Where to stay in the Algarve: Best areas and hotels

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Wondering where to stay in Algarve for your next gateway to the region? In this article, I will tell you about the best places to stay in the Algarve. You will find out in which towns it is best to book accommodation, what to see in and around each of them, and the distance to other points of interest.

I've highlighted the primary beaches in the area and the towns where I suggest looking for lodging on the map that's provided below. In any case, let me warn you that the distances are not very great if you are traveling by car, no matter where you stay. All parts of the Algarve will be accessible to you without any issues.

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Where to stay in the Algarve

Some of the best places to stay in the Algarve are Lagos, Tavira, Faro or Carvoeiro, below you will find all the details! On the other hand, if you are looking for nice hotels, don’t miss my selection of charming hotels in the Algarve.

1. Lagos, stay next to the best beaches of the Algarve

where to stay in algarve
Lagos

Lagos is probably one of the most popular towns in the Algarve and is where many tourists decide to book their hotel. Why? Because it is home to some of the best beaches!

This town is located on the western part of the coast and has a population of around 22,000 inhabitants. The town is rich in history and can boast one of the most beautiful coastlines in the south of Portugal. Apart from beautiful beaches, it has a very attractive old town and a lively nightlife.

In the town of Lagos, I recommend you visit the municipal market, the castle of Lagos, the church of Santo Antonio, and the church of Santa Maria de Lagos. As for its beaches, the best are Praia dos Estudantes, Praia de Dona Ana, Praia do Camilo, and Praia da Balança.

At Praia dos Estudantes, don’t forget to go through the natural rock tunnel located on the right side until you reach a small cove where you can see a Roman bridge. Another must-see is the Ponta da Piedade viewpoint. You can also visit this place by booking this boat trip to the caves of Ponta da Piedade, highly recommended!

Distance from Lagos to other touristic places:

  • Praia da Marinha: 33.7 km.
  • Cueva de Benagil: 34 km.
  • Cabo de Sao Vicente: 38.6 km.
  • Praia da Falésia: 58.7 km.

Recommended hotels in Lagos

boutique hotels in Algarve
Lagos Avenida Hotel

Hotel options according to different budgets:

2. Tavira, a quiet and charming village in Algarve

tavira algarve
Tavira

Tavira is a town of about 25,000 inhabitants located in the eastern part of the Algarve, at the mouth of the river Gilão, quite close to Huelva.

The village of Tavira has a lot of charm thanks to its cobbled streets and traditional houses decorated with tiles. This is the village where we stayed on our route through Portugal by car, and we liked it very much. Exactly, we stayed in the Monte da Eira tourist apartments. We were very comfortable.

Of course, you should know that to go to the main beach of the village, you have to take a ferry. This beach is called Praia da Ilha de Tavira. It is a 12-kilometer-long beach with calm and very clear waters. I loved it. The ferry can be taken from the center of town or from the Cais das Quatro Águas pier. In any case, the price of the ferry is very affordable.

Apart from this beautiful beach, be sure to stroll through the historic center and discover some of its most beautiful corners. Another curious place to visit is the Cemetery of the Anchors.

Distance from Tavira to other tourist sites:

  • Lagos: 116 km.
  • Praia da Marinha: 83.6 km.
  • Cueva de Benagil: 84 km.
  • Cabo de Sao Vicente: 148 km.
  • Praia da Falésia: 60.4 km.

Recommended hotels in Tavira

where to stay in Algarve
São Paulo Boutique Hotel

Hotel options according to different budgets:

3. Faro, stay in the main city in Algarve

faro portugal
Faro

Faro is the capital of the Algarve, with around 118,000 inhabitants. It is not the best option if you are looking to be close to coves and beaches, but if you feel like staying in a place with a lot of historical and cultural richness, it is a great alternative.

This town stands out for its old town, surrounded by ancient walls. Within them, you will find places like the Cathedral of Faro, the Arco da Vila, the Carmo Church (whose chapel is made of human bones), and the Manuel Bivar Garden. If you are interested, you can take this guided tour of Faro.

Distances between Faro and other touristic points:

  • Lagos: 91.1 km.
  • Praia da Marinha: 58.2 km.
  • Cueva de Benagil: 58.6 km.
  • Cabo de Sao Vicente: 123 km.
  • Praia da Falésia: 31.1 km.

Recommended hotels in Faro

Vila Milreu Guest House
Vila Milreu Guest House

Hotel options according to different budgets:

4. Sagres, where to stay in the Algarve for surf lovers

where to stay in Algarve
Sagres, Algarve

Sagres is another great option for staying in the Algarve. This small town of only 2,000 inhabitants is located at the westernmost tip of the region. It has a special charm and offers one of the best sunsets in Portugal.

If you want to witness this sunset, you will have to go to Cabo de San Vicente, where there is also a lighthouse with the same name and spectacular cliffs. It is a place where it is usually very windy, and even if you go in the summer, it is cool, so remember to take a jacket.

The village of Sagres has a very relaxed and pleasant atmosphere. One of its great attractions is surfing. If you are a lover of this sport, Sagres is the best option for you. Other places to see in Sagres or near the municipality are the Sagres Fortress, Praia do Tonel, Beliche Fortress, Praia do Martinhal, and Castelejo Viewpoint, 12 km north of Sagres.

If you go to Sagres, I recommend eating at the Laundry Lounge Sagres restaurant. I was there on my last visit and loved it—both the decoration of the place and the food.

Distances from Sagres to other points of interest:

  • Lagos: 32.8 km.
  • Praia da Marinha (Beach): 68.4 km.
  • Benagil Cave: 68.7 km.
  • Cape of Sao Vicente: 6.4 km.
  • Praia da Falésia (Beach): 90.4 km

Recommended hotels in Sagres

Cercas Velhas
Cercas Velhas

Recommended hotels according to budgets:

5. Carvoeiro, great option to sleep in the Algarve if you’re traveling with family

where to stay in Algarve
Where to stay in Algarve

Carvoeiro is another great place to base your trip to the Alrgave, especially if you are a family with children or if you are looking for a quieter place. This coastal town has less than 3,000 inhabitants, and, apart from being one of the most beautiful villages in the Algarve, it is close to many other places of interest in the region as it is very centrally located.

Its main beach, Praia de Carvoeiro, is surrounded by small houses and cliffs, which makes it very special and pleasant. On the coast, there is a very nice little wooden path called Carvoeiro Boardwalk that leads you to Algar Seco, a set of caves on the coast. Near Carvoeiro, you can visit Praia da Marinha, Praia do Carvalho, and Benagil Cave.

To visit Benagil Cave, I recommend booking the boat ride to Benagil here in advance, as this activity often sells out quickly.

Distances between Carvoeiro and other places of interest:

  • Lagos: 42.3 km.
  • Praia da Marinha: 8.4 km.
  • Benagil Cave: 8 km.
  • Cape of Sao Vicente: 73.7 km.
  • Praia da Falésia: 38.8 km.

Recommended hotels in Carvoeiro

Tivoli Carvoeiro
Tivoli Carvoeiro

Recommended hotels according to budget:

6. Albufeira, if you are looking for a lively nightlife atmosphere

where to stay in algarve
Albufeira

Another good proposal is Albufeira, a municipality of about 40,000 inhabitants located in the central area of the Algarve. It is one of the most popular destinations in southern Portugal and the largest coastal town in the region. If you want to stay in a lively place with a good nightlife, this is a great option.

In fact, the party is one of the great protagonists of Albufeira. If you are traveling with children or looking for a quiet place, this is not the best option. Some of the must-sees in Albufeira are strolling through the historic center, the elevador do Peneco, or the Pau da Bandeira viewpoint. Nearby is the Praia da Falésia, one of the most beautiful beaches in the Algarve.

Distances between Albufeira and other places in the region:

  • Lagos: 60 km.
  • Praia da Marinha: 23,3 km.
  • Cueva de Benagil: 23,7 km.
  • Cabo de Sao Vicente: 91,5 km.
  • Praia da Falésia: 12,7 km

Recommended hotels in Albufeira

Hotel California Urban Beach
Hotel California Urban Beach

Recommended hotels according to budget:

Map of where to stay in the Algarve

I have created this map to help you choose accommodation in the Algarve:

You will see marked in red the main places to sleep in the Algarve (as well as places you should visit during your trip); marked in orange the different hotels I recommend (with their respective links to Booking); and, finally, marked in turquoise, the best beaches in the Algarve and other places to see.

Some of the best beaches in the Algarve are Praia de Odeceixe, Praia da Bordeira, Praia da Barriga, Praia do Beliche, Ponta da Piedade, Praia do Camilo, Praia de Dona Ana, Praia dos Estudantes, Praia dos Três Irmãos, Praia de Carvoeiro, Praia de Benagil, Praia da Marinha, Praia da Coelha, Praia da Rocha Baixinha, and Praia da Ilha de Tavira.

You can click on each of the boxes in the drop-down menu on the map to see the areas, hotels, or places to visit. This will make it much easier for you to organize your trip and choose where you want to stay.

You can also check my selection of best boutique hotels in Algarve, Portugal.

I hope this article about where to stay in the Algarve has been very useful in organizing your trip to the south of Portugal. If you have any questions, I encourage you to leave a comment or write me an email. See you next time!

Picture of Sofía Pozuelo
Sofía Pozuelo
Hi! I'm Sofia, creator of Come Ama Viaja. Traveling has been my greatest passion since I was a child. Besides exploring the world, I love walking in the countryside, specialty coffee, and Neapolitan pizza. I hope you find my travel guides useful!

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