The Algarve is best known for its beautiful beaches, but there are also gorgeous towns and villages to visit. These are the most beautiful towns in the Algarve.
The Algarve: more than sun, sea and beach
Located in southern Portugal, the Algarve has been a popular vacation destination for decades. The region is known for its beautiful beaches, golden cliffs and azure sea. But the Algarve has much more to offer than just sun, sea and beach.
Discover the charming villages and towns
The Algarve is home to many charming villages and towns, each with its own unique character. It is wonderful to wander the narrow streets here, admiring the beautiful architecture and enjoying the local atmosphere. You can always find a café or restaurant where you can enjoy delicious Portuguese food or a drink on the terrace.
The most beautiful villages and towns in the Algarve
I spend a few months in the Algarve every year and discover new beautiful places during every visit. Besides the big cities and the famous seaside resorts such as Faro and Albufeira, there are an awful lot of nice places to visit.
In this list, I take you on a virtual trip to the most beautiful towns and villages in the Algarve. You’ll probably know some of them, but I’m sure there are a few surprises among them too!
Tavira
Tavira is sometimes described as the Venice of the Algarve because of its charming bridges and the large river that flows through the town. This historic town has a rich history and is dotted with Moorish architecture and Roman remains.
Personally, I think this is one of the most beautiful towns in the south of Portugal, as it has remained quite authentic. You will not only see many whitewashed houses here, but also several facades full of colorful tiles. In Tavira, it is lovely to wander through the old town and enjoy local delicacies on a riverside terrace. Also climb Castelo de Tavira for great views of the city.
- Hotel Tip: São Paulo Boutique Hotel – A beautiful boutique hotel with luxurious rooms and a pool on the beautiful Jardim da Alagoa.
Lagos
To be honest, Lagos is undoubtedly one of the most famous and therefore crowded places in the Algarve, but that doesn’t make it any less charming. With its cobblestone streets, colorful buildings, and impressive cliffs, Lagos attracts thousands of tourists every year.
I visit Lagos almost every year; it feels like my second home. It is impossible to get bored here, as there is plenty to see and do. The historic center is a delight to explore and in addition, Lagos has beautiful beaches. It is also a perfect base for a hiking vacation, as Lagos is the terminus of the famous Fishermen’s Trail.
- Wher to stay: The Salty Lodge: cozy studios and apartments with terrace and sea views in a great location in the center of town.
- Fun thing to do: Do a guided kayak tour along the coast and check out the hidden beaches and caves.
Silves
Silves is a town steeped in history and charm, and it is also considered the oldest town in the Algarve. When you arrive in Silves, the first thing you see is the imposing castle. This castle dates back to Moorish times and you can visit it. Above all, climb the walls for stunning views of the green hilly surroundings.
In addition, you can also enjoy wandering around the narrow streets in Silves. If you want to learn more about the city’s history, the cathedral and Museu Municipal de Arqueologia de Silves are very interesting to visit.
- Where to stay: Mosaiko 5 Suites – beautiful and colorfully decorated suites right in the center of Silves.
Alte
One of the few places in the Algarve that I have not yet visited is the picturesque village of Alte. Located in the Algarve’s interior, it is known as one of the most beautiful villages in Portugal.
With its whitewashed houses, colorful flower pots, and winding streets, Alte feels immensely authentic and, in the process, it is an oasis of tranquility. In addition, Alte is famous for its local crafts, such as pottery, weaving and basket weaving. There are several stores in the village where you can buy these artisan products.
- Where to stay: Alte Tradition Guest House – Beautiful guesthouse in the middle of the village. The rooms are nice and modern and there is a rooftop terrace with jacuzzi.
Monchique
Between the highest mountains of the Algarve lies Monchique, a picturesque mountain village surrounded by lush forests and green hills. This is the perfect place for nature lovers and hikers who want to escape the hustle and bustle of coastal areas.
The village itself full of narrow and steep streets is incredibly fun to explore, but visit nearby Caldas de Monchique. This is famous for its medicinal springs. And don’t forget to climb Fóia (on foot, by bike, or car) for stunning views of the Algarve.
- Where to stay: Vilafoia (4⭐) – A beautiful modern guesthouse just outside Monchique on the Fóia. This gives you great views of the surrounding area. In the garden, you can further relax thanks to the lovely outdoor pool.
Loulé
Loulé is best known for its lively market. In the historic indoor market hall, you’ll find an abundance of fresh produce, local crafts and traditional delicacies. Saturdays are extra fun to go here, when the market expands into the surrounding streets and there is lots of live music.
In addition, the town has a charming historic center that takes you back to days gone by. Stroll through the cobblestone streets, admire the colorful tiles of the Church of São Clemente and visit Loulé Castle for a panoramic view of the city.
- Hotel Tip: Loule Jardim Hotel (3⭐) – the most beautiful hotel in Loulé with a rooftop pool.
- Fun thing to do: Go underground and visit the salt mine in the rocks.
Carrapateira
Carrapateira is one of my favorite villages in the Algarve and this is a popular destination for surfers, hikers and nature lovers. Located on the west coast, it has a small center with a few restaurants, bars, stores, and a supermarket. The atmosphere in Carrapateira is relaxed and laid-back. It is the perfect place to enjoy peace and nature.
There are several beautiful beaches near Carrapateira. The wide Praia da Bordeira is one of the most popular. This is a long, wide beach with fine sand and clear water, where you can surf well. But the most beautiful beach is Praia do Amado, beautifully located among the cliffs.
- Where to stay: Carrapateira Lodge – cozy guesthouse with shared kitchen and common lounge area.
- Fun thing to do: Take a surf lesson in Carrapateira.
Sagres
Sagres is a paradise for surfers and nature lovers. Located at the extreme southwestern tip of Portugal (Cape Saint Vincent), this cozy village offers breathtaking cliffs, gorgeous secluded beaches and impressive sea views.
The village is quite vast, which makes it feel very open and spacious. In Sagres, you will find several nice cafes and restaurants, both with Portuguese delicacies and vegan hotspots. Be sure to visit Fortaleza de Sagres, a large photograph that once served as a school of navigation during the era of explorers.
- Hotel Tip: Memmo Baleeira – Design Hotels (4⭐) – a luxury hotel with a beautiful beachfront pool. Perfect for a few days of relaxation!
- Fun thing to do: Join an adventurous Coasteering tour and combine swimming, cliff jumping, and rock climbing.
Carvoeiro
Small but nice! Carvoeiro is very centrally located in the Algarve and has much to offer in terms of beauty and charm. The village is sandwiched between high cliffs and features beautiful bays with crystal clear waters.
You can take beautiful walks along the coast here, there is even a beautiful boardwalk. In addition, you can enjoy local cuisine in one of the many cozy restaurants and take boat trips to the caves.
- Where to stay: Hotel Carvoeiro Plaza (3⭐) – Nice hotel in a great location in the heart of Carvoeiro. It is less than a minute’s walk to the beach.
Ferragudo
Next to one of the largest cities in the Algarve (Portimão) is one of the nicest villages in the region: Ferragudo. The difference from the city could hardly be greater! Ferragudo is a quiet fishing village at the mouth of the Arade River.
With its narrow streets full of flowers, quaint traditional fishermen’s houses, and cozy squares, it is a wonderful place to relax for a few hours. On the waterfront, you will find several seafood restaurants where the catch of the day is prepared in front of your nose. Which is awesome and extremely tasteful!
- Where to stay: One2Seven – Cool aparthotel with pool. Beautiful view of the river and Portimão.
Fuseta
Fuseta is also a charming fishing village, but this is located in the east of the Algarve between Faro and Tavira. The village lies on the Ria Formosa, a lagoon with beautiful beaches, swaying reed beds, and various bird species. I myself have seen flamingos here several times!
The village itself has a cozy center with a few restaurants, bars, and a few stores. There is also a church and a small harbor where fishing boats dock. The atmosphere in Fuseta is relaxed and laid-back. It is the perfect place to enjoy the tranquility and Portuguese atmosphere.
- Where to stay: Moinhos das Marés – A unique place to stay, as you sleep among the salt lakes (with the flamingos). The rooms are beautifully decorated and you can walk right into the village from here.
Aljezur
The last beautiful town on this list is Aljezur. This place is on the west coast of the Algarve, a little way inland. The town is surrounded by beautiful beaches, steep cliffs, and forests.
Aljezur has a cozy center with narrow streets lined with restaurants, stores, and a few small museums. In the middle stands a ruined castle on a hill; from here you have a beautiful view of the green hills surrounding the city.
- Hotel tip: Vicentina Hotel (3⭐) is located in the green hills near Aljezur and has spacious rooms, studios and apartments. There is also an outdoor swimming pool.
These were just 12 of the many charming towns and villages you can discover during your visit to the Algarve, and I don’t rule out this list getting longer in the future. There is plenty of beauty to discover in the Algarve!
Book a trip to the Algarve
Did you get excited after reading this article and would you like to visit the Algarve? Book your trip now!
✈️ Plane tickets – Faro Airport is the international airport of the Algarve and the best place to start your road trip. Check WayAway to find the best deals and get cashback on plane tickets.
🚘 Rental Car – If you’d like to visit all these beautiful towns in the Algarve, it’s useful to rent a car. Check Rental Cars to find the best deals.
💊 Travel insurance – Invest in travel insurance, it will give you peace of mind during your trip. Check out Insubuy to find the travel insurance that fits your needs.
🏄🏼 Tours & activities – There are lots of fun tours and guided trips in the Algarve. Check Get Your Guide for all the options.
Read more about the Algarve and Portugal
As you understand by now, there is plenty to see and do in the Algarve, definitely more than just relaxing on the beach. Are you looking for more Algarve tips or want to go on a road trip in Portugal? These travel guides will help you plan your trip.
DK Eyewitness Top 10 The Algarve
The Algarve is an enticing holiday destination – renowned for its ochre-splashed coastline of shallow bays, dramatic cliffs and buzzing resorts. Your DK Eyewitness Top 10 travel guide ensures you’ll find your way around the Algarve with absolute ease.
Whether you want to explore Lisbon, go on a wine-tasting trip in the Douro Valley, or lounge on the beaches of the Algarve, the local Fodor's travel experts in Portugal are here to help! Fodor's Essential Portugal guidebook is packed with maps, carefully curated recommendations, and everything else you need to simplify your trip-planning process and make the most of your time.
In addition, you can find many tips and information for a vacation in Portugal on this website because I spend a lot of time in Portugal. These articles are also fun to read:
- The perfect Algarve itinerary for a 1 or 2 week road trip
- Public transport in the Algarve: this is how it works
- This is why you should visit Portugal in winter! Tips & fun things to do
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