Where to Stay in Lisbon: Best Neighborhoods & Hotel Recommendations
Much like there is no wrong time to visit Lisbon, there is no wrong neighborhood to choose, but you will have a different experience depending on where you stay.
Lisbon is very well connected by public transit and/or car service like Uber and Bolt, and is quite walkable (pending mobility issues and fitness level).
The area you stay will depend on your interests, budget, and type of experience you want to have.
In my many visits to Lisbon over the past several years, I have stayed numerous parts of the city and have had friends and family visit and stay in other parts, so I have become quite familiar with most of Lisbon’s many barrios.
Here I will give insights and perspectives, as well as pros and cons of each neighborhood, as well as some great hotel recs (gathered from my own stays, trusted locals, and friend and family stays) to help you choose which one is the best fit for you.
Chiado-Baixa Hotels
Alfama Hotels
Príncipe Real Hotels
Bairro Alto Hotels
Ave Liberdade Hotels
More Lisbon Content You May Love
🛬How to Get from Lisbon Airport to the City Center: Cheapest, Fastest & Easiest Options
🍸Cocktail Lovers’ Guide to the Best Cocktails in Lisbon
📋The Perfect 3 Day Lisbon Itinerary for First-Time Visitors
🛏️Best Hostels in Lisbon: For Every Type of Traveler
🛍️Essential Souvenirs from Lisbon: Your Ultimate Shopping Guide
🍳Discover the Best Brunch Spots in Lisbon: Your Ultimate Guide
🌇Unmissable Lisbon: Ultimate Guide to The Best Views in Lisbon
☔The Best Rainy-Day Activities in Lisbon: What to Do When It Pours
Hotel or Short Term Rental in Lisbon
Short Term Rentals (such as Airbnb and VRBO), hotels, and hostels are all in abundance in Lisbon. What you choose is really dependent on the type of experience you are looking to have and what your priorities are.
You will find both short term rentals and hotels at almost every price point. For lower budget stays, there are also many guest houses and hostels in the city.
The majority of hotels in Lisbon are found in Baixa and Chiado, with many of the higher end hotels found along Av de Liberdade. These are conveniently located to top tourist attractions.
Short term rentals are found throughout the many neighborhoods of Lisbon.
Some things to keep in mind with short term apartment rentals:
Buildings are old and often lack insulation, so you can be very well acquainted with your neighbors.
Elevators are not common, and if they exist, they are often very small
In the cooler months, it often feels colder inside than outside and heating can be limited (most rentals provide portable heaters)
Washing machines are often a bonus/reason for an apartment rental, but dyers are rare
There is much discussion around short term rentals in Lisbon, their impact on local communities and if they are ethical. It is a personal choice as to whether or not to utilized short term rentals like Airbnb or VRBO. Many are locally owned and operated and support locals and their families, while others are owned by large corporations. Most short-term rental platforms now show if units are owned by individuals or businesses to assist you in making the best decision for you.
Lisbon Neighborhoods
I have stayed in several neighborhoods in Lisbon and have found charm in all of them. I personally prefer not to stay in tourist-heavy neighborhoods or chain hotels, but completely understand their appeal and necessity for many travelers.
Here is an overview of Lisbon’s most popular neighborhoods, and some of my personal experience in them, to help you decide where the best area for your stay may be.
Chiado
Considered “Lisbon's shopping and theater hub, Chiado is home to the Rua Garrett shopping avenue and its high-end boutiques, restaurants, and the 1700s Bertrand Bookstore”, Chiado is very popular amongst tourists due to its central location and proximity to popular sites.
👍Pros of Chiado include its central location, convenience, many shops and restaurants, higher end hotels, and mostly flat terrain.
👎Cons include it being on the higher end price wise, being very tourist-centered, and lacking a bit of local feel.
Baixa
Neoclassical architecture, built after the 1755 earthquake, surrounds Commerce and Rossio squares. Bustling pedestrianized streets are lined with traditional seafood restaurants and souvenir shops.
Toted as “Lisbon’s historic heart and commercial center”, Baixa is also a very popular area for tourists in the city. Whether you stay in Baixa, or another area of Lisbon, it is nearly impossible not to find yourself in this neighborhood during your visit.
👍Some Pros to staying in Baixa are the very central location, proximity to transit (including Rossio Station to Sintra), many shops and restaurants, and mostly flat terrain.
👎Some cons of staying in Baixa are that it is at the higher price point, it can be very busy, and it lacks some of the local charm.
🏨Hotel Recommendations for Chiado and Baixa
Best Budget-Friendly Hotels in Chiado-Baixa
Brown's Boutique ⭐⭐⭐Brown’s Boutique offers all the charm of a boutique hotel with a mix of modern and old-world charm, you will certainly not feel like you are in a cookie-cutter hotel.
My Story Hotel Ouro ⭐⭐⭐My Story Ouro is a family friendly option in a convenient and walkable location at a smart-spender price point.
My Story Rossio ⭐⭐⭐My Story Rossio is in a prime location with many main attractions, transit, cafes and restaurants just outside it’s doors. The hotel is on the smaller side, with compact but well laid out rooms.
Feeling Chiado 15 ⭐⭐⭐Just steps from the famed Santa Justa Lift, this centrally located Lisbon guesthouse is the perfect budget friendly accommodation for anyone looking to be right in the middle of all Lisbon has to offer.
Best Mid-Range Hotels in Chiado-Baixa
Hotel do Chiado ⭐⭐⭐⭐Hotel do Chiado is in an ideal location for anyone wanting easy access to main tourist attractions and transit options. The hotel offers an elevated feel with available amenities and its rooftop terrace, at a mid-level price
Brown's Central ⭐⭐⭐⭐One of the most recommended budget friendly hotels in Lisbon, Brown’s Central gives a higher-end feel while still being in the “budget” category. It has a chic, cozy feel that is welcoming to return to after a day of sightseeing.
AlmaLusa Baixa/Chiado ⭐⭐⭐⭐Toeing the line of luxury, AlmaLusa Cjiado/Baixa is perfectly located in Praça do Município, in proximity to major attractions, bars, restaurants, and transit.
Boemio FLH Hotel ⭐⭐⭐⭐With a large array of room types, from basic twin rooms to suites, this popular Lisbon hotel has something to accommodate everyone. The location is ideal for those wanting to just step out the door and get right to explore.
Best Luxury Hotels in Chiado-Baixa
Avenida Palace ⭐⭐⭐⭐⭐Packed with old Portuguese charm, this Avenida Palace is all things luxury. The amenities are endless to assure a luxe and comfortable stay in a location ideal for wandering the city.
The Ivens and Altis Avenida ⭐⭐⭐⭐⭐If you are looking for luxe on top of luxe, this is the place for you. With endless amenities, a stunning rooftop terrace, and ideal location, Altis Avenida has everything you want in a luxury stay.
If you’re deciding where to stay in Lisbon, this Chiado accommodation map shows exactly how each hotel is positioned within the neighborhood, making trip planning simple and visual.
Alfama
One of Lisbon’s oldest areas, the streets (and many hills) of Alfama are lined with shops selling traditional crafts and cafes. Often referred to as “Old City”, Alfama has become increasingly popular for tourists seeking a “local” experience in an Airbnb or other short-term rental.
👍Pros to staying in Alfama are that it is packed with old city charm, a large variety of restaurants, and well-appointed location. Alfama is one of the most diverse neighborhoods in Lisbon.
👎Cons to staying in Alfama are the many, many hills, narrow walkways and noise. The age of the buildings can also have some issues that are turn offs to tourists: very little insulation in buildings which contribute to lack of noise and climate control, and in some buildings there can be mold and unpleasant odors.
Both a pro and a con: Many streets in Alfama are pedestrian streets and not accessible by cars. This makes it great for walking and exploring, but can make it a challenge if managing luggage and for those with mobility concerns.
🏨Hotel Recommendations in Alfama
Best Budget-Friendly Hotels in Alfama
Convento do Salvador ⭐⭐⭐Just steps from some of Lisbon main tourist attractions, and offering incredible views and top-rated service, this Alfama hotel is an easy choice for any traveler looking for comfort and convenience on a budget.
Hotel Riverside Alfama ⭐⭐⭐If you are looking for a cozy, budget friendly stay in an ideal location, this small Alfama hotel is perfect for you! Featuring large rooms, epic views, and free breakfast, the only thing that will feel budge about this stay is the price.
Best Mid-Range Hotels in Alfama
Memmo Alfama ⭐⭐⭐⭐ Offering unmatched views on Lisbon (that you can take in from the rooftop pool), Memmo Alfama features cozy rooms and an ideal location, just 2 minutes from Lisbon Cathedral and other top tourist attractions.
Solar do Castelo ⭐⭐⭐⭐ Looking to enjoy some kid-free fun? This adults-only hotel offers all the luxury of a high-end hotel at a mid-range price. Nestled next to Castelo Sao Jorge, this historic Lisbon boutique hotel offers upscale amenities and services.
Best Luxury Hotels in Alfama
Santiago de Alfama - Boutique Hotel ⭐⭐⭐⭐⭐Featuring world class dining, this unique hotel pulls off “old meets new” seamlessly with traditional design meeting modern comfort and boasting endless amenities.
Palacete Chafariz D'El Rei ⭐⭐⭐⭐⭐Featuring all suites, this Alfama Luxury hotel gives you room to spread out, rest and relax and exploring Lsibon’s top attractions, which are right at this hotel’s doorstep. Sweeping views and a stunning terrace add to the endless charm of this top Lisbon hotel.
Príncipe Real
Príncipe Real is one of my favorite Lisbon neighborhoods, and one I find myself in the most.
I love that this central Lisbon neighborhood is easily accessible from anywhere in the city, is packed with some of the best restaurants in Lisbon, and blends traditional and modern seamlessly.
This Lisbon neighborhood is ideal for any type of traveler, from solo travelers to families, couples to friend groups. Here you will not only find some of the best restaurants and shops in Lisbon, but also Jardim do Príncipe Real, which hosts both bio and artisans’ markets. This area is very walkable and family friendly.
👍Pros to this Lisbon neighborhood include walkability, easy access to all major attractions, a more neighborhood feel, and easy access to many bars, restaurants, cafes and shopping.
👎Cons to this Lisbon neighborhood include, requiring a considerable uphill walk from other neighborhoods (like Baixa, Chiado, and Bairro Alto), fewer hotel options. Restaurants and hops in the in this area tend to be on the pricier/high-end side.
🏨Hotel Recommendations in Príncipe Real
Best Budget-Friendly Hotels in Príncipe Real
Casa de Sao Mamede ⭐⭐⭐If you are looking for simplistic, traditional charm, (with breakfast included) at a great price point, this is the perfect Lisbon hotel for you!
Alegria A Lisbon Boutique Hotel ⭐⭐⭐This top-rated Lisbon boutique hotel just oozes with charm! With a wide variety of rooms available, at wallet-friendly rates, Hotel Alegria is everything you want from a boutique hotel.
Best Mid-Range Hotel in Príncipe Real
Casa do Principe ⭐⭐⭐⭐Casa do Príncipe debunks the myth that all hotel rooms in Lisbon are small. With large, sunlit rooms full of local charm, Casa do Príncipe is an ideal stay for any traveler looking for local charm on budget.
Best Luxury Hotel in Príncipe Real
Memmo Principe Real ⭐⭐⭐⭐⭐ With it’s (heated) rooftop pool, terrace and stunning views. Memmo Príncipe Real offers a luxury experience in a local neighborhood.
Graça
Another one of my favorite neighborhoods, and the one I stay in the most frequently, Graça is a great choice for travelers looking for a blend of local and tourist vibes. While the neighborhood maintains much of its local neighborhood vibe, it is getting more popular amongst travelers, particularly younger and more budget conscious travelers.
Featuring the best viewpoint in Lisbon, several local bars and restaurants, Graça is located above Alfama. Graça offers a mix of traditional and new, featuring beautiful street art and murals. This Lisbon neighborhood has become more accessible with the implementation of the Graça Funicular.
👍Some of the pros of staying in Graça are the amazing views, mix of old and new, ease of public transit and great local bars and restaurants.
👎Cons of Graça are the hills and distance from main tourist sites. Like Alfama, short term rentals here tend to be on the smaller size, and noise can be an issue.
Barrio Alto
Bairro Alto Lisbon in my opinion, is a great base for exploring the city, especially if you are a foodie and enjoy a good cocktail. Its central location makes it very walkable to other Lisbon neighborhoods, viewpoints, and attractions.
This bohemian neighborhood is well known for its vibrant bar and restaurant scene. Here you will find a combination of local and tourist-centered bars and restaurants, cafes and shops.
Often referred to as “the party neighborhood”, Barrio Alto also has a very lively nightlife, but also has an important history, features amazing cafes, small art galleries, and an overall cool vibe.
👍Some pros of staying in Barrio Alto are great proximity to many parts of the city, a wide range of bars and restaurants, charming and vibrant streets, lack of cars
👎Some cons are noise, older infrastructure, the streets in the morning can be dirty and show remanence of parties the night before.
Lisbon has recently passed legislature banning the sale of alcohol outdoors passed 11pm Sunday-Thursday and after midnight on Fri and Saturday. This is intended to reduce noise in the city, especially in Bairro Alto.
⚠️Barrio Alto also has many pedestrians only streets, so keep this in mind when considering luggage and mobility.
🏨Hotel Recommendations in Bairro Alto
Best Budget-Friendly Hotels in Bairro Alto
Inn Bairro Alto ⭐⭐⭐ If you are looking for simple, clean, comfort at a great budget friendly price point, this Lisbon budget hotel is perfect for you! Well location, close to all sites, tons of shops, restaurants and cafes Inn Bairro Alto offers a lovely stay at a great rate.
Bairro Alto Suites ⭐⭐⭐ If you are looking for the best budget hotel in Lisbon, Bairro Alto Suites is a top contender! While it comes at a wallet-friendly price tag, nothing about this Lisbon hotel feels ‘budget’.
Best Midrange Hotels in Bairro Alto
Lisboa Pessoa Hotel ⭐⭐⭐⭐ Featuring a pool, rooftop bar, and spa services, this Bairro Alto hotel is Luxury-feel at a mid-range budget
Le Consulet ⭐⭐⭐⭐Overlooking Praça Luís de Camões, this mid-range Lisbon hotel is in the ideal location for any visitor to Lisbon. Conveniently located near some of Lisbon’s best restaurants, nightlife, and bakeries, you can’t go wrong booking Le Consulet.
Best Luxury Hotels in Bairro Alto
Luminares Hotel & Spa ⭐⭐⭐⭐⭐ Rooftop terrace, stunning views and architecture, endless amenities, world class service and staff, everything about this top rated Lisbon hotel it 5 stars.
Bairro Alto Hotel ⭐⭐⭐⭐⭐ Located at the corner where Chiado and Bairro Alto kiss, the Bairro Alto hotel is in the perfect location for exploring Lisbon. Featuring a full spa, on-site restaurant, pool, and all the amenities you could dream of, this Lisbon hotel is pure luxury.
Budget Friendly Neighborhoods in Lisbon
In recent years, with tourism in Lisbon booming, accommodations have gotten increasingly expensive, but there are still some great budget friendly options to be found.
These neighborhoods are a bit outside of the city center but are well connected via public transit or car service. In addition to lower cost, these neighborhoods typically offer a more local and neighborhood feel, in addition to being quieter.
While you won’t find many large hotels in these budget-friendly Lisbon neighborhoods, you will find many short-term rental options, as well as boutique hotels and guest houses.
Campo Grande
Located in Central Lisbon, Campo Grande is a residential neighborhood packed with green spaces, parks, and cafes. This quiet neighborhood is well connected via public transportation and is also in close proximity to the airport.
Here you will find local shops, restaurants and cafes, as well as the gorgeous Jardim do Campo Grande. This area is great for any traveler looking for a more local feel, and especially for families.
👍Some pros to Campo Grande include lower cost, more authentic and local dining options, quieter, and lots of parks and open space.
👎Some cons of Campo Grande are airplane noise and distance to main tourist attractions.
🏨Hotel Recommendations in Campo Grande
SANA Metropolitan Hotel ⭐⭐⭐⭐Highly rated by all types of travelers, SANA has something for everyone from a 24 hr gym to an international restaurant and amazing bar/lounge, to multiple meeting rooms and computer station, to child and family centered amenities.
Le Jardin ⭐⭐⭐⭐Le Jardin truly has a room for everyone with rooms ranging from a single room to apartments that sleep up to 5. With electronic check in, free self parking, and full service apartments available, this highly-rated boutique hotel in Lisbon is a worry-free stay.
Dear Lisbon -Valmor Palace ⭐⭐⭐⭐Technically, just outside Campo Grande, this Lisbon hotel is still worth adding to the short list of options for stays. Absolutely packed with traditional charm, you will truly feel like you are in a movie set in old-world Portugal at this stunning Lisbon hotel.
Campo de Ourique
Campo De Ourique is one of my favorite neighborhoods in Lisbon because it still holds much traditional charm, while also having the convenience of grocery stores, shops, bars, and restaurants.
Featuring many local eateries, including the amazing Mercado de Campo de Ourique, this calm local neighborhood is well appointed between many noteworthy places in Lisbon.
👍One major benefit of this neighborhood is the bus service which takes you directly from central Lisbon to the stunning Costa da Caparica, other benefits are the variety cafes and restaurants.
👎A con of staying in this area is that transport routes out of Campo de Ourique are limited (though Uber and Bolt are quite affordable). There can also be airplane noise, depending on location.
Belém
Belém is a laid-back area on the Tagus River, known for its seafood restaurants and houses decorated with colorful tiles. Among the area's shaded green lawns are historic landmarks that recall Portugal’s seafaring past, like the 16th-century Tower of Belém and the sail-shaped Discoveries Monument.
While a bit far from Central Lisbon and the main tourist attractions, Belém has much to offer in and of itself and many tourists end up committing at least a day here.
👍Some pros to staying in Belém are the mostly flat terrain, quieter atmosphere, well connected public transit. Belém also features many amazing restaurants and cafes often overlooked by visitors to Lisbon.
👎Cons to staying in Belém include the distance to Central Lisbon and most tourist attractions, traffic in and out of the area can be excessive.
Geronimo Guest House Belém ⭐⭐⭐Don’t let the 3 stars fool you, this guest house, featuring all suites, is a step above. With traditional, themed, rooms with personalized touches, this guest house is perfect for solo traveler to families (with rooms sleeping up to 4) and offers amenities like in room massages.
Hotel Jerónimos 8 ⭐⭐⭐⭐This Belem hotel sits just 1 minute from Jerónimos Monastery and features rooms with stunning terrace views. With a modern interior and traditional exterior, you will really get the best of both worlds in this budget friendly Lisbon hotel.
Palácio do Governador ⭐⭐⭐⭐⭐Old-world charm meets modern elegance in this serene Belem retreat, offering a tranquil escape near Lisbon's vibrant attractions. This Belem hotel is every bit a luxury hotel with views, a spa, pool, traditional charm and endless amenities; all at an amazing price point.
⭐Other areas near Belém to consider: Alges and Alcântara
For me complete guide to Belem, click here ⬅️
Lisbon Airport Hotels
Hotel Star Inn Lisbon Aeroporto ⭐⭐⭐ Just minutes from LIS airport, with a 24 hr shuttle, and early breakfast available, Hotel Star Inn Lisbon, is ideal for any traveler looking to be near the airport with easy and stress-free transportation and a comfortable stay.
If you would prefer to stay in a quieter area, a bit outside of Lisbon City Center, but still have all the amenities, shops, and cafes for a comfortable and convenient stay, or are looking for a Lisbon hotel close to the airport, then a stay in Parque das Nações is for you.
Whether you are basing your entire stay or just positioning yourself close to the airport for a night, Parque das Nações offers many stunning, higher end hotels, at more affordable rates than their equivalent in the city center.
For my complete Guide to Parque das Nações and top-rated airport hotels, click here!
This page contains affiliate links. If you click and make a purchase, I may earn a commission at no additional cost to you. I only recommend products and services I trust. Thanks for supporting the site and helping keep the content free!
