. The local Portuguese community is generally welcoming to foreigners, and while knowing Portuguese is beneficial, many locals in tourist areas speak English. Expat groups and social clubs organise regular meetups, language exchanges, and cultural events, providing ample opportunities to make friends and integrate into the community.

The presence of international schools and businesses catering to expat needs makes the transition to life in Funchal smoother for many. However, it’s important to note that while the expat community is significant, Funchal still retains its authentic Portuguese character, allowing residents to immerse themselves in the local culture while enjoying the comfort of an international support network.

Retiring Here

Funchal is an increasingly popular retirement destination, offering a blend of European charm, natural beauty, and modern amenities. The city’s mild climate, with average temperatures ranging from 16°C (61°F) in winter to 23°C (73°F) in summer, is particularly appealing to retirees seeking to escape harsh winters.

Healthcare is a crucial consideration for retirees, and Funchal doesn’t disappoint. The city has both public and private healthcare facilities, including the modern Hospital Dr. Nélio Mendonça. Many medical professionals speak English, easing potential language barriers.

The cost of living, while higher than in some parts of mainland Portugal, is still relatively affordable compared to many Western European countries or popular retirement destinations. This allows retirees to enjoy a comfortable lifestyle, often with more disposable income for leisure activities and travel.

Funchal’s compact size and well-developed public transportation system make it easy for retirees to get around, even without a car. The city is relatively flat near the coast, though it becomes hillier as you move inland. For those who enjoy an active lifestyle, Funchal offers numerous outdoor activities, from gentle seaside promenades to challenging mountain hikes.

Cultural activities, including museums, theatres, and music events, provide ample entertainment options. The strong expat community also means there are plenty of opportunities to socialise and engage in familiar activities.

Food

Funchal’s cuisine is a delightful blend of traditional Madeiran cuisine, Portuguese national dishes, and international influences. Here are some regional specialties you shouldn’t miss:

• Espetada: Chunks of beef rubbed with garlic and salt, skewered on a bay leaf stick, and grilled over wood chips. This dish is often served with milho frito (fried cornmeal).
• Bolo do Caco: A traditional flat bread made with sweet potato, often served as a side dish or used to make sandwiches. It’s typically served warm and spread with garlic butter.
• Lapas: Grilled limpets served in their shells with garlic, lemon, and butter. This seafood delicacy is popular as a starter or snack.
• Espada com Banana: A unique combination of black scabbardfish fillet served with fried banana, a testament to Madeira’s blend of sea and tropical flavours.
• Poncha: Although not a dish, this traditional Madeiran alcoholic drink made from aguardente de cana (sugarcane rum), honey, sugar, and fresh lemon juice is a must-try.

In addition to these local specialties, you’ll find national Portuguese dishes like caldo verde (kale soup), grilled fish, grilled meat dishes, and cozido à portuguesa (a Portuguese stew) on most traditional Portuguese menus. And of course, the beloved pastel de nata is widely available.

For vegans, vegetarians, and those requiring gluten-free options, Funchal is becoming increasingly accommodating due to the increasing number of digital nomads and tourists. While traditional Portuguese cuisine is heavy on meat and fish, and bread is a staple, the city’s international influence has led to a growing number of restaurants catering to various dietary requirements. You’ll find several vegetarian and vegan-friendly restaurants in Funchal, as well as health food stores. However, it’s worth noting that options may be more limited compared to larger cities like Lisbon or Porto.

Upsides & Downsides Of Living Here

Pros

1. Beautiful natural scenery and pleasant climate year-round
2. Rich cultural heritage and vibrant local traditions
3. Lower cost of living compared to many Western European countries
4. Strong expat community and welcoming locals
5. Excellent healthcare system
6. Safe environment with low crime rates
7. Diverse outdoor activities and water sports opportunities
8. Good air and sea connections to mainland Europe

Cons

1. Limited career opportunities, especially for non-Portuguese speakers
2. Island location can lead to higher prices for certain imported goods
3. Public transportation, while good in the city, can be limited in rural areas
4. Potential language barrier, especially in administrative matters
5. Slower pace of life may be challenging for those used to big city dynamics
6. Limited options for higher education compared to larger cities
7. Occasional extreme weather events, such as strong winds or heavy rains
8. Distance from mainland Europe may lead to feelings of isolation for some

Climate

Funchal enjoys a subtropical Mediterranean climate, characterised by mild temperatures and moderate rainfall throughout the year. Summers are warm and dry, with average temperatures ranging from 18°C to 25°C (64°F to 77°F). Winters are mild and slightly wetter, with temperatures typically between 15°C and 20°C (59°F to 68°F).

Spring and autumn are pleasant transition seasons, offering comfortable temperatures and lower rainfall. The city experiences around 300 days of sunshine per year, making it an ideal destination for those seeking a warm, stable climate.

Funchal’s coastal location provides a natural cooling effect during the hotter months, with sea breezes offering relief from the summer heat. The ocean temperature remains relatively warm year-round, ranging from about 18°C (64°F) in winter to 24°C (75°F) in late summer, making it suitable for swimming and water activities throughout most of the year.

While Funchal itself doesn’t have a beach, there are several man-made beaches and natural swimming pools along the coast. For those seeking natural beaches, a short drive along the coast will lead to various options. Additionally, Madeira offers numerous praias fluviais (river beaches) in its interior, providing refreshing alternatives to coastal beaches during the warmer months.

Will I Need To Learn Portuguese?

While English is widely spoken in Funchal, especially in tourist areas and among younger generations, learning Portuguese will significantly enhance your experience living in Madeira. In Funchal, you’ll likely find that many people in the service industry, tourism sector, and expat-oriented businesses speak English. However, venturing into more local areas or dealing with administrative matters often requires at least a basic understanding of Portuguese.

Learning Portuguese is crucial for several reasons:

1. Integration: Speaking the local language helps you connect more deeply with the community and culture.
2. Daily life: It makes everyday tasks like shopping, banking, and accessing services much easier.
3. Legal requirements: If you plan to apply for Portuguese citizenship in the future, you’ll need to pass an A2 level Portuguese language exam.
4. Respect: Portuguese people greatly appreciate when foreigners make an effort to speak their language, even if it’s just basic phrases.

While you can certainly get by with English in many situations, especially in the beginning, making an effort to learn Portuguese will greatly enrich your life in Funchal. It opens up more opportunities for friendships, cultural experiences, and a deeper understanding of your new home.

To start your Portuguese language journey, check out our comprehensive guide on learning Portuguese. This resource offers various methods and tools to help you acquire this beautiful language, whether you’re a beginner or looking to improve your skills.

Schools

Funchal offers a range of educational options, catering to both local and international students. The city has a mix of public, private, and international schools, providing diverse choices for families moving to the area.

Public schools in Funchal follow the Portuguese national curriculum and are free for residents. While the quality of education is generally good, classes are primarily conducted in Portuguese, which may be challenging for non-native speakers.

Private schools in Funchal often offer a bilingual education, with classes taught in both Portuguese and English. These schools typically follow the Portuguese curriculum but may offer additional international qualifications.

For expat families, there are international schools in Funchal that cater specifically to the international community. The International School of Madeira, for example, follows the British curriculum and prepares students for IGCSE and A-level examinations.

In terms of higher education, the University of Madeira, located in Funchal, offers a range of undergraduate and postgraduate programs. While most courses are taught in Portuguese, some postgraduate programs are available in English.

For more detailed information about the Portuguese education system and schooling options throughout the country, check out our comprehensive guide: Schools in Portugal

Getting Around

Funchal is a relatively compact city, making it easy to navigate on foot, especially in the central areas. However, the city’s topography can be challenging, with steep hills in many parts, particularly as you move away from the coast.

• Train: Funchal doesn’t have a train system. The primary public transportation is provided by buses.
• Bus: The city has a good bus network operated by Horários do Funchal. Buses connect most parts of the city and extend to nearby towns. They are reliable and affordable, making them a popular choice for both locals and tourists. However, many people end up purchasing a car for more flexibility.
• Car: While not strictly necessary within Funchal itself, having a car can be beneficial for exploring other parts of Madeira. Parking in the city centre can be challenging, but there are several public car parks available.
• Ride-sharing and Taxis: Uber is available in Funchal, offering a convenient option for quick trips. Traditional taxis are also readily available and relatively affordable.
• Flying: Cristiano Ronaldo Madeira International Airport, located about 20 km (12 miles) east of Funchal, is the main gateway to the island. It offers direct flights to major European cities, including London, Paris, and, of course, Lisbon.

Day Trips: Funchal serves as an excellent base for exploring Madeira. Popular day trips include visiting the rugged cliffs of Cabo Girão, exploring the laurel forests of Fanal, or taking a boat trip to spot dolphins and whales. The picturesque village of Porto Moniz, known for its natural lava pools, is about an hour’s drive away.

Similar locations

When comparing Funchal to other locations in Portugal for living, several cities and regions come to mind:

1. Ponta Delgada: Like Funchal, Ponta Delgada is the capital of an Portuguese Atlantic archipelago. It offers a similar island lifestyle with beautiful landscapes and a mild climate. However, Ponta Delgada is generally less touristy and has a smaller expat community than Funchal.
2. Faro: As the capital of the Algarve region, Faro shares some similarities with Funchal in terms of climate and coastal living. It’s popular among expats and offers beautiful beaches. However, Faro experiences more extreme temperatures in summer and winter compared to Funchal’s more stable climate.
3. Lagos: This coastal town in the Algarve is another popular expat destination. Like Funchal, it offers beautiful scenery and a relaxed lifestyle. However, Lagos is smaller and may have fewer amenities and international connections than Funchal.
4. Cascais: This coastal town near Lisbon offers a similar blend of traditional Portuguese culture and international influences. It’s popular among expats and offers a high quality of life. However, Cascais is generally more expensive than Funchal and doesn’t have the unique island atmosphere.
5. Coimbra: This historic university city in central Portugal offers a rich cultural scene and lower living costs. However, it’s inland and doesn’t offer the coastal lifestyle of Funchal. Coimbra also experiences more extreme temperatures throughout the year.
6. Tavira: This charming town in the Eastern Algarve offers a quieter, more authentic Portuguese experience compared to some of the more touristy areas. Like Funchal, it has a strong expat community and beautiful scenery. However, it’s smaller and may offer fewer amenities and international connections.

Ultimately, the choice between Funchal and other Portuguese locations depends on individual preferences for climate, lifestyle, and desired amenities. Funchal offers a unique blend of island living, international community, and Portuguese culture that sets it apart from many mainland destinations.