Where to Stay in Faro

Finding the right place to stay in Faro, a picturesque city in the Portuguese Algarve, is crucial for a memorable holiday. Whether you choose to spend your initial or final days in this charming southern coastal town, or use it as a base to explore the rest of the Algarve, you’ll enjoy the cozy atmosphere in its historic center and the delightful accommodations Faro offers.

This Portuguese city boasts a variety of beautiful boutique hotels, cozy hostels, and other charming places to stay. This blog aims to assist you in making an informed choice. Where to stay in Faro? What are the most appealing neighborhoods for accommodation in Faro? And which hotels are recommended in these areas?


Where to Find Faro in Portugal?

Faro is strategically located in the heart of the Algarve, along the southern coast of Portugal. As the capital of the region, it hosts the international airport of Southern Portugal. Due to the availability of affordable flights from other European cities, Faro serves as an ideal starting point for your sunny Portuguese holiday.

Faro’s central position in the Algarve makes it convenient to travel. It’s a 90-minute drive to the Algarve’s westernmost point and just an hour’s drive to the Spanish border. Renting a car in Faro is easy, with rental services available at the airport and in the city.

For those preferring not to drive, Faro offers a large train station with direct connections to various destinations in the Algarve, and a comprehensive bus network from its main bus station. Additionally, Uber is an affordable and convenient option for getting around in Portugal.

If your accommodation in Faro doesn’t include parking, it’s helpful to know about the large free parking area on the outskirts of the center, located next to the city walls and near Faro’s harbor.

Sunlight House Faro

Why Faro Is Worth Visiting

Despite its modest size, Faro has a charming center and interesting attractions. Spend your days exploring the picturesque streets of the historic center, admiring ancient monuments, relaxing on beautiful sandy beaches, and walking through the Faro nature reserve.

The Cidade Velha, Faro’s old town, is a highlight. Almost entirely surrounded by ancient city walls, entering the old town usually begins with passing through a medieval city gate. The area is filled with white buildings and houses. The best way to experience it is to wander through the white lanes, admire the Portuguese tiles, beautiful doors, colorful flowers, and charming vistas. You’ll likely pass by the Sé de Faro, the city’s cathedral, offering a stunning view of Faro and its surroundings from its bell tower.

Other activities in Faro include shopping and souvenir hunting in commercial streets, walking in the beautiful Parque Natural da Ria Formosa, taking boat trips along the islands off Faro’s coast, lounging on Portuguese beaches, visiting the bone chapel in Faro, admiring the blue-white tiles of São Lourenço de Matos church, and exploring the pink palace of Estoi.

Lemon Tree Stay Faro

Where to Stay in Faro

Staying in the Cidade Velha is a logical choice when visiting Faro. This historical part of the city houses most of the town’s attractions. However, the newer part adjacent to the old town is also a great choice, with most shops and trendy restaurants located there.

Since Faro is relatively small, it lacks distinct neighborhoods. The compact center encompasses both the old town and the harbor, as well as the newer area.

Faro’s city center offers a wide range of accommodations. As the capital of the Algarve and a popular destination for travelers, you’ll find everything from cozy apartments and budget hostels to luxury resorts and holiday homes.

The Best Hotels in Faro

#1 3HB Faro: A luxurious choice in Faro’s old town, 3HB Faro stands out for its two restaurants and a bar. The highlight is the stunning rooftop terrace, boasting a breathtaking infinity pool and panoramic city views. The wellness area, complete with an indoor pool and sauna, adds to the allure, making it a top-rated hotel in Faro.

#2 Lemon Tree Stay: This charming boutique hotel in Faro enchants with a sunny terrace adorned with lemon trees and offers a delightful fresh breakfast. Guests can enjoy the fully-equipped shared kitchen for home-cooked meals. Its trendy, modern decor creates a cozy and welcoming atmosphere.

#3 Sunlight House: Offering an eco-friendly and budget-friendly option, this hotel is just a 2-minute walk from the historic city center. It features stylish rooms with vibrant colors and thoughtful details, a communal kitchen, and a rooftop terrace.

#4 AP Ava Senses Faro: Situated next to Faro’s harbor, this luxurious hotel boasts an impressive rooftop pool and a health club with a sauna and Turkish bath. It offers multiple bars, a panoramic rooftop restaurant, and a spa for massages and relaxation.

#5 Aqua Ria Boutique Hotel: Located in Faro’s most popular shopping street, Rua de Santo António, this budget-friendly and charming hotel is praised for its central location. All major attractions and excellent restaurants are just a short walk away.

#6 7 Styles Apartments: Perfect for those seeking a personal space in the heart of Faro, these apartments offer all the comforts of home. Each features a living room and kitchen, complete with fridge and dishwasher, styled with vibrant colors, atmospheric details, and a homely feel.

#7 Hotel Faro & Beach Club: Centrally located with views over the old town, marina, and Ria Formosa Natural Park, this hotel is just a 3-minute walk from the old center. In summer, it offers a free shuttle to its Beach Club in Praia de Faro. The rooftop restaurant, Ria Formosa, serves breakfast and features a beautiful pool.

#8 Senhor Gigi: This guesthouse in central Faro offers a quaint location in a picturesque side street. Guests appreciate its prime location, spacious rooms, and cozy decor.

#9 Female Hostel: One of Faro’s top-rated hostels, this women-only establishment boasts a stylish design with light colors, wood accents, and cozy details.

#10 Roots Hotel: A centrally located aparthotel, each apartment comes with a small kitchen, fridge, and dishwasher. Ideal for travelers who prefer self-catering, its stylish decor features light colors and a modern style.

Met de camper: wildkamperen in Portugal

For those traveling by camper, Faro offers official camper sites and campgrounds, as well as a stunning wild camping spot in Ria Formosa.

Read more: wild camping in Portugal

While searching for a suitable parking spot for our bus at the Ludo Trail in the stunning Ria Formosa nature reserve near Faro, we discovered a gorgeous camping spot (link Park4Night). Many campers were parked on the large lot next to the nature reserve, and rightly so! From there, you can easily walk to Faro Beach and enjoy the beautiful nature reserve where flamingos can be spotted. We stayed here for three nights and it has become one of our favorite camping spots in Portugal.

In central Faro, many campers use the free parking space next to the old city walls. However, overnight parking is prohibited here, so it’s best used for daytime visits to the city.