Where to Stay in Albufeira: My Selection of the Best Accommodations

Wondering where to stay in Albufeira? Looking for the best areas and districts?

You’re at the right place!

As I know the Algarve region very well, I have created this guide of:

• Albufeira’s best areas for your stay (with details about the best beaches and nearby attractions)
• For each area and district, the best hotels depending on your budget

Let’s find your dream hotel now!

My favorite hotels in Albufeira

Here’s a quick summary of my favorite hotels in Albufeira, in case you don’t have time to read my detailed article.

Simply click on the hotel names in orange to access details and rates:

• Where to stay in Albufeira for the first time: Casa Amarela Guesthouse (Old Town) or PortoBay Falésia (direct beach access)
• Where to stay in Albufeira for nightlife: Auramar Beach Resort close to both “The Strip” (the bars street) and the beach
• Best 5-star hotel in Albufeira: W Algarve, for a trendy and luxury experience or Vila Balaia (luxury villas, more intimate)
• Where to stay in Albufeira on a budget: Residencial Mar à Vista or Apartamentos Carruna
• Where to stay in Albufeira with family: Alfagar Village or Alfagar Alto da Colina, in the same complex, with amazing pools and slides.
• My favorite hotel in Albufeira for a romantic stay: EPIC SANA Algarve Hotel (best) PortoBay Falésia (cheaper), both with direct beach access or Vila Origens Boutique Hotel in the old town

In Albufeira Old Town (Centro Histórico)

The Old Town is the historic heart of Albufeira.

With its cobblestone streets, whitewashed houses, and traditional Portuguese charm, it offers a much more relaxed atmosphere than other parts of the city.

It is the best area to enjoy traditional restaurants and stay close to the main beach without the noise of the nightclubs.

You should stay in this district:

• If you prefer a walkable area, where you can easily reach shops, cafes, and the beach on foot.
• If you want to watch street performers and listen to live music in the main square (Jardim Público).
• For history lovers who want to see the old churches and the clock tower.

This is the perfect area to see:

• Praia dos Pescadores (Fishermen’s Beach), accessible directly from the center via an escalator or tunnel.
• The Clock Tower, an iconic symbol of the city.
• Jardim Público de Albufeira, the main square surrounded by restaurants and bars.
• Sant’Ana Church, a beautiful 18th-century church.
• The Museum of Sacred Art, housed in the restored Chapel of San Sebastian.

Where to Stay in Albufeira Old Town?

• Casa dos Arcos Guesthouse: Located in a restored 18th-century palace. uniquely decorated double rooms starting at 90€. Strong points: historic charm, very central location, artistic vibe. A great choice for its excellent value for money!
• Cerro Mar Atlantico & Cerro Mar Garden: Located on a hill overlooking the Old Town. Spacious apartments and rooms with balconies from 110€. Strong points: stunning panoramic views, several swimming pools, gym and spa facilities.
• Casa Amarela Guesthouse: Situated very close to the historic center. Modern, renovated guest house rooms from 130€. Strong points: rooftop pool with city views, immaculate cleanliness, very helpful hosts.
• Vila Origens Boutique Hotel: An adults-only hotel just steps from the beach. Luxurious, stylish rooms from 180€. Strong points: very nice outdoor pool, spa, exclusive and peaceful atmosphere (adults only hotel). My favorite hotel for a romantic stay in the Old Town!

Areias de São João (The Strip)

Located to the east of the Old Town, Areias de São João is famous for “The Strip” (Avenida Sá Carneiro).

This is the nightlife capital of the Algarve, packed with neon lights, themed bars, and nightclubs.

Perfect if you’re planning to party until dawn!

You should really stay in Areias de São João if you want:

• To enjoy the nightlife, with dozens of bars right on your doorstep.
• A lively atmosphere day and night.
• To be close to Praia da Oura, a beautiful beach with plenty of water sports.

This district is perfect to discover:

• The Strip, for its intense nightlife and party vibe.
• Praia da Oura, located at the bottom of the hill, to enjoy the sun after a night out.
• Praia dos Alemães, a quieter beach nearby.

Here are my favorite hotels near The Strip

• The Navigator – Solaqua: Located 10 minutes walk from the Strip and the beach. Large studios and apartments with kitchenettes from 90€. Strong points: huge indoor and outdoor pools, great value for money.
• Topázio – VIBE Beach Hotel & Apartments: Just a few steps from the bars but quiet enough to sleep. Modern rooms, apartments and bungalows from 100€, breakfast included. Strong points: nice swimming pool, youthful vibe, very friendly staff.
• Hotel Apartamento Brisa Sol: Located between the Old Town and the Strip. Studios and family apartments from 165€. Strong points: excellent pool area, very clean, great for families wanting to be near the action but not in it.
• Auramar Beach Resort: Right on the beach, overlooking the ocean. Simple double rooms from 185€, all-inclusive options available. Strong points: direct beach access, large outdoor pool, free parking, stunning views. Simply the best hotel and enjoy both the beach and the Albufeira’s nightlife!

Olhos de Água and Falésia

Olhos de Água, located to the east, is a charming fishing village that has merged with Albufeira.

This area is famous for the Praia da Falésia, one of the most beautiful beaches in the world with its red cliffs.

It offers a more upscale and tranquil experience compared to the city center.

You can stay in Olhos de Água:

• For a family holiday, as there are many large resorts with kids’ clubs.
• If you want a relaxing beach vacation, away from the loud nightlife.
• To enjoy luxury hotels, as this area hosts some of the best 5-star properties in the region.

Best things to see and do around Olhos de Água:

• Praia da Falésia, perfect for long walks and swimming.
• Olhos de Água Beach, where you can see freshwater springs bubbling up through the sand at low tide.
• Pine Cliffs Golf Course, offering spectacular ocean views.

The Best Hotels in Olhos de Água and Falésia

• Velamar Boutique Hotel: Located 900 meters from the beach. Recently renovated rooms from 120€, breakfast included. Strong points: outdoor pool, very clean, excellent breakfast.
• The Patio Suite Hotel: A great complex for families. Spacious suites with living areas from 140€. Strong points: four swimming pools, shuttle to the beach, quiet location.
• PortoBay Falésia: Overlooking the red cliffs with direct access to the beach. Elegant rooms from 160€, breakfast included. Strong points: breathtaking views, excellent service, indoor and outdoor pools. A great choice for its excellent value for money.

And if you’re looking for a more luxurious experience, these 3 hotels will be perfect for you:

• EPIC SANA Algarve Hotel: A stunning 5-star hotel located right on Falésia Beach. Modern luxury rooms from 250€. Strong points: 2 Outdoor pools, extensive spa, gourmet dining. The perfect choice for a romantic stay in Albufeira!
• Pine Cliffs Gardens: This 5-star luxury resort is surrounded by pine trees. High-end suites from 360€. Strong points: 9 swimming pools, access to world-class golf, private beach lift, multiple award-winning restaurants. An excellent choice for a luxury stay!
• Vila Balaia: 5-star luxury villas situated in a lush garden, from 375€. Strong points: heated outdoor pool, tennis courts, very peaceful atmosphere. The best luxury option in Albufeira if you’re looking for a more intimate holiday!

Salgados and The Marina (West Albufeira)

To the west of the Old Town lies the Albufeira Marina and the Salgados area.

This district is modern, colorful, and generally quieter and more exclusive.

It sits next to a nature reserve, making it great for nature lovers and bird watchers.

You should stay in this area if you want:

• Proximity to boat tours, including dolphin watching and caves trips starting from the Marina.
• A modern resort experience, with newer infrastructure.
• To play golf, at the renowned Salgados Golf Course.

Where to Stay near Albufeira Marina and Salgados

• Regency Salgados Hotel & Spa: A 4-star boutique hotel near Salgados beach. Modern double rooms from 160€. Strong points: peaceful garden, great pool area, high-quality food.
• The Homeboat Company Albufeira: Stay directly on the water in the Marina. Unique house boats with kitchenettes from 175€. Strong points: original experience, private terrace, free bikes. A great choice for a unique stay in Albufeira!
• Algarve Marriott Salgados Golf Resort & Spa: A 5-star complex next to the golf course. Large rooms with contemporary design from 180€. Strong points: three outdoor pools, great breakfast, large garden, free small train taking you to the beach.
• W Algarve: The trendiest 5-star hotel in the region. Avant-garde design rooms from 380€. Strong points: infinity pool, direct beach access, top-tier service. The best luxury hotel west of Albufeira!

Where to Stay in Albufeira on a Budget

If you’re traveling on a budget, here are a few great hotels for a stay in Albufeira without spending too much:

• Residencial Mar à Vista: Located just a short walk from the Old Town square. Simple rooms with private bathrooms, some offering sea views, starting at 65€. Strong points: great location, ocean view, free parking nearby. Can’t beat that price in Albufeira!
• Villa Bonita Guesthouse: Situated in a residential area, 500m from the historic center. Charming double rooms with traditional decor from 80€. Strong points: very clean, excellent location, welcoming host.
• Apartamentos Carruna: Situated in Albufeira city, close to the nightlife but in a quieter street. Apartments with balconies from 90€. Strong points: nice outdoor pool, kitchenette to save on meals, walking distance to Oura Beach. A great choice for a budget stay!
• Apartamentos Debimar: Located west of Albufeira, near Salgados, just a 5-minute walk from the beach. Simple, well-equipped apartments from 105€. Strong points: the pool, friendly owners, sea view from the rooms.

Where to Stay in Albufeira with Family

• Orada Apartamentos Turísticos: Just a short walk from the Marina. Large apartments with balconies from 110€. Strong points: large outdoor pool, landscaped gardens, private parking.
• Alfagar Village: Located on a cliff top in Olhos d’Água. Apartments with direct garden access from 120€. Strong points: amazing swimming pools with slides, direct beach access, tennis court. A great choice choice if you’re traveling with kids!
• Alfagar Alto da Colina: located a bit higher on the hill and also part of the Alfagar complex. Apartments with large balconies from 120€. Strong points: access to all resort facilities including the water slides, soccer pitch, tennis court, padel court… a true kids paradise! Same as above, for sure they will have a lot of fun!
• Moradias Vila Joinal: Situated in the quiet Galé area, west of the city center. Spacious villas surrounded by gardens from 125€. Strong points: large outdoor pool, very peaceful atmosphere. A full 130 m² villa for this price? Perfect if you want some space!
• Westin Salgados Beach Resort: A 5-star resort near the Salgados nature reserve. Luxury suites from 350€. Strong points: kids club, several pools, proximity to the beach and golf. Simply the best luxury restort for a family holiday in Albufeira!

What is the best hotel in Albufeira?

If you are looking for the best hotel in Albufeira, I recommend you the W Algarve or the excellent Pine Cliffs Gardens.

For a more intimate experience, you can also opt for the villas at Vila Balaia.

And if you’re looking for something a little more affordable but still luxurious, you should book a night or more at the amazing EPIC SANA Algarve Hotel.

Where to stay in Albufeira: The best hotels

To give you a better overview of the best hotels in Albufeira, whether in the city center or elsewhere, I’ve prepared a table summarizing all the ones I talk about in this article.

You can sort them by price or by district!

Hotel	District	Price (from)
Casa dos Arcos Guesthouse	Old Town (Centro Histórico)	90€
Cerro Mar Atlantico & Cerro Mar Garden	Old Town (Centro Histórico)	110€
Casa Amarela Guesthouse	Old Town (Centro Histórico)	130€
Vila Origens Boutique Hotel	Old Town (Centro Histórico)	180€
The Navigator - Solaqua	Areias de São João (The Strip)	90€
Topázio - VIBE Beach Hotel & Apartments	Areias de São João (The Strip)	100€
Hotel Apartamento Brisa Sol	Areias de São João (The Strip)	165€
Auramar Beach Resort	Areias de São João (The Strip)	185€
Velamar Boutique Hotel	Olhos de Água & Falésia	120€
The Patio Suite Hotel	Olhos de Água & Falésia	140€
PortoBay Falésia	Olhos de Água & Falésia	160€
EPIC SANA Algarve Hotel	Olhos de Água & Falésia	250€
Pine Cliffs Gardens	Olhos de Água & Falésia	360€
Vila Balaia	Olhos de Água & Falésia	375€
Regency Salgados Hotel & Spa	Salgados & Marina (West Albufeira)	160€
The Homeboat Company Albufeira	Salgados & Marina (West Albufeira)	175€
Algarve Marriott Salgados Golf Resort & Spa	Salgados & Marina (West Albufeira)	180€
W Algarve	Salgados & Marina (West Albufeira)	380€
Residencial Mar à Vista	Cheap Hotels	65€
Villa Bonita Guesthouse	Cheap Hotels	80€
Apartamentos Carruna	Cheap Hotels	90€
Apartamentos Debimar	Cheap Hotels	105€
Orada Apartamentos Turísticos	Hotels for families	110€
Alfagar Village	Hotels for families	120€
Alfagar Alto da Colina	Hotels for families	120€
Moradias Vila Joinal	Hotels for families	125€
Westin Salgados Beach Resort	Hotels for families	350€