18 of the Best Boutique Hotels in Algarve
The Algarve has gorgeous golden sandy beaches with a beautiful turquoise sea, delicious fish, world-class golf and friendly locals.
Below is a mix of the Best Boutique Hotels in the Algarve we have visited and love, plus those on our radar - divided by the following sub-regions:
For those of you who haven’t visited, the Algarve is Portugal’s most sought after destination – and there are many good reasons why. It’s a region with an unforgettable scent of almonds, oranges and figs.
What many people don’t realise is that it’s actually a great place to visit off-season too, with 300 days of sunshine per year and an average temperature of 17°C in January (and no crowds).
We have handpicked for you our favourite places to stay in the Algarve ☀️, divided into the Eastern Algarve and Western Algarve regions.
The Western Algarve is a great option for beach lovers with its cliff-edged beaches and tiny coves. The laid back towns of Lagos and Sagres are perfect for those who want a little bit of action. Costa Vicentina is all about its sleepy villages and spectacular wild beaches. A wonderful base for surfing, walking, cycling, canoeing, and birdwatching. Or maybe just chilling. Scroll down to discover some of the best boutique hotels in the Western Algarve.
Praia do Canal Nature Retreat
Praia do Canal Nature Retreat is a five-star spa hotel in Costa Vicentina. This eco-conscious retreat offers 56 serene rooms, ocean views, three restaurants, a bar, an infinity pool, a gym, and a spa. Choose from Deluxe Rooms, Junior Suites, or the more luxurious Grand Suite Rooftop with a plunge pool and the Family Suite with a private pool. Explore 220 hectares of nature, wellness treatments, or activities like hiking, surfing, and wildlife watching.
Casa Mãe
Casa Mãe is a gorgeous five-star boutique hotel in the coastal town of Lagos, in the western part of the Algarve. With various accommodation options spread across distinct spaces, Casa Mãe perfectly blends traditional Algarvian architecture and minimalist style. The hotel features a big organic orchard, farm-to-table restaurant, triangular pool, spa with a rooftop pool, outdoor cinema, juice bar, and a concept store dedicated to Portuguese design.
Amaria
Set in a former quinta (farm), Amaria is a boutique hotel situated in the pristine Costa Vicentina Natural Park, just a short drive from the town of Aljezur. Amaria offers 11 minimalist designed suites, all with their own private patio and garden views, alongside a spacious three-bedroom apartment. This is the kind of place you come to enjoy mornings filled with the sounds of the ocean and birdsong.
Muxima
Muxima is an eco-friendly guesthouse perfectly nestled in a green valley near Aljezur. Here, owners’ Paula and Jelle want to share their great love for wild nature and good food with their guests. The houses are beautifully decorated with items collected from many travels and each room has its own, unique style, and are all surrounded by lush green gardens.
Monte da Vilarinha
Monte da Vilarinha offers a peaceful stay in the Costa Vicentina Natural Park, with stunning valley views and proximity to wild beaches. Accommodations range from studios to three-bedroom houses, all with kitchen access and a swimming pool. Enjoy a locally-sourced breakfast by the poolside restaurant and outdoor adventures like surfing, canoeing, cycling and walking.
The Lemon Lodge
The Lemon Lodge, nestled between Monchique's hills and Costa Vicentina's wild beaches, is an off-grid farmstead in rural Algarve. Founded by eco-conscious friends, it offers unique, eco-friendly accommodations near Aljezur, with its stunning beaches, surf spots, and historic trails.
Head to the eastern end of the Algarve to discover charming towns, picturesque fishing villages, and long sandy beaches. Scroll down to discover some of the best boutique hotels in the Eastern Algarve.
Pensão Agricola
Pensão Agrícola is a stunning six-bedroom boutique hotel in the Algarve, nestled between Tavira and Cacela Velha. Enjoy a delicious breakfast on the shady terrace or light meals by the heated plunge pool. Your senses will be delighted by the scents of almond, carob, fig, orange, and olive trees. A gorgeous dinner is also available upon request. Trust us – you'll be in for a treat.
Casas da Quinta de Cima
Set on a 50-hectare century-old estate, Casas da Quinta de Cima is a boutique hotel located in the unspoilt Eastern Algarve. It’s surrounded by fragrant orange trees and wildflower meadows, and it’s just a short walk from the lovely beach of Cacela Velha.
Flattered to be in Algarve
Located just a short walk from the picturesque Tavira's Old Town, these two beautifully designed minimalist apartments are set within the beautifully renovated Convento das Bernardas building - a former monastery transformed by the acclaimed Portuguese architect Eduardo Souto de Moura
The Modernist
The Modernist offers six minimalist apartment-style suites in the centre of Faro. Set in a genuine 1970s modernist building, each suite has been restored with full respect for the original mid-century modern design. There's a shared garden patio, a rooftop where you can enjoy panoramic views of the Ria Formosa Natural Park, and an outdoor shower. Discover Faro's architectural gems with the self-walking tour created for guests.
Casa Céu
The charming Casa Céu is a four-bedroom guesthouse located in Olhão, a quirky fishing town near Faro. This beautifully decorated house features high ceilings, white walls, and plenty of natural light. The stunning rooftop terrace, where breakfast is served, boasts incredible sunset views and wooden board games for guests to enjoy. Other highlights include the goat paintings by local artist Meinke Flesseman and the guesthouse's central location in the heart of Olhão. Plus, Faro's airport is just a 15-minute drive away.
So there you go, those are what we consider to be some of the Best Boutique Hotels and Guesthouses in the Algarve right now. We hope you like them as much as we do. You might also want to check out The Best Hotels in Algarve and The Best Hotels in Costa Vicentina + Insider Guide.
If you are interested in visiting other parts of Portugal, you might also be interested in checking out our handpicked list of the Best Hotels in Portugal.
Here's hoping you create new memories here in Portugal. Tag us on Instagram (we would love it if you do!) and let us know how it goes. 🤗
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Obrigada,
xx
Joana and Sofia
© Photos by JO&SO and by each of the mentioned places.
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