Gizane Campos
Portugal has fast become one of Europe’s most sought-after travel destinations—and for good reason. With its year-round Mediterranean climate, breathtaking landscapes, and a rich cultural heritage, it offers something memorable for every traveler.
Whether you’re strolling through UNESCO-listed cities, relaxing on golden beaches, or venturing into the picturesque wine regions, Portugal captivates at every turn. The warmth of the Portuguese people is unmistakable, and hospitality is at the heart of their culture.
Celebrations and traditional festivals light up towns across the country, offering a glimpse into Portugal’s vibrant spirit. Culinary enthusiasts will also find plenty to love, from fresh Atlantic seafood to beloved dishes like bacalhau (dried and salted cod). Better still, Portugal delivers exceptional value for money, making it a smart choice compared to other European destinations.
In this guide to the best Portugal hotels and places to stay, we’ll help you navigate the standout accommodations that reflect the country’s charm and variety. From stylish boutique hotels in buzzing cities to tranquil beach resorts and countryside retreats. We will explore:
An Overview of Tourism in Portugal
The Portugal tourism sector is thriving, driven by this stunning country’s ideal weather, beautiful Atlantic coastline, and a high quality of life that remains relatively affordable compared to other European Union countries. Text – Visual Editor
According to a panel consulted by the Institute of Planning and Development of Tourism (IPDT), Portugal’s tourism professionals estimate that in 2025 the sector is expecting 33 million guests to visit Portugal throughout the year and an accompanying €6.5 billion in revenue.
Portugal offers a unique cultural and natural diversity to tourists and expats interested in living in Portugal. The tourism industry, along with its thriving tech sector and strong investor confidence, places Portugal in the perfect situation to continue capturing the global tourism sector and driving significant economic growth in 2025 and beyond.
From the vibrant streets of Lisbon to the year-round sun-soaked beaches of the Algarve, you will discover something for every kind of explorer and accommodation to suit your needs. In the sections below, we will explore just a few of the best 5-star hotels in Portugal, which also happen to be located in some of the best places to live in Portugal.
Portugal Hotels 5-Star: The Best 5-Star Hotels in Portugal
All over the world, five-star hotels are known for offering a high level of luxury and personalized service to guests. In the section below, we will explore five of the best 5-star hotels in Portugal that you should consider staying at during your trip.
Onyria Marinha Boutique Hotel, Cascais
Onyria Marinha Boutique Hotel is a 5-star Boutique Hotel located in Quinta da Marinha, Cascais. This exceptional 5-star accommodation claimed first place out of 43 hotels in Cascais in the 2025 Travelers’ Choice Best of the Best Hotels Awards.
The Hotel offers a refined stay with 68 deluxe rooms, four suites, and 12 Deluxe Villas, all designed for guests to indulge in comfort and elegance. Surrounded by nature and within walking distance to the beach along the Atlantic Ocean, the hotel provides a tranquil and scenic environment for all guests.
Perfect for both leisure and business, Onyria Marinha Boutique Hotel features facilities for meetings and conferences, restaurants and a bar, and dedicated spaces for dream events. Whether you’re planning a corporate gathering or a special celebration, the setting is both functional and picturesque.
Located just minutes away from the charming town of Cascais and only 20 minutes from the Portuguese capital, Lisbon, guests can easily explore the local culture and attractions and enjoy a number of incredible things to do in Cascais.
In addition to the beautiful surrounding landscapes overlooking the Atlantic Ocean, Onyria Marinha Boutique Hotel offers free parking, free high-speed Internet (WiFi), a fitness center with gym/workout room, pool, bar/lounge, bicycle rental, golf course, and babysitting. It is a premier destination for relaxation, events, and exploration.
3HB Faro, Algarve
Located in the heart of the city, 3HB Faro is the first 5-star hotel in Faro, offering an elegant blend of comfort and sophistication. With its urban chic style, this hotel captured first place out of 23 hotels in Faro in the 2025 Travelers’ Choice Best of the Best Hotels Awards.
The hotel’s architecture reflects the traditional culture of Algarve, striking a perfect balance between classic and contemporary, which carries through to the modern rooms and suites, some even featuring a private jacuzzi.
Guests can enjoy a variety of facilities, including two restaurants: Hábito on the rooftop terrace and Forno Nero, conveniently located near Faro’s traditional shopping street. The hotel also features a SPA and gym, meeting rooms, and a rooftop infinity pool that offers breathtaking views over the city and the Ria Formosa.
Just 15 minutes from Faro International Airport, 3HB Faro is ideally located for exploring the Algarve. From golden sand beaches, renowned golf courses, fishermen’s islands, and traditional mountains, the region offers something for everyone, and you will find incredible things to do in Algarve.
Additional amenities include a hot tub, indoor and outdoor heated pools, a pool with a view, a rooftop pool, a bar/lounge, pool/beach towels, and airport transportation, making 3HB Faro a perfect gateway to the Algarve.
Quinta Jardins do Lago, Funchal, Madeira
Quinta Jardins do Lago, perched on a peaceful plateau overlooking Funchal Bay, claimed first place out of 98 hotels in Madeira in the 2025 Travelers’ Choice Best of the Best Hotels Awards. Just a 20-minute drive from Madeira Airport and 5 minutes from Funchal town, the hotel offers the convenience of a courtesy minibus—especially welcome on the uphill return.
This historic estate is a true botanical retreat, spanning over six acres of lush gardens that reflect Madeira’s horticultural legacy. Once a beacon for tall ships entering the harbour, its giant eucalyptus still stands proudly, symbolizing centuries of exploration and cultivation. The gardens are a living testament to the island’s rich natural diversity, which is also why the island is listed as one of Global Citizen Solutions’ 10 best places to live in Portugal.
With only 42 rooms and suites, all facing south toward the Atlantic Ocean, guests enjoy private balconies with serene garden views. For a more secluded experience, the Garden Villa offers an intimate setting within this verdant paradise.
Quinta Jardins do Lago blends historic charm, natural beauty, and a tranquil atmosphere, making it a standout destination for those seeking peace and authentic island elegance in Madeira.
Santiago De Alfama Boutique Hotel, Lisbon
Santiago de Alfama Boutique Hotel, formerly named the Best Urban Hotel in Europe by Condé Nast Johansens, is nestled in Lisbon’s historic centre, also known as the Old Town, and includes the Baixa, Mouraria, Graça, and Alfama neighborhoods.
This charming hotel offers beautiful, whimsical views of the Atlantic Ocean, nearby rooftops, and the winding streets of old Alfama. From this boutique haven in the city of light, guests can explore Portugal’s rich heritage through unforgettable day trips accompanied by the hotel’s resident driver.
Guests can journey to Sintra, a UNESCO World Heritage town known for its exotic gardens, glittering fairy tale palaces, and the Sintra-Cascais Natural Park, or to Cascais, a sunny fishing village and summer playground wrapped around golden bays.
Guests can also visit Évora, a UNESCO World Heritage Site, university town, and provincial capital full of old-world charm. For those wishing to savor Portugal’s natural beauty and flavors, a Palmela wine tasting tour awaits—paired with delicious Portuguese cuisine and a drive through the Arrábida National Park, with its golden sand beaches and rich wildlife.
Torel Palace Porto
Torel Palace Porto is a boutique hotel housed in the stunning Palacete Campos Navarro, which is one of the most impressive examples of romantic architecture in Porto. This hotel claimed first place out of 185 hotels in Porto in the 2025 Travelers’ Choice Best of the Best Hotels Awards.
Built in 1861, this historic palace offers unforgettable experiences in a city rich with culture. There is an endless list of incredible things to do in Porto, which is located along the Douro River opposite Vila Nova de Gaia. Porto is vibrant and full of charm, with easy access to the stunning Douro Valley.
Taking inspiration from Portuguese heritage, the hotel features 24 rooms and suites that pay tribute to illustrious Portuguese writers. Guests enjoy an elegant dining experience at the Michelin-starred restaurant BLIND and the sweet offerings of Florbela Pâtisserie. Beyond its elegant interiors and delicious food, Torel Palace offers complete relaxation with wellness treatments in the Calla Wellness Suite, an outdoor pool, private yoga classes, and 24-hour room service.
Discover more about Portuguese visa entry requirements for you trip
Luxury Hotels Portugal: The Best Luxury Hotels in Portugal
Four Seasons Hotel Ritz, Lisbon
Located at Rua Rodrigo da Fonseca in Avenidas Novas, the historic luxury five-star Four Seasons Hotel Ritz in Lisbon offers guests seeking luxury experiences an elegant retreat in the heart of Portugal’s capital. Just a 20-minute trip from the vibrant Bairro Alto, this iconic hotel blends Art Deco and updated Louis XVI style with a curated collection of important contemporary local artwork.
Guests are treated to sweeping views of Lisbon’s rolling hills and brightly tiled exteriors, with major city sights just steps from the hotel. The Four Seasons Hotel Ritz features a royal suite and a presidential suite among its luxurious accommodations.
Dining includes four on-site restaurants and lounges, including the Michelin-starred CURA restaurant, where Portuguese cuisine takes center stage. Guests can relax with the indoor and outdoor pools, Pilates studio, rooftop running track, 24-hour business centre, and a dedicated space for kids.
Depending on visit dates, unforgettable experiences await. Take a Sintra and Cascais tour under an hour’s drive from Lisbon, go wine tasting, join a private sushi class, or explore the centuries-old tradition of tile painting in Portugal. For something more adventurous, enjoy a sunset boat cruise, private catamaran tour, or even horseback riding, all arranged through the hotel’s expert concierge.
Hotel Vermelho, Melides, Portugal
Designed by Christian Louboutin, Hotel Vermelho in Melides, Portugal, is celebrated for its authentic Portuguese craftsmanship and refined luxury. Located inland on the west coast between the hills of Serra de Grândola, just south of Comporta and Lisbon, Melides is a village where local people strive to keep their traditions and crafts alive.
Surrounded by vineyards, rice fields, and forests, and only a short distance from the beautiful beaches along the Atlantic Ocean, this peaceful retreat offers thirteen luxury rooms, each uniquely designed with hand-painted frescoes, antique furniture, and all the amenities needed for a memorable and comfortable stay.
The Xtian restaurant at the hotel offers guests a unique dining experience featuring the rich flavors of the Alentejo region, served in tableware crafted by local artisans. Guests can unwind in the serene gardens, beautifully designed by Louis Benech, or enjoy experiences that connect them to the region’s culture.
Activities include morning yoga, guided tours of the authentic Portuguese town of Melides, and private picnics featuring delicious cuisine sourced locally.
The Hospedaria, Algarve, Portugal
The Hospedaria is a charming rural hotel in the Algarve, offering an intimate and authentic Portuguese experience. With just five suites, properties that each feature a private patio, the hotel provides a peaceful retreat in a restored building with deep local roots.
Originally opened in 1917 as an old tavern and roadside “sale,” it served for decades as a vital hub for the exchange of regional agricultural products and as a vibrant meeting place for the local community. After 30 years of abandonment, the building has been thoughtfully revived, preserving its historic charm while creating a serene hospitality space.
Located near the historic city of Tavira and the picturesque village of Cacela Velha, the Hospedaria is surrounded by the natural beauty of rural Algarve. Guests can enjoy fresh breakfasts and light snacks served by the tank, or unwind in the hot water tank, heated during winter months, beside the solarium area.
Unique experiences are available by reservation, including beach picnics with parasols, tuk-tuk rides to beaches and mountains, horseback riding on the beach and through Ria Formosa Natural Park, and guided donkey care activities. Additional offerings include massages, a boutique hostel store, and amenities inspired by scents created by Lourenço Lucena for Pensão Agrícola. Dinners at nearby Pensão Agrícola are also available upon request.
São Lourenço do Barrocal, Alentejo, Portugal
Located in the heart of the Alentejo, one of Portugal’s best-preserved landscapes and least populated regions, The Hospedaria is a remarkable hotel offering understated luxury and authentic experiences.
Just a short journey from Lisbon, this expansive estate is set amidst ancient land dotted with holm oaks, olive groves, and vineyards. With over 200 years of history in producing authentic Portuguese olive oil, the estate blends deep-rooted tradition with modern comfort.
Guests can choose from a variety of accommodations, including suites, meadow cottages, barn cottages, and courtyard rooms, all designed to harmonize with the natural surroundings. The hotel also features beautifully curated spaces ideal for weddings and special events.
A wide range of immersive activities is available, such as hot air balloon rides, horseback riding, olive oil and wine tastings, wine blending workshops, and beekeeping experiences. Guests can also enjoy boat tours on Lake Alqueva, where they can explore the rich local ecosystem in a tranquil setting.
The São Lourenço do Barrocal restaurant serves seasonal and locally sourced cuisine, staying true to the culinary heritage of the Alentejo region.
Torel Avantgarde, Porto
Torel Avantgarde is a luxury boutique hotel in Porto that blends comfort, creativity, and artistic expression. The hotel is pet-friendly and thoughtfully designed, and features 38 rooms, 21 suites, and a Maisonette in avant-garde style.
Guests can experience unique touches throughout the property, such as the Flower Room, where a canopy of cascading blooms transforms a simple coffee break into a tranquil garden escape. The hotel offers one of the best views in Porto, overlooking the Douro River, Vila Nova de Gaia, and the city’s iconic skyline.
Dining at Digby Restaurant adds another layer to the experience. Traditional Portuguese recipes are served in a setting that celebrates the region’s familiar flavors. Guests can relax in the outdoor swimming pool, which boasts breathtaking views of the “Golden River,” or unwind in the indoor heated pool nestled within the serene Camellia garden.
Additional amenities include a gym, laundry service, private parking, 24-hour room service, and concierge assistance. For enhanced convenience, Torel Avantgarde also offers babysitting, yoga classes, and a shuttle service to and from the airport upon request.
Why are so many Americans moving to Portugal? Learn why in our expert guide.
Tips for Booking Hotels in Portugal
When planning your trip to Portugal, finding the right accommodation can make a big difference. Here are a few essential tips to guide you through the hotel booking process:
Budget and location
Budget and location- Set a budget
Decide on your maximum and minimum spending range before you begin searching. This helps filter options effectively.
- Consider location
Choose hotels close to major attractions or in neighborhoods that align with your travel interests.
- Evaluate transportation
Ensure the location has convenient public transport access, or check if parking is available if you’re renting a car.
- Explore alternatives
Look into apartments, hostels, or rural tourism lodgings. These options can offer both cost savings and unique experiences.
Online search and guest reviews
Online search and guest reviews- Utilize booking websites
Use trusted platforms like Booking.com, TripAdvisor, or Expedia for a wide range of listings and filters.
- Read guest reviews
Focus on traveler opinions and overall scores to assess quality and satisfaction.
- Check the star rating
Keep in mind that high guest scores don’t always indicate luxury—also review the official star rating.
- Cross-reference guest reviews
Read reviews from several sites to get a fuller picture of the accommodation.
Booking and planning
Booking and planning- Book in advance
Especially in popular locations or during peak seasons, early booking secures better options.
- Factor in Travel Time
Make sure your hotel’s location is practical for your planned activities.
- Check for amenities
Verify essential features like free Wi-Fi, breakfast, or 24-hour reception.
- Consider seasonal discounts
Traveling during the off-peak or shoulder seasons can lead to lower rates and fewer crowds.
- Look for deals
Compare offers on different platforms before finalizing your booking.
Why choose Global Citizen Solutions for your Immigration Visa?
GLOBAL APPROACH BY LOCAL EXPERTS
- GCS has offices located across Portugal.
- Members of the US-Portugal and UK-Portugal Chambers of Commerce in Portugal, and the Investment Migration Council (IMC).
- Our expert team can help you throughout your journey to secure your Visa.
100% APPROVAL RATE
- Our successful track record in applications provides reassurance to applicants.
- We have helped clients from more than 35 countries secure residency in Portugal.
ALL-ENCOMPASSING SOLUTION
- With a single channel of communication, our approach ensures that you have complete clarity on your application.
- Our BeGlobal® Onboarding System allows for a total flow of information.
TRANSPARENCY AND PRIVACY
- Our pricing is clear and detailed, you will not face any hidden costs.
- All data is stored within a GDPR-compliant database on a secure SSL-encrypted server.
Frequently Asked Questions about the Best Hotels in Portugal
What are the best hotels in Portugal for tourists?
This depends on your budget and personal preferences. However, some of the best five-star and luxury hotels for tourists visiting Portugal include the Hotel Vermelho in Melides, Portugal, the Four Seasons Hotel Ritz in Lisbon, the 3HB Hotel in Faro, Algarve, and the Onyria Marinha Boutique Hotel in Cascais.
What are the top-rated 5-star hotels in Portugal?
There are several top-rated five-star hotels in Portugal, which include the Onyria Marinha Boutique Hotel in Cascais, the 3HB Hotel in Faro, Algarve, Quinta Jardins do Lago Hotel in Funchal, Madeira, Santiago De Alfama Boutique Hotel in Lisbon, and Torel Palace in Porto.
What is the average cost of a hotel stay in Portugal?
The national average price for a hotel room in Portugal is €141 per night. However, the price depends on the type of hotel you choose to stay in as well as the location.
Are luxury hotels in Portugal worth the price?
Yes, luxury hotels in Portugal are worth the price they charge due to the amenities and services offered.
Which part of Portugal has the best hotels?
This depends on your personal preferences. However, the most popular areas to stay in Portugal include Lisbon, Cascais, Porto, the Algarve region, Alentejo, and Madeira.
What amenities are typically offered in 5-star hotels in Portugal?
Amenities typically offered in 5-star hotels in Portugal include plush bathrobes, slippers, high-end toiletries, and a smart TV with access to streaming services, an on-site spa, fitness center, swimming pool, various dining options, 24-hour reception, and concierge services.
What are some family-friendly luxury hotels in Portugal?
Several family-friendly hotels are available in Portugal. These include Praia do Canal in the Algarve, São Lourenço do Barrocal in the Alentejo region, and Martinhal in Sagres.
What are the best beach hotels in Portugal?
There is a vast number of beach hotels in Portugal. Some of the best options include Grande Real Santa Eulália Resort & Hotel Spa in Albufeira, Portugal, Pestana Porto Santo All Inclusive in Campo de Baixo, Porto Santo Island, Portugal, and EPIC SANA Algarve Hotel in Albufeira, Portugal.
Where can I find boutique hotels in Portugal?
You can find boutique hotels all over the country, from Lisbon to Porto and the Algarve.
What are the best hotels in Portugal with ocean views?
Portugal is home to many stunning hotels with breathtaking ocean views. On the Lisbon coast, you will find The Oitavos Hotel and Hotel Fortaleza do Guincho in Cascais. In the Algarve, Vila Vita Parc Resort and Spa and Tivoli Carvoeiro Algarve Resort offer incredible ocean views, and in northern Portugal, the Yeatman hotel in Vila Nova de Gaia and Memmo Baleeira Hotel in Sagres are top choices.
What are the best 5-star hotels in Lisbon, Portugal?
The top 5-star hotels in Lisbon include the Four Seasons Hotel Ritz Lisbon, Pestana Palace Lisboa, Olissippo Lapa Palace, Bairro Alto Hotel, and The Ivens Autograph Collection Hotel.
Are there adults-only luxury hotels in Portugal?
Yes, some of the hotels in Portugal that offer a unique experience tailored for adults seeking luxury and relaxation include Memmo Alfama in Lisbon, TUI BLUE Falesia in the Algarve, Vila Origens Boutique Hotel in Albufeira, Quinta do Paral in Alentejo, and Agua Pedra Dos Bicos Design Beach Hotel in Albufeira.
What are the best hotels in the Algarve region?
Several hotels in the Algarve cater to various preferences. For a luxury experience, you can consider Pine Cliffs Hotel, a Luxury Collection Resort in Albufeira. The Praia do Canal Nature Retreat in Aljezur is perfect for a wellness getaway, and Martinhal Beach Family Resort in Sagres is a fun family holiday spot.
What are the most romantic hotels in Portugal for couples?
A few of the most romantic articles in Portugal include Vila Joya hotel in Albufeira, Algarve, Quinta da Casa Branca located in Funchal, Madeira, and Solar do Castelo in the Portuguese capital of Lisbon.
What’s the difference between 4-star and 5-star hotels in Portugal?
In Portugal, 5-star hotels offer higher luxury standards than 4-star hotels, including superior service, larger rooms, fine dining, spas, and personalized amenities. Four-star hotels are upscale with quality service and comfort but lack some premium features and exclusivity found in 5-star properties, such as valet service or Michelin-starred restaurants.
Are there any all-inclusive luxury resorts in Portugal?
Yes, there are a number of all-inclusive luxury resorts in Portugal. Some of the best options include Grande Real Santa Eulália Resort & Hotel Spa in Albufeira, Portugal, Pestana Porto Santo All Inclusive in Campo de Baixo, Porto Santo Island, Portugal, and EPIC SANA Algarve Hotel in Albufeira, Portugal.
Which hotels in Portugal have Michelin-starred restaurants?
A number of hotels in Portugal have Michelin-starred restaurants on site. A few examples include The Yeatman Hotel in Vila Nova de Gaia, Vila Joya in Albufeira, and Vila Vita Parc Resort and Spa in the Algarve.
Are there eco-friendly luxury hotels in Portugal?
Yes, Portugal offers a range of eco-friendly luxury hotels. Notable examples include Areias do Seixo and Gaviao Nature Village in Central Portugal, Craveiral Farmhouse in Alentejo, and Six Senses Douro Valley. These hotels provide environmentally responsible, luxurious experiences in Portugal’s most stunning natural settings.
What are the most historic hotels to stay at in Portugal?
Three of the most historic hotels in Portugal, offering rich heritage and timeless charm, include Pousada de Lisboa in Lisbon, Pousada Mosteiro de Guimarães in Guimarães, which used to be a 12th-century monastery, and Palácio Estoril Hotel in Estoril.
What are the best hotels in Portugal for digital nomads?
A few of the best hotels in Portugal for digital nomads, which offer comfort, strong Wi-Fi, and work environments, include Selina in Lisbon, Outsite in Ericeira, and The Lumiares Hotel and Spa in Lisbon.
Are pets allowed in luxury hotels in Portugal?
This depends on the establishment, so be sure to make inquiries before booking. Torel Avantgarde Hotel in Porto is a pet-friendly luxury boutique hotel.
What are the best castle hotels in Portugal?
Three of the best castle hotels in Portugal include Pousada Castelo de Óbidos, a 12th-century hilltop castle in Óbidos, Pousada Castelo de Alvito, a beautifully restored 15th-century Moorish castle in Alvito, and Pousada Castelo de Estremoz, which was a former royal palace in the Alentejo countryside.
What time of year is best to book hotels in Portugal?
This depends on your preferences. Generally, early booking is recommended for peak season, which is from June to August, and for popular destinations. For affordability and fewer crowds, the low season from November to March offers the best deals, but early booking is still advised.
