Hostels and Budget Hotels in Faro

Alameda Exclusive House

The renovation of a tiled building respected the historic façade but introduced a completely contemporary interior. It mostly has private rooms of different sizes (some with bathrooms, others with exclusive bathrooms down the hall), but there are also mixed dorms. On the ground floor, next to the reception, is a well-recommended restaurant, while on the rooftop is a bar where guests relax after a day of sightseeing.

SEE PRICES, AVAILABILITY AND MORE DETAILS HERE: Alameda Exclusive House

Happy House

Every room at this guesthouse is different, but comfortable, clean, well designed, and with a private bathroom. Staff is very welcoming, guaranteeing that the place lives up to its name. There’s a shared kitchen and a terrace.

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Lemon Tree Stay

One of Faro’s highest-rated B&Bs is hidden in a square by the city’s main pedestrian shopping street (Rua de Santo António). Guests love the tasteful minimalism of the rooms, the terrace, and friendliness of the staff. It has a fully-equipped kitchen, available 24 hours.

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Faro Town House

This exceptional guesthouse ticks all the boxes -- it’s central, clean, comfortable, the staff is welcoming and helpful, and offers good wifi connection and value for money. All guests can use a kitchenette, and outside are barbecue facilities and a terrace to relax in the Algarve sun.

SEE PRICES, AVAILABILITY AND MORE DETAILS HERE: Faro Town House

Faro Boutique Hotel

It features the contemporary design expected at a boutique hotel but, as a 3-star property, it’s actually affordable. The rooms are rather small, but those who prefer larger spaces, may book one of the suites. All guests have access to the rooftop, where they can relax on sun loungers and admire a view of the Ria Formosa Natural Park in the distance.

SEE PRICES, AVAILABILITY AND MORE DETAILS HERE: Faro Boutique Hotel

Sunlight House

The romantic style of this bed and breakfast appeals to couples. Rooms have private or shared bathrooms, and there’s a shared kitchen where guests may prepare meals. It’s on a quiet street by the Old Town, so many restaurants and the city’s attractions are a short walk away. All guests also have access to the terrace, with a view of the city and the sea on the horizon.

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Hostel A Casa da Árvore

A traditional early-20th-century building was completely renovated and turned into a contemporary hostel with minimalist rooms and a mixed dorm. The bathrooms are private but outside the rooms. There’s a shared kitchen and lounge to prepare and enjoy meals.

SEE PRICES, AVAILABILITY AND MORE DETAILS HERE: Hostel A Casa da Árvore

Hostel Casa d’Alagoa

Faro’s liveliest hostel occupies an elegant building on a landscaped square by the Old Town. It’s divided into mixed dorms and private rooms, a fully-equipped kitchen and a barbecue. Staff is very helpful, guiding you to the best activities in town.

SEE PRICES, AVAILABILITY AND MORE DETAILS HERE: Hostel Casa d’Alagoa

Best Western Hotel Dom Bernardo

The international Best Western chain is known for being affordable, and this 3-star hotel in central Faro is no exception. The rooms are basic but comfortable, and it serves a buffet breakfast, which may or may not be included in the room rate (check that when booking).

SEE PRICES, AVAILABILITY AND MORE DETAILS HERE: Best Western Hotel Dom Bernardo

Guest House do Largo

A decades-old building in the modern part of town is now a basic but well-rated guesthouse. It’s good for families on a budget, as the family room accommodates as many as six people (four adults maximum). Each room has a private bathroom, and there’s a shared kitchen and lounge. A supermarket is right down the street.

SEE PRICES, AVAILABILITY AND MORE DETAILS HERE: Guest House do Largo

Dom Farus

The best feature of this guesthouse is its terrace, but also scores points for being clean and comfortable, despite the small size of the rooms. It’s fairly central, located to the north of the marina.

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Stay Hotel Faro Centro

Centrally located, this is a budget 3-star hotel. The city’s main pedestrian street (Rua de Santo António) is around the corner, and all of the tourist attractions are a short walk away. It has basic single, twin and double rooms.

SEE PRICES, AVAILABILITY AND MORE DETAILS HERE: Stay Hotel Faro Centro