Portugal is far more than Lisbon and the Algarve, so working out where to stay in Portugal is worth some thought. In a small country you get two big cities, each with its own personality, terraced vineyards sloping down to the Douro River, whitewashed towns on the plains of the Alentejo and a south coast of golden cliffs. Out in the Atlantic lie Madeira and the Azores, which feel like two completely different trips. The country uses the euro.
Distances on the mainland are short, but the two island groups require a flight. That’s why your choice of base matters so much. Here are my eight picks for where to stay in Portugal, with maps, transport and three hotels in different price ranges in each place.
Contents
The Best Areas to Stay in Portugal
- Lisbon - best city for first-time visitors and a city break
- Cascais and Sintra - best area for beaches and palaces close to Lisbon
- Porto - best city for port wine, azulejos and a weekend by the river
- Douro Valley - best area for vineyards and relaxing days by the river
- Évora - best town for the Alentejo, Roman ruins and great food
- Algarve - best area for a beach holiday and a cliff-lined coast
- Madeira - best island for hiking and mild weather all year round
- Azores - best islands for volcanic lakes, whales and wild nature
Below, I go through the eight places from north to south on the mainland and then out to the islands. For each place you get a map, transport from the airport and three places to stay: the most expensive first, then a mid-range option and finally one for a smaller budget. Driving and flight times are estimates unless I mention the source, so always check the timetable before you book.
If you have a week, I’d choose one or two bases. Lisbon with a couple of nights in Cascais or Sintra is a classic first trip, and so is Porto combined with the Douro Valley. With two weeks, you can drive from Porto through the Douro Valley down to Lisbon and finish with some beach time in the Algarve. The train between Lisbon and Porto takes just under three hours, and Lisbon to Lagos is around a three-hour drive. Between Porto and Lisbon you’ll find Coimbra, home to one of Europe’s oldest universities, and the small towns of Óbidos and Nazaré, which make good stops on a road trip.
You don’t need a hire car in Lisbon and Porto, but one makes things much easier in the Douro Valley, the Alentejo, the Algarve and on the islands. Compare car hire prices in Portugal here. Madeira and the Azores work best as trips of their own, as both island groups are roughly a two-hour flight from Lisbon, and they deserve at least four or five nights.
1. Lisbon - best city for first-time visitors and city breaks 🚋
- 📍 Distance to the centre: The three hotels here are between roughly 300 metres and 2 km from Rossio, the heart of the city.
- 🚇 Transport: Metro, tram and your own two feet. The city is hilly, so wear comfortable shoes.
- ✈️ Time from the airport: Lisbon Airport (LIS) is around 7 km from the centre. By metro with a single change, you’ll be in Baixa in 25 to 30 minutes.
- 💰 Price level: €€ to €€€€. Most expensive around Chiado and Avenida da Liberdade, cheaper north of Marquês de Pombal.
- 👮 Safety: A safe city. Watch out for pickpockets on tram 28 and in the crowds in Baixa and Alfama.
Lisbon is the obvious place to start if it’s your first trip and you’re wondering where to stay in Portugal. The city sits on hills sloping down to the River Tagus, and the old districts of Alfama and Mouraria climb up towards the castle, while Baixa down by the water has wide streets and grand squares. Here you’ll be right in the middle of fado, custard tarts, viewpoints and yellow trams.
I’ve picked three hotels around Rossio and Baixa, because that’s the most practical base for a first visit. From here you can walk to Chiado, Alfama and the Praça do Comércio square, and trains to Sintra leave from Rossio Station. If you’d rather stay in Alfama, Bairro Alto or another district, I’ve written a full guide to where to stay in Lisbon, covering four areas.
The airport is close to the city. The red metro line runs from Terminal 1, and with one change you’ll be at Baixa-Chiado in just under half an hour. A single ticket costs €1.90 (around £1.60) on the rechargeable navegante card, and prices are listed by Metro de Lisboa. All the options by taxi, bus and transfer are in my guide to getting from Lisbon Airport to the city centre.
Give Lisbon three or four nights. That way you’ll have time for Belém with its monastery and riverside tower, an evening of fado in Alfama and a day trip to Sintra or Cascais without rushing. Expect lots of steps and steep streets, and choose a hotel with a lift if walking is difficult for you.
Hotels in Lisbon
Hotel Avenida Palace - five-star palace hotel by Rossio Station
Avenida Palace is on Rua 1º de Dezembro between the Rossio and Restauradores squares, so you’re just a few minutes’ walk from Baixa, Chiado and the trains to Sintra. The rooms are furnished in classic style with marble bathrooms, and the hotel has a bar, gym and room service.
This is my pick if you want to stay somewhere elegant right in the middle of the city. The breakfast buffet gets plenty of praise, and the hotel offers valet parking, which is rare this central. There’s no pool, and guests’ only complaints are minor things like a small TV in the room.
One guest writes on Booking.com: “Everything exceeded our expectations. Every single member of staff was exceptional.”
See photos and book Hotel Avenida Palace here.
Hotel Mundial - four-star hotel at Martim Moniz, where tram 28 starts
Hotel Mundial is on Martim Moniz square on the edge of Baixa, around 300 metres from Rossio. From here, tram 28 runs up through Graça and Alfama, and you can walk up to the castle. The hotel has a restaurant, bar and terrace, and the rooms are between 20 and 50 square metres.
It’s a good mid-range choice if you want a central base with room for your suitcase. The breakfast is popular, and according to the hotel, parking costs €15 (around £13) a day, subject to availability. Noise between rooms is the weak point, and several guests feel the soundproofing could be better.
On the breakfast, one guest writes on Booking.com: “The breakfast was fantastic. Loads of choice, even for fussy eaters.”
See photos and book Hotel Mundial here.
HF Fénix Garden - three-star hotel with a garden near Marquês de Pombal
HF Fénix Garden is on Rua Joaquim António de Aguiar right by the Marquês de Pombal roundabout, around 2 km north of Rossio. Marquês de Pombal metro station is close by, and you can walk down Avenida da Liberdade to the centre in half an hour. The hotel has a garden, terrace, restaurant and bar.
This is my budget pick and a good option if you’d rather spend your money on food and experiences. The rooms are small at 14 to 17 square metres, but breakfast is included, and parking costs €19 (around £16) a day. One guest found the breakfast a little samey from day to day.
One guest sums it up on Booking.com: “Great location, very helpful staff, really good breakfast, and the room was a good size.”
See photos and book HF Fénix Garden here.
2. Cascais and Sintra - best area for beaches and palaces near Lisbon 🏰
- 📍 Distance to the centre: Cascais is on the coast about 30 km west of Lisbon, and Sintra sits in the hills about 13 km north of Cascais. The distances are estimates.
- 🚆 Transport: The train from Cais do Sodré to Cascais and the train from Rossio to Sintra each take around 40 minutes. Buses run between the two towns via Cabo da Roca.
- ✈️ Time from the airport: From Lisbon Airport to Cascais takes around 40 minutes by car without traffic. This is an estimate.
- 💰 Price level: €€ to €€€€. Cascais is among the most expensive addresses in the country, while Sintra has plenty of smaller guesthouses.
- 👮 Safety: Quiet towns. In Sintra the palaces get very crowded in the middle of the day, so arrive early.
Cascais and Sintra are the two classic day trips from Lisbon, but both are also good places to stay. Cascais is the old fishing town that became a seaside resort for the royal family, with small sandy beaches right in town, a marina and a seafront promenade to Estoril. Sintra lies in the wooded hills, with palaces, gardens and a Moorish castle.
The landscape around Sintra has been on the UNESCO World Heritage List since 1995. The best-known sights are Palácio da Pena, the yellow and red palace on the hilltop, and Quinta da Regaleira with its famous well. For most of the palaces you need a ticket for a set time slot, so book before you travel in high season.
See hotels in Cascais and Sintra here.
Choosing between the two comes down to what you want to wake up to. Stay in Cascais if you want beaches, sea views and waterfront restaurants in the evening. Stay in Sintra if you want to see the palaces before the day-trippers arrive and don’t mind the town being quiet in the evening. Parques de Sintra states that driving in the historic centre is reserved for residents, and that bus 434 runs from the station up to Pena. All the options are on the page about how to get to Sintra.
The area pairs well with Lisbon. Spend three nights in the city and two in Cascais or Sintra, or stay on the coast all week and take the train into Lisbon. Between Cascais and Sintra, bus 1624 passes Cabo da Roca, the westernmost point of mainland Europe. Both day trips are covered, with ticket prices, in my guide to things to see in Lisbon.
Hotels in Cascais and Sintra
Farol Hotel - five-star hotel right on the water in Cascais
Farol Hotel faces the sea by the lighthouse in Cascais, about a ten-minute walk from the town centre. The hotel has a saltwater pool with sea views in summer, a restaurant, a bar and a garden, and parking is free. The nearest beaches are just a few minutes away.
This is the hotel for couples who want the sea right outside the window. The pool is only open in season, and one guest doesn’t think the rooms live up to five stars. Another feels the breakfast could be more varied.
One guest writes on Booking.com: “Beautiful place and lovely view from the room.”
See photos and book Farol Hotel here.
Hotel Baía - four-star hotel on the beach in central Cascais
Hotel Baía looks straight out over the town beach and harbour in central Cascais, and the train station is about 300 metres away. The hotel has a rooftop pool and bar plus a restaurant, and according to Booking.com the pool can be used all year round.
I would choose it if you want the beach and the train right on your doorstep and don’t need a car. Parking costs 10 euros per day (around £8). Guests praise the breakfast buffet, but one guest would like more shade by the rooftop pool.
One guest praises the staff on Booking.com: “Beautiful hotel with lovely, friendly and helpful staff.”
See photos and book Hotel Baía here.
Sintra Green Chalet - bed and breakfast with a garden less than 1 km from Sintra Station
Sintra Green Chalet is on Rua Veiga da Cunha in Sintra, less than a kilometre from the train station, so you can get here by train from Rossio. The house has a garden, a terrace and a bar, and breakfast is served from 9 to 10.30am.
This is my budget pick and the right place if you want to see Sintra early in the morning. The breakfast gets a lot of praise. The rooms are small, there’s no pool, and you park on the street, while the free spaces are about an eight-minute walk away.
One guest highlights on Booking.com: “Absolutely wonderful staff, super friendly and helpful.”
See photos and book Sintra Green Chalet here.
3. Porto - best city for port wine, azulejos and a weekend by the river 🍷
- 📍 Distance to the centre: The hotels are in Ribeira by the river, on Praça da Batalha and in Vila Nova de Gaia on the other side of the Dom Luís I Bridge, no more than about 1.5 km from each other.
- 🚇 Transport: Metro, bus and on foot. The city is steep, and the metro runs across the upper deck of the bridge to Gaia.
- ✈️ Time from the airport: Porto Airport (OPO) is about 15 km north of the centre. Metro line E runs to Trindade in 27 minutes.
- 💰 Price level: € to €€€€. Generally cheaper than Lisbon, most expensive by the river and in Gaia.
- 👮 Safety: A safe city. Keep an eye on your bag in the crowds in Ribeira and by the bridge in the evening.
Porto is Portugal’s second-largest city and, for many, the most charming. Houses with colourful façades and blue azulejos are packed tightly on the hills running down to the Douro, and across the river are the port wine cellars of Vila Nova de Gaia. The city is smaller than Lisbon and easy to explore on foot, as long as you don’t mind hills.
I’ve chosen hotels in Ribeira and Gaia because this is where you have the river and the bridge right outside your door. If you’d rather stay in Baixa, near Avenida dos Aliados or by the beach in Foz, you can read my guide to where to stay in Porto, where I go through four areas. For what to see, take a look at my guide to things to do in Porto.
The purple metro line E runs from the airport to Trindade in the city centre in 27 minutes, and a ticket costs €2.30 (around £2) plus €0.60 (around 50p) for the Andante card. From Trindade it’s about a 15-minute walk down to Ribeira. Taxis, night buses and transfers are covered in my guide to getting from Porto Airport to the city centre.
Two or three nights is enough for the city itself. Spend a day on Ribeira, the cathedral and São Bento Station with its blue tiles, and cross the bridge to the port wine cellars in Gaia in the afternoon. If you have an extra day, the Douro Valley is the obvious trip, and you can do it either as a day trip or with an overnight stay, as I describe in the next section.
Hotels in Porto
The Yeatman - five-star wine hotel with views over Porto from Gaia
The Yeatman sits on the hillside in Vila Nova de Gaia among the port wine houses, looking out across the river towards Ribeira. The hotel has both indoor and outdoor pools, including an infinity pool, plus a spa, restaurant and bar, and many rooms have their own terrace overlooking the Douro.
This is the hotel for a special occasion and one of the most famous in the country. It’s expensive, and parking costs €30 (around £25) a day. Breakfast is only included in some rates, so check what you’re booking. One guest complains about unreliable Wi-Fi.
An enthusiastic guest writes on Booking.com: “An absolutely fantastic experience. One of the best hotels I’ve ever stayed in.”
See photos and book The Yeatman here.
Pestana Vintage Porto - five-star hotel on the riverside square in Ribeira
Pestana Vintage Porto is on Praça da Ribeira right down by the river, just a few steps from the Dom Luís I Bridge. The hotel occupies the old houses on the square and has a restaurant, bar and gym. Some rooms have a bathtub, and the windows are double-glazed to keep out noise from the square.
Choose it if you want to stay right in the middle of the postcard view and walk across the bridge to Gaia in five minutes. There’s no pool, and breakfast isn’t included in every rate. One guest missed having a mirror and a plug socket by the desk.
A guest writes about the location on Booking.com: “The hotel is absolutely fantastic and perfectly located with a beautiful view right out over the river.”
See photos and book Pestana Vintage Porto here.
Moov Hotel Porto Centro - modern two-star hotel on Praça da Batalha
Moov Hotel is on Praça da Batalha above Ribeira, close to the shopping street Rua de Santa Catarina. It’s about a ten-minute walk down to São Bento Station and a little further to the river. The rooms are modern and soundproofed, with private bathrooms.
This is my budget pick in Porto if you just need a clean bed close to everything. The rooms are small, and breakfast costs an extra €12.50 (around £10) per person. Parking costs €10 (around £8) a day and must be booked in advance.
A guest writes on Booking.com: “A really good, central two-star hotel. Modern and clean, and the staff were very helpful.”
See photos and book Moov Hotel Porto Centro here.
4. Douro Valley - best area for vineyards and relaxing days by the river 🍇
- 📍 Distance to the centre: Pinhão is around 130 km east of Porto by road. Two of the hotels are on wine estates about 6 km from the village.
- 🚗 Transport: A car is the easiest option. The train from São Bento in Porto runs along the river to Peso da Régua and Pinhão, but there are only a few departures a day.
- ✈️ Time from the airport: From Porto Airport it’s roughly a two-hour drive to Pinhão. That’s an estimate.
- 💰 Price level: €€ to €€€€. The wine hotels are expensive, while the guesthouses in Pinhão and Peso da Régua are cheaper.
- 👮 Safety: A very peaceful area. The roads are narrow and winding, so drive carefully and let one of you stick to water at the wine tasting.
The Douro Valley is where port wine comes from, and the landscape of vineyard terraces stretching in long bands down to the river is some of the most beautiful scenery you’ll see in Portugal. The area has been on UNESCO's World Heritage List since 2001 as the Alto Douro Wine Region, and wine has been made here for around 2,000 years.
Pinhão is a small village in the heart of the wine region with a railway station covered in blue azulejos, and around it you’ll find quintas, wine estates where you can taste port and red wine and often stay the night too. Peso da Régua further west is bigger and has more places to eat, but Pinhão has the more beautiful setting.
See hotels in the Douro Valley here.
You can get here without a car. The Douro line from São Bento follows the river for much of the way and takes about two hours to Peso da Régua and around half an hour more to Pinhão. Sit on the right-hand side in the direction of travel and you’ll have the river by your window. But the wine estates are spread out and high up on the slopes, so without a car you’ll need to rely on taxis or organised tours. If you don’t have time to stay overnight, you can take an organised day trip from Porto with wine tasting, lunch and a boat trip.
I’d give the valley two nights. That gives you time for a boat trip on the river, a couple of wine tastings and a long lunch without having to drive back the same day. The most beautiful time is September and October, during the grape harvest, when the vineyards change colour. In summer it gets very hot in the valley, so choose somewhere with a pool if you’re coming in July or August.
Hotels in the Douro Valley
Quinta Nova Winery House - five-star wine estate hotel in the Relais & Châteaux group
Quinta Nova sits on a wine estate about 6 km from Pinhão with views over the river and the terraces. The hotel has a restaurant and bar, and you can taste the estate’s own wines. The pool is open from May to October, and parking is free.
This is my pick if you want to stay right among the vineyards and make food and wine a big part of your stay. It’s pricey, and one guest felt the menus could be more varied if you’re staying several days.
One guest writes simply on Booking.com: “The food was fantastic!”
See photos and book Quinta Nova Winery House here.
Hotel Rural da Quinta do Silval - four-star country hotel on a wine estate with a pool
Quinta do Silval is on a wine estate about 6 km from Pinhão. The hotel has an outdoor pool with a view, a restaurant, a bar and a garden, and it arranges wine tastings and visits to the vineyards. Parking is free.
It’s a good mid-range choice for couples and families who want a pool and a vineyard atmosphere without paying for luxury. You’ll need a car or taxi to get around. As at Quinta Nova, one guest mentions that the menu gets a bit repetitive if you eat here several evenings.
The location gets praise from a guest on Booking.com: “The location is beautiful.”
See photos and book Hotel Rural da Quinta do Silval here.
Casa Tawny - guesthouse in Pinhão close to the railway station
Casa Tawny is a guesthouse in the middle of Pinhão, a short walk from the railway station, so it’s the obvious choice if you’re arriving by train from Porto. It has a restaurant and bar, and guests praise the cleanliness and the warm welcome.
This is my budget pick in the valley, and you can walk to the river, the boats and the restaurants in the village. On the other hand, neither a pool nor parking is on the list of facilities, and if you want to get out to the wine estates, you’ll need transport.
About the breakfast, one guest writes on Booking.com: “The breakfast was perfect.”
See photos and book Casa Tawny here.
5. Évora - best town for the Alentejo, Roman ruins and great food 🏛️
- 📍 Distance to the centre: Praça do Giraldo is the heart of the town. Two of the hotels are inside the town walls, and the most expensive one is about 4 km outside town.
- 🚶 Transport: Inside the town walls, you walk. For the rest of the Alentejo, you’ll need a car.
- ✈️ Time from the airport: From Lisbon Airport it’s roughly an hour and a half’s drive to Évora. That’s an estimate.
- 💰 Price level: € to €€€. Often cheaper than Lisbon and the coast, even in high season.
- 👮 Safety: A peaceful town. In summer it gets very hot in the middle of the day, so plan your sightseeing for the morning and evening.
Évora is the capital of the Alentejo, the large region south and east of Lisbon with its wheat fields, cork oaks and olive groves. Inside the town walls you’ll find whitewashed houses, narrow streets and a Roman temple right in the middle of town, and the whole historic centre has been on UNESCO's World Heritage List since 1986.
The best-known sights are the Roman temple, the cathedral and Capela dos Ossos, a chapel whose walls are lined with bones and skulls. Portugal’s tourist board has a good page about Évora as a World Heritage city. The Alentejo is also known for its food and wines, and several of the wineries around the town welcome visitors.
Évora works well as a stop on the way between Lisbon and the Algarve, or as a quiet break on a road trip. The town is small and you can see most of it in a day, but with two nights you’ll have time for a trip out to the prehistoric stone circles and the wineries in the countryside. Many people only come on a day trip from Lisbon, so in the evening you’ll have the town more to yourself.
A car is a good idea here. Park outside the town walls or at your hotel if it has space, as the streets inside the walls are narrow. If you’re driving on south, it’s about three hours to Lagos and the rest of the Algarve. In summer the Alentejo is one of the hottest parts of Portugal, so spring and autumn are the best times to visit. Find a hire car for your trip here.
Hotels in Évora
Convento do Espinheiro - five-star hotel and spa in a former convent
Convento do Espinheiro is set in a historic convent surrounded by gardens, about 4 km outside Évora. There’s both an indoor and an outdoor pool, a spa, a tennis court and a restaurant, and parking is free.
This is the hotel for you if you want to combine the town with a few relaxing days by the pool. You’ll need a car or taxi to get into the centre. The breakfast gets praise, while one guest feels the service doesn’t quite live up to five stars.
One guest writes simply on Booking.com: “Everything was first class.”
See photos and book Convento do Espinheiro here.
Albergaria do Calvário - four-star hotel inside the town walls
Albergaria do Calvário is inside the town walls in the north-western part of town, about a five-minute walk from the centre. Breakfast is a buffet with organic produce, and there’s a bar, a garden and a terrace.
This is my mid-range pick if you want to stay in the historic centre and keep your car close by. The hotel has indoor parking for 7.50 euros a day (around £6), but spaces are limited, so book well ahead. There’s no pool, which you’ll notice on a hot summer’s day.
One guest praises three things on Booking.com: “Excellent breakfast, knowledgeable hosts and secure parking.”
See photos and book Albergaria do Calvário here.
The Aqueduct Guesthouse - guesthouse with a shared kitchen inside the town walls
The Aqueduct Guesthouse is on Largo Chão das Covas inside the town walls, about an eight-minute walk from the cathedral. It’s a small guesthouse with a terrace and a shared kitchen, so you can cook your own meals.
This is my budget pick in Évora and a good place to stay if you’re travelling light. There’s no parking at the house, and street parking costs money. Guests praise the hostess, and it’s clear that she’s the one who makes the place.
One guest writes on Booking.com: “Carla was absolutely fantastic, the perfect host.”
See photos and book The Aqueduct Guesthouse here.
6. Algarve - best area for a beach holiday and clifftop coastline 🏖️
- 📍 Distance to the centre: All three hotels are in Lagos, ranging from the centre and the marina to Meia Praia beach, which is about 2 km east of the Old Town.
- 🚌 Transport: You can get around Lagos on foot. Trains and buses run between the towns, but a car gives you the most freedom.
- ✈️ Time from the airport: Faro Airport (FAO) is the nearest airport. The Aerobus to Lagos takes about two hours, and by car the journey takes around an hour. The driving time is an estimate.
- 💰 Price level: € to €€€€. Peak season in July and August is expensive, while spring and autumn give you more for your money.
- 👮 Safety: A safe area. Keep an eye on the flags at the beaches, and don’t go too close to the cliff edges.
The Algarve is Portugal’s south coast and the country’s big beach holiday region, with sandy beaches, golden cliffs and sea caves. The western part around Lagos has the most dramatic cliffs, while the coast east of Faro is flatter, with long beaches and lagoons. You get plenty of sunshine and an Atlantic Ocean that is fresher than the Mediterranean.
I’ve chosen Lagos as the base in this guide because the town has a charming Old Town, beaches just outside the town walls and the rock formations at Ponta da Piedade. The Algarve is long, though, and Albufeira, Carvoeiro and Tavira are completely different places. In my guide to where to stay in the Algarve, I go through six towns so you can find the one that suits your holiday.
See hotels in the Algarve here.
Most people fly into Faro Airport. The Aerobus runs directly to Lagos in about two hours for around 17 euros (around £14), and FlixBus takes about 1 hour and 45 minutes. The train from Faro to Lagos costs 8.30 euros (around £7), but you first have to get to the station in Faro. All the options for the different towns are in my guide to getting from Faro Airport to the Algarve.
The Algarve works best with one fixed base for a week. With a car, you can take day trips to the beaches around Sagres to the west or to the cave at Benagil to the east, and from Lagos the boats head out to the caves at Ponta da Piedade. In winter, many restaurants and hotels are still open, but the water is cold, so it isn’t a beach holiday in quite the same sense.
Hotels in the Algarve
Iberostar Selection Lagos Algarve - five-star beach hotel at Meia Praia
Iberostar sits right on the long sandy beach of Meia Praia, east of Lagos. The hotel has an outdoor pool with sea views, an indoor pool, a spa and a kids’ club. The Old Town is about a 30-minute walk or ten minutes by taxi.
This is my pick for couples and families who want the beach right outside the door and everything in one place. Parking costs 7 euros (around £6) per day. One guest feels the furniture in the room is starting to look worn.
One guest writes on Booking.com: “Beautiful hotel, large and clean rooms, really good food and extremely friendly staff.”
See photos and book Iberostar Selection Lagos Algarve here.
Hotel Marina Rio - four-star hotel with a heated pool by the marina
Hotel Marina Rio is on Avenida dos Descobrimentos, facing the river and the marina, about a ten-minute walk from the centre. The hotel has a heated outdoor pool with a view, a bar and a lift, and the rooms are spacious.
It’s a good mid-range choice if you want to stay close to both the Old Town and the beach without paying for a resort. Parking in the basement costs 15 euros (around £13) per day, and one guest feels breakfast is expensive. Another found the staff rude.
One guest highlights the rooms on Booking.com: “Spacious and nicely furnished rooms, bathroom with walk-in shower and grab rails, excellent for people with reduced mobility.”
See photos and book Hotel Marina Rio here.
LagosMar Story Hotel - small two-star hotel in the heart of Lagos
LagosMar Story Hotel is on Rua Dr. Faria e Silva in the middle of Lagos. It’s about a five-minute walk to Praia da Batata beach and a little further to the marina. The hotel has a lift and a terrace.
This is my budget pick if you want to stay in the middle of town and spend your days on the beach. The rooms aren’t particularly large, and there’s no pool or parking, so it’s best if you don’t have a car.
One guest writes briefly on Booking.com: “Lovely staff, good location and comfortable.”
See photos and book LagosMar Story Hotel here.
7. Madeira - best island for hiking and mild weather all year round 🌿
- 📍 Distance to the centre: All three hotels are in Funchal, from the cathedral in the centre to Reid's Palace, about a 15-minute walk west of town.
- 🚗 Transport: You can get around Funchal on foot and by bus. For the hikes and the rest of the island, a car or organised tours are the easiest option.
- ✈️ Time from the airport: Madeira Airport is east of Funchal. Allow 20 to 35 minutes by car into town.
- 💰 Price level: € to €€€€. A wide choice in Funchal, from simple city hotels to luxury hotels.
- 👮 Safety: A safe island. Check the weather and the route before you set off on a hike, and don't walk on closed trails.
Madeira lies in the Atlantic off the coast of Africa and has mild weather all year round, which makes it a popular winter-sun destination for travellers from the UK. The island is green and steep, with mountains rising above the clouds, water channels called levadas that you can walk alongside, and a laurel forest that is on UNESCO's World Heritage List.
Funchal is the capital and the base most people choose. Here you stay close to the harbour, the cathedral and the Mercado dos Lavradores market, and the buses and tours to the rest of the island leave from here. If you'd rather stay on the sunny side at Calheta or by the natural pools in Porto Moniz, I've written a guide to where to stay on Madeira, covering three areas. You can read why the island is called Europe's answer to Hawaii in my post about Madeira.
The hiking is the main reason many people come. The island's tourist office has a list of the official walking routes, which also shows which routes are closed. The weather changes quickly in the mountains, so set off early and always bring a jacket, even when it's warm in Funchal.
Madeira has only a few sandy beaches, and in most places you swim from rocks or in natural pools. If you want a long sandy beach, you'll find it on the neighbouring island of Porto Santo, which you can reach by ferry or plane. Give Madeira at least five nights, and hire a car for a couple of days if you want to drive to the hikes yourself.
Hotels on Madeira
Reid's Palace, A Belmond Hotel - legendary five-star hotel on the cliff above the sea
Reid's Palace sits in a large garden on a cliff above the sea west of the centre, and you can walk into town in about a quarter of an hour. The hotel has three pools, including a heated pool and a seawater pool, plus a spa, tennis court and restaurant, and parking is free.
It's one of the best-known hotels in Portugal and the place for a special trip. The price reflects that. The hotel is old, and one guest mentions a small, dated toilet, though it suits the building's history.
One delighted guest writes on Booking.com: “Everything! Location, staff, food, drinks, views, rooms. Honestly, everything was absolutely outstanding.”
See photos and book Reid's Palace, A Belmond Hotel here.
Hotel Madeira - three-star city hotel with a rooftop pool
Hotel Madeira is on Rua Ivens in the middle of Funchal, close to shops and restaurants. The highlight is the rooftop pool with a bar and views over the city, and breakfast is included in the price.
It's a good mid-range choice if you want to stay centrally with a pool without paying for a resort. Parking costs 11 euros (around £9) per day. One guest felt the room needed doing up, but also noticed that the hotel was renovating other rooms.
One guest writes about the location on Booking.com: “Perfectly located in a quiet spot next to the Old Town.”
See photos and book Hotel Madeira here.
Hotel Catedral - three-star hotel close to the cathedral
Hotel Catedral is on Rua do Aljube in the centre of Funchal, close to the cathedral. The breakfast buffet is included in the price, and there's a lift and a 24-hour reception.
It's my budget pick on Madeira and handy if you want to walk everywhere. The hotel has free parking, but it's about a five-minute walk away. One guest writes that the entrance is hard to find when you arrive by car.
One guest sums it up on Booking.com: “Excellent location, very friendly and helpful staff and a good breakfast.”
See photos and book Hotel Catedral here.
8. The Azores - the best islands for crater lakes, whales and wild nature 🐋
- 📍 Distance to the centre: All three hotels are in Ponta Delgada on São Miguel, no more than about 1 km from the city gates, Portas da Cidade.
- 🚗 Getting around: You can see the town on foot. To reach the crater lakes and hot springs, you’ll need a car or organised tours.
- ✈️ Time from the airport: Ponta Delgada Airport is less than 3 km from the centre. Allow about 10 minutes by taxi.
- 💰 Price level: € to €€€€. Cheaper than Madeira and the Algarve outside the summer holidays.
- 👮 Safety: Very safe islands. The weather changes quickly, so check the view of the crater lakes before you drive up.
The Azores are nine volcanic islands in the middle of the Atlantic, and they’re the wildest part of Portugal you’ll find. Here you’ll find green craters filled with lakes, hot springs, hydrangea hedges lining the roads and a coastline where you can go whale watching. The islands’ own tourist board calls them nine naturally surprising islands, and each island has its own character.
The largest island is São Miguel, and its main town, Ponta Delgada, is the natural base for a first trip. From here you can drive west to Sete Cidades with its two crater lakes and east to Furnas with its hot springs. If you’d like to stay in Furnas, near Sete Cidades or on one of the other islands such as Pico and Terceira, I’ve written a full guide to where to stay in the Azores, covering seven areas.
See hotels in Ponta Delgada here.
The airport is just outside town, and the flight from Lisbon takes around two hours. Hire a car for part of your stay, as the bus times rarely suit a day at the lakes, and the roads are easy to drive. Clouds can hang thick over the craters, so keep a day or two free in your plans so you can drive up when the view is clear.
I’d give São Miguel at least four nights, and a week if you also want to fit in another island. Summer is the most settled time, with the warmest water, while spring is a good time for whale watching. The islands aren’t the place for a classic beach holiday, but for nature, hiking and long days in the car.
Hotels in the Azores
Grand Hotel Açores Atlântico - five-star hotel overlooking the marina
Grand Hotel Açores Atlântico is on the seafront promenade, Avenida Infante D. Henrique, with views over the marina in Ponta Delgada. The hotel has a heated indoor pool, spa, gym, restaurant and bar, and the breakfast buffet uses local produce.
This is my pick if you want a comfortable stay with the town and the whale-watching boats right on your doorstep. Valet parking costs 13 euros (around £11) per day. Complaints are few, but one guest felt the indoor pool could be a little warmer.
One guest writes on Booking.com: “Everything exceeded our expectations from start to finish.”
See photos and book Grand Hotel Açores Atlântico here.
Casa do Campo de São Francisco - guesthouse in a historic building by the town park
Casa do Campo de São Francisco is on the Campo de São Francisco square in a historic building with a garden and terrace, less than a kilometre from Portas da Cidade. Breakfast is served, and the rooms have air conditioning.
It’s a good mid-range choice if you want somewhere with charm within walking distance of the restaurants. Parking is on the street and costs 0.60 euros (around 50p) per hour from 8 am to 7 pm. Some of the rooms are small, and one guest describes their room as a little small, but with everything you need.
One guest writes on Booking.com: “Excellent place to stay in Ponta Delgada. A historic building with lots of charm.”
See photos and book Casa do Campo de São Francisco here.
Hotel Alcides - two-star hotel with a restaurant in the centre of town
Hotel Alcides is on Rua Hintze Ribeiro, about 250 metres from Portas da Cidade. The hotel has a restaurant and bar, and the breakfast buffet uses produce from the islands.
This is my budget pick in Ponta Delgada. The downside is the car, as the hotel has no parking, and one guest had to walk about 500 metres from where they’d parked. The free parking spaces are around a ten-minute walk away.
One guest praises the location on Booking.com: “Good location. Friendly and helpful staff. Clean and spacious room.”
See photos and book Hotel Alcides here.
Where not to stay in Portugal?
I wouldn’t stay in Lisbon for the whole trip and do Porto as a day trip. The train takes just under three hours each way, and Porto deserves at least two nights. Nor would I stay in Lisbon and try to see the Algarve in a day, as the beaches are around a three-hour drive away.
In the Algarve, I wouldn’t book a cheap resort far from both town and beach without a car, as your holiday will be spent waiting for buses and taxis. In Lisbon and Porto, check whether the hotel sits at the top of a steep hill before you book, especially if you have heavy luggage or are travelling with young children. And don’t squeeze Madeira or the Azores in as a short stop on a tour of the mainland. Both archipelagos require a flight and at least four or five nights.
If I had to pick one base for a first trip, it would be Lisbon with a couple of nights in Cascais or Sintra. If you have two weeks, you can start in Porto, drive through the Douro Valley, spend a night in Évora and finish with some beach time in the Algarve. If you’d rather have nature and hiking than cities and beaches, Madeira and the Azores are the obvious choices, and Madeira is the safest bet in winter.
The best weather for a tour is in spring and autumn, when it’s warm without being scorching. For a beach holiday in the Algarve, June and September are a good compromise between warmth and prices. Check the official travel advice for Portugal before you travel, and book your hotels well in advance if you’re going in July or August.
Portugal is also easy to combine with Spain. From the Algarve it’s a short hop across the border, and you can read about where to stay in Seville or where to stay in Cádiz. If your trip continues east from Lisbon, I also have a guide to where to stay in Madrid.
Travel ressources & websites I use all the time 👇
• Booking.com has the best offers on hotels and unique places to stay
• GetYourGuide is the best place to book tours & activities with free cancellation
• Welcome Pickups is the best & safest place to pre-book airport transfers
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