Faro is often treated as a quick stop, either at the start or end of a trip, but it’s actually worth a night or two, or longer if you use it as a base for exploring the Algarve region. I’ve stayed in Faro multiple times and have seen how much the experience can vary depending on where you base yourself.
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For a convenient, walkable location, anywhere near the marina or around the old town would be ideal, although I would not choose to drive inside the walled old town with its narrow cobbled streets.
If you have a car, make sure to choose accommodation with parking facilities onsite or nearby as street parking is not always possible.
Below is a small selection of places that work well in practice, whether you’re here for a short stopover or using Faro as part of a longer Algarve trip.
Top Picks for Where to Stay in Faro
Best overall hotel: 3HB Faro (central + rooftop pool)
Best 4-star option: AP Eva Senses (marina location)
Best guesthouse: Casa Apollo (quiet but central)
Best apartments: 7 Styles Apartments (stylish + flexible stays)
To get the most out of your time in Faro take a look at my article on the Top Things To Do In Faro.
For other accommodation options in the region, check out Where To Stay In The Algarve
Hotels in Faro
5-star
A modern 5-star hotel in the centre with a rooftop pool, spa and strong restaurant offering. It’s one of the few higher-end options in Faro that feels properly thought through rather than just upgraded.
I’d choose this if you want something comfortable and central without needing to think too much about logistics.
4-star

Right by the marina with a rooftop pool and views over the Ria Formosa, this is one of the most convenient places to stay in Faro. Rooms vary a bit, so it’s worth checking options.
This works well if location matters more to you than having a boutique feel. Check availability and prices

A centrally located hotel with bright rooms and the added bonus of access to a beach club on the islands. It’s an easy base if you want to combine town and beach time.
I’d go for this if you want a bit more flexibility without moving accommodation. Check availability and prices
Guesthouses and boutique hotels in Faro
A small guesthouse in the old town with a garden and pool, which makes a difference in Faro. It’s central but surprisingly quiet.
I’d pick this if you want something relaxed and more personal than a hotel. Check availabilty for your dates.
Lemon Tree Stay
A friendly, well-run guesthouse with a small outdoor terrace and a slightly more informal feel. It’s a good balance between comfort and price.
This suits you if you want something easy and welcoming without overpaying. Check availability and prices
Le Jardin Secret de Faro Guesthouse

Bright, colourful rooms with a shared kitchen and a more design-led feel than most guesthouses in Faro.
This works well if you want something a bit different but still affordable. Check availability and prices
Holiday apartments in Faro
Well-designed apartments with distinctive interiors and good use of space, right in the centre. Hosts are consistently helpful.
I’d go for this if you want something more interesting than a standard apartment stay. Check availability and prices
Close to the marina, all nine apartments at Cardeal Suites have a stylish contemporary design and come with private bathroom and kitchen. There’s also a private parking lot and an elevator. Book your stay.
Roots ApartHotel
A newer aparthotel option with clean, modern units and a more flexible setup than traditional hotels.
This works well if you want the convenience of a hotel with the space of an apartment. Check availability and prices
FAQs about staying in Faro
Is Faro a good place to stay in the Algarve?
It can be, especially for short stays or if you’re flying in and out. For beaches, you’ll need to factor in boat trips or travel time.
Is it better to stay in Faro or elsewhere in the Algarve?
If your main goal is beaches or resorts, other areas may suit you better. Faro works well as a convenient base or short stop.
Where is the best area to stay in Faro?
Near the marina or just outside the old town is usually easiest. Inside the old town can be charming but less practical, especially with luggage.
Do I need a car in Faro?
Not if you’re staying centrally. You’ll only need one if you plan to explore beyond Faro and even then, it’s not essential as you have several train and bus services to nearby towns.
If you’re still not sure whether Faro is the right place to stay, or how long to allow here compared to other parts of the Algarve, it’s worth getting that clear before you book accommodation.

