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Where to Stay in Faro – The Best Hotels & Hostels for 2024

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When you’re planning your trip to Faro, Portugal one of the most important things for you to look at is where to stay in Faro.

As we were researching our own trip to Faro, we were overwhelmed by the amount of choices and options on places to stay.

We ended up spending around 4 days in Faro but as it was a nice retreat from work, we spent a few days just relaxing and then another 2 days exploring Faro.

Whilst we were in Faro, we stayed in Casa Algarbe and found that it really suited our needs. We were able to come and go as we needed and there was a nice little patio area for relaxing in the evening.

At the time, for us we wanted somewhere that was cheap to stay in Faro, close to the centre and had our own private room.

When you’re researching your own accommodation in Faro, it can be tricky to choose where you want to stay. The first thing you need to do is try to narrow down your criteria of what you want from your accommodation in Faro. You will need to check what is the best time to visit Faro for you depending on your budget, temperatures you’re hoping for and whether you want to visit during the peak or off peak season.

The beautiful Faro marina. This is a great place to sit, enjoy a drink and admire the beauty.

Below we’ve shared some of the best hotels to stay in Faro whether you’re looking for boutique hotels, hostels, or hotels close to the airport or the Old Town.

We’ve also shared some of our top picks for whether you’re travelling to Faro as a couple, solo or as a family. This will help to narrow down when choosing where to stay in Faro.

Best Area to Stay in Faro

Faro is only a small town so you only have a limited choice of areas to stay in Faro.

When we visited Faro, we wanted to stay as close to Faro’s Old Town as possible so that we were a small walk away from the main things to do in the city. After all, visiting the old city was the main reason we wanted to visit Faro.

Old Town Faro with it's beautiful cobblestones and the stunning Portuguese sun shining.

In our opinion, if you are not planning to rent a car then the best area to stay in Faro is the Old Town itself. We also recommend that if you’re only visiting Faro for a day then you would also want to stay in the Old Town too. This means that everything will be within a short walk to you so that you can get around easily.

However, if you’re planning to rent a car then this really opens up your possibilities when it comes to where to stay in Faro. You may want to choose to stay closer to the beach or just outside of Faro itself.

There are a lot of great options on places to stay in different areas of Faro. All of the areas in Faro are quite nice and if you are renting a car then you can choose based on what is more convenient for you.

Below, you will find information on different hotels around Faro based on what might suit you best. Whether you’re looking for a boutique hotel, hostel or accommodation that is suitable for family, couples or solo travellers.

Boutique Hotels in Faro

For anyone that is travelling to Faro and doesn’t need to worry about their budget, this is the perfect section for you.

Here you will find a few hotel options in Faro that scream luxury and will give you a really relaxing break away in Portugal. Whether you’re a family looking for a summer holiday to Faro, a couple enjoying a special occasion or even a solo traveller that wants to enjoy a bit of luxury!

3HB Faro

This stunning hotel is located near the Nature Reserve Ria Formosa and the old town of Faro making exploring incredibly easy for you.

One of the best things about 3HB Faro is that it is a luxurious dream to stay at this particular hotel. With 2 swimming pools and restaurants, if you want to have a day to lounge around the hotel you don’t need to leave if you don’t want to.

There is a fitness centre and sauna on site at the hotel so you can truly pamper yourself before you head back to reality. The infinity pool looks over Faro and offers stunning views of the town.

If you can imagine yourself relaxing in the infinity pool with a cocktail and stunning views then this is definitely the right hotel for you.

Casa Saudade Luxury Rooms

Another great accommodation in Faro is Casa Saudade Luxury Rooms where you will be in a great location near the Old Town.

This accommodation is particularly great for anyone that enjoys walking or hiking. Casa Saudade offers a bike rental service so you will easily be able to arrange days out if you have not rented a car or would like to go on a relaxing bike ride.

If you wish to do so you can also enquire about the variety of massage options that Casa Saudade offers. The one thing that we really like about this bed and breakfast is that you can enjoy luxury perks for a more affordable price.

Casa Saudade also offers a range of excursions that you can choose from whilst you’re staying there. In particular, this bed and breakfast is a really great options for couples travelling to Faro.

Opus One Luxury Guest House & Wine

This is one of our favourite boutique hotels in Faro and is a great choice for any couples exploring Faro together.

A big highlight of Opus One Luxury Guest House is that it also has an onsite hammam. For couples wanting to have some romantic time together in Faro and enjoy some relaxation, this is certainly one way to do it!

There is a stunning outdoor pool at this guest house which is a great way to enjoy a romantic evening together. With a restaurant, bar, pool table and hammam, this makes for an ultimate place to stay to enjoy some quality time with your partner and also a central location for exploring.

Hotels in Faro Old Town

Faro Town House

For any travellers that are visiting Faro on a budget, Faro Town House is a really good option for you. There is also an onsite shared kitchen if you’re looking to cut costs instead of eating in Faro Old Town every night.

Based in Faro Old Town itself, there is a small terrace where you will be able to enjoy some lovely views of the town. A coffee shop is also onsite so you are never far from a cup of caffeine if it is needed.

During the summer, you can enjoy the BBQ facilities which is a great way to spend the evening in Faro. Everything is within a small walk away from Faro Town House so you won’t need to rent a car to stay at this accommodation.

Senhor Gigi

As Senhor Gigi is located in Faro’s Old Town, this is a really great spot for travellers to stay as everything is within walking distance for you.

This cute guest house offers some lovely views of Faro’s Old Town and has everything you need for basic accommodation. It is quite an affordable place to stay within Faro so it is great for couples on a budget or solo travellers that don’t want to opt to stay in a hostel.

Lemon Tree Stay

Lemon Tree Stay is one of the best options for you to stay in when visiting Faro. There are some really pretty patio areas for you to relax in the evening and a great location for couples to appreciate some quality time together.

One of the things that we like the most about Lemon Tree Stay is that it reminds us of some of the accommodation in Barrio Alto in Lisbon.

With quite a few different restaurants only a few steps away and based right in Faro’s Old Town, you won’t have to go far to enjoy everything Faro has to offer!

Hostels in Faro


If you’re travelling alone then you may want to stay in a hostel whilst you’re in Faro. Hostellicious is one of the best hostels that you can choose whilst you’re in Faro and it’s perfect for solo travellers.

Hostellicious offers both dorms and private rooms so you can choose whether you would like to share or have some privacy.

There is a really good communal area which is great for solo travellers meeting new people. For any digital nomads in Faro, this is a great area to settle down and get some work done before you head out exploring!

If you’re travelling with a small budget then there is also a large kitchen which will enable you to make your own meals to save on costs.

Casa Da Madalena Backpackers Hostel

Another great hostel for solo travellers is Casa Da Madalena Backpackers. We would recommend this hostel especially if it is your first time travelling alone.

One of the things that we like the most about this hostel is that it is quite a sociable hostel where you will feel right at home. If you enjoy a delicious beer with beautiful views from the terrace then this is the right place of you. Not just that but the beers are only 1 euro during happy hour!

After being voted a top rated hostel multiple times, we highly recommend choosing to stay here if you’re new to solo travelling or want to make new friends!

Casa D’Alagoa Faro

If you’re looking for a more authentic experience whilst you’re staying in Faro then Casa D’Alagoa should be high up on your least.

A highlight of staying at this hostel is taking part in their sangria and BBQ evenings. This is a great way for people all around the world to come together and make friends.

For any travellers that are on a budget, you can opt to enjoy dinner at the hostel which is an affordable price and made by an onsite chef. Alternatively, you can also prepare your own food in the hostels very large kitchen.

With many returning guests, this hostel is a great choice to enjoy some socialisation, experience a unique side of Faro and keep costs low!

Faro Airport Hotels

Hotel 3K Faro Aeroporto

If you’re not staying in Faro for very long, renting a car or wanting to be closer to Faro’s airport for accessibility then this is definitely a great option for you to stay.

3K Faro Aeroporto boasts a beautiful pool where you can relax and enjoy some stunning Portuguese sun. With an onsite bar, you can let all your worries melt away.

For anyone that chooses to stay near the airport but wants to explore Faro and the wider Algarve, we would recommend renting a car to make it much easier.

Pine House – Faro Airport, Beach & City Centre

If you’re wanting to stay closer to the airport but want to have some luxury then the Pine House is a great place for you to choose.

Again, you would want to consider renting a car if you are staying at this accommodation so that you can easily get around. However, there are quite a few restaurants located close by so you will be able to take a small wander to get some food in the evening. 

These stunning modern rooms are great for couples travelling together that want to enjoy some quality time and a break from the real world.

Villa Monaco

Villa Monaco is one of the best places to stay near Faro airport if you’re also looking for some beautiful views. Boasting stunning views of the mountains, you won’t be disappointed!

If you’re planning to rent a car then you’ll be pleased to know that there are on-site parking so you won’t need to worry about anything.

Another highlight of staying at Villa Monaco is that there is also an onsite sauna, fitness centre and swimming pool so that you can relax.

With multiple restaurants nearby, you will be well catered for in the evening too. Villa Monaco is located halfway between the airport and Faro Old Town so you can have the best of both worlds.

Best Places to Stay in Faro for Solo Travellers

Explore Faro More

When we visited Faro we stayed at Casa Algarbe but after visiting AP Eva Senses Rooftop, we decided that the next time we visit Faro we will stay there. This image shows the tables and plants on their rooftop so if you're stuck on where to stay in Faro then AP Eva Senses would be our suggestion.

Faro is a beautiful part of Portugal to visit and in our opinion it is a really underrated destination too. We really enjoyed our time in Faro and was lucky enough to stay at Casa Algarbe which is a really affordable options for anyone on a budget.

Whilst we were in Faro, we really enjoyed wandering around, basking in the sun and taking part in different excursions. Another perk was the amazing food that Faro has to offer. We found an amazing tapas restaurant, The Old Tavern and this was easily our favourite!

If you’re looking for sun, sand, exciting excursions and a peak into an authentic Portuguese town then Faro is definitely the place for you!

To further plan your trip to Faro, make sure to check out some of our other guides and resources below.

Faro Resources

Lisbon Resources

Faro FAQs

What is the best part of Faro to stay in?

There are quite a few different areas to stay in whilst you are in Faro. In our opinion, staying in Faro’s Old Town is one of the best parts of Faro as you are close to attractions and won’t need to worry about renting a car.

How close is Faro to the beach?

The closest beach to Faro is Praia de Faro which is approximately 20 minutes away by bus. You can catch the number 16 bus which will take you to the beach so it is quite an easy journey.

How long is Faro to Albufeira?

If you’re planning to take a trip to Albufeira then it will take approximately 45 minutes by car which is the quickest way to get there. Alternatively, you can take part in an excursion where the travel will be arranged for you. If you’d rather take public transport then this is a great option and will take around 55 minutes. It is also the cheapest way to get from Faro to Albufeira.

How far is Faro airport to city centre?

One of the things that we liked the most about Faro is that it wasn’t difficult to get from the airport into the old town. It will take around 40 minutes to get to Faro’s Old Town from Faro Airport and you’ll be able to get the bus for around 6 euros.

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One Comment

  1. Thanks so much for the info. I’m looking to visit Faro in the fall. You’ve really helped me narrow down my choices.

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