Where to Stay in Madeira, Portugal

Where to Stay in Madeira Highlights

• Funchal, the Vibrant Capital
• Porto Moniz – For Nature Lovers
• São Vicente – The Rural Retreat
• Calheta – Sunny and Serene
• Caniço – The Quiet Corner
• Santana – UNESCO World Heritage Site

1. Funchal – The Vibrant Capital

Funchal is the vibrant capital of Madeira. Here you’ll find both historical charm and modern amenities. The city is built into the hills, with stunning views over the ocean. Funchal is the heart of Madeiran culture and cuisine. It is the perfect base for those who enjoy being in the center of everything. Funchal sits on the south side of the island, which tends to have less rain than the north side.

Within Funchal, there are quite a few options for where to stay.

• Stay right in old town to be right in the heart of the action. Keep in mind that cruise ships dock here, so this can get crowded.
• Staying further up on the hillside typically puts you walking distance to the center, but in quieter residential areas. This is our personal favorite location to stay when visiting Madeira in winter. The added benefit is easy access to the highways to other parts of the island.
• The third option is staying in the beach area/hotel zone. This is ideal for those who would like to spend much of their time at the beach, while being an easy (relatively flat) walk or bus ride in to old town.

Top Things to Do in Funchal

• Visit Mercado dos Lavradores: Explore this lively’ market that offers everything from exotic fruits to beautiful flowers and local crafts.
• Take the Cable Car to Monte Palace: Enjoy panoramic views over the city while riding the cable car, then visit the Monte Palace Tropical Gardens. To top off this adventure, take a Basket Ride back into town.
• Discover Madeira Wine at Blandy’s Wine Lodge: Learn about the storied history of Madeira’s famous fortified wine.

Recommended Funchal Accommodations

• Luxury: Reid’s Palace, a Belmond Hotel, sits on a cliff with 10 acres of subtropical gardens. In addition to the direct ocean access and views, Reid’s offers 3 pools, an oceanfront spa, and numerous restaurants. Reserve well in advance to secure your spot at high tea overlooking the gardens and ocean. If you don’t stay here, you can still enjoy high tea if you reserve well in advance.
• Unique location away from the crowds (moderate): OurMadeira Barbosas Village sits within the Monte Gardens, offering stunning views over the city, and easy access to the Monte Gardens and the cable car into town.
• Hostel with Ocean Views (budget): the Jaca Hostel Funchal offers a garden, bar, and sea views. Just a 9 minute walk to the beach, it has both dorm and individual rooms.

2. Porto Moniz – For Nature Lovers

Famous for its natural swimming pools carved out of lava rocks, Porto Moniz offers a more rugged and natural environment than Funchal. It’s ideal for nature lovers and those looking to escape the more tourist-centric spots. It sits on the north side of the island, which is more rainy than the south side.

Top Things to Do in Porto Moniz

• Swim in the Natural Pools: Enjoy the unique experience of swimming in crystal-clear ocean water surrounded by volcanic rocks.
• Hike at Levada dos Cedros: Explore this scenic trail with breathtaking views.
• Visit the Madeira Aquarium: Housed in the old fort of Saint John the Baptist, it offers insights into local marine life.

Recommended Porto Moniz Accommodations

• Luxury: Aqua Natura Bay offers a sustainable resort choice with an indoor and outdoor pool, Turkish bath, gym, sauna, and on-site dive center. This would be a great place to base yourself to explore the natural pools and all that the north shore has to offer.
• Moderate: The Euro Moniz is a wonderful option for those would like a more moderately priced accommodation just 100 meters from the natural pools. As an added bonus, the Laurisilva forest is just 1 kilometer away.
• Budget: Pérola Views Inn is a small guest house in Porto Moniz with both sea and mountain views. Guests have free wifi, and can dine at the on-site restaurant for lunch and dinner.

3. São Vicente – The Rural Retreat

São Vicente is nestled on the north coast of Madeira, and is conveniently located just off the main mid-island north/south roadway. It offers a quiet retreat away from the hustle and bustle of tourist hotspots. It’s renowned for its stunning volcanic caves and rich agricultural landscapes, making it a perfect spot for those interested in geology and serene natural settings. As with Porto Moniz, São Vicente receives more rainfall than the south side of the island.

Top Things to Do in São Vicente

• Explore the São Vicente Caves & Volcanism Centre: Discover the underground lava tubes and learn about Madeira’s volcanic origins.
• Visit the Church of São Vicente: Admire the beautiful 17th century Baroque architecture of this historic church in the heart of town.
• Stroll through the Indigenous Garden: This small botanical garden showcases the native flora of Madeira, providing a peaceful walking experience. Don’t miss the dragon trees.

Top Places to Stay in São Vicente

• Luxury in Nature: Solar da Bica sits in a beautiful natural setting, offering rooms and an apartment. The heated saltwater pool and sauna are great additions to this beautiful environment.
• Moderate Guest House: Casa Da Piedade is a guest house in a restored 18th century home. Guests are welcome to use the garden and BBQ, free wifi, and free parking.
• Sustainable Farm Stay (moderate): Quinta Vale Vitis is a top choice for a sustainable farm stay typical of this area.

4. Calheta – Sunny and Serene

Calheta sits on the sunny, southwest coast of Funchal, and is known for its artificial sandy beach. This is one of the few sandy beaches on the island, which is protected by two breakwaters. It’s a haven for those looking for relaxation by the sea, with plenty of water sports available.

Top Things to Do in Calheta

• Enjoy the Beaches: Spend a day at Calheta Beach, relaxing, swimming, or taking advantage of the many water sports.
• Visit Casa das Mudas: This contemporary art center and museum hosts various exhibitions and offers spectacular views over Calheta.
• Explore Engenho da Calheta: Visit the working sugar cane factory where you can learn about the local rum and sugar cane honey production.

Top Places to Stay in Calheta

• Beachfront Luxury: the Saccharum Resort and Spa Savoy Signature offers a full service resort with indoor and outdoor pools, conference rooms, and more.
• Glamping Pods (moderate): Calheta Glamping Pods offer sea view balconies, kitchenettes, private bathrooms, and access to the sea view pool.
• Budget Close to the Sea: The Rum Inn is a well rated budget inn, located just 70 meters from the sea.

5. Caniço – The Quiet Corner

Caniço is a quieter alternative to Funchal, located on the East end of the island. It offers a blend of tourist facilities and local living. It’s particularly popular among divers and those looking for a more relaxed stay.

Top Things to Do in Caniço

• Scuba Dive at Garajau Marine Reserve: Discover diverse marine life in crystal-clear waters.
• Visit the Miradouro Cristo Rei do Garajau Statue: This statue is reminiscent of Brazil’s famous Christ the Redeemer statue. It sits on a promontory overlooking Garajau Marine Reserve.
• Relax at Praia de Garajau: Take the cable car down the windy road to head to the beach for a day of relaxation.

Top Places to Stay in Caniço

• Luxury: Four Views Oasis offers a saltwater pool, fitness center, restaurant and pool bar, as well as rooms with spectacular sea views.
• Moderate: Hotel Galosol is a full service 4-star beach resort, offering a gym, multiple restaurants and bars, spa services, fitness classes, and more.
• Budget Apartment with Sea View: Caniço I By Trip2Portugal is a 1-bedroom apartment with a balcony with sea views and private parking.

6. Santana – UNESCO World Heritage Site

Known for its traditional thatched triangular houses, Santana is a UNESCO World Heritage site that offers a glimpse into traditional Madeiran life. It’s a great spot for those interested in culture and history, and those who want to be close to the start of the Pico Ruivo hike.

Top Things to Do in Santana

• Visit the Traditional A-Frame Houses: Explore the iconic A-framed houses that are unique to Santana.
• Explore Parque Temático da Madeira: Though this is called a “theme park,” it is unlike one that we’ve visited before. Its purpose is to provide visitable attractions that provide insight into Madeira’s culture and traditions. The A-frame houses mentioned above are just one of the attractions at the park.
• Hike at Pico Ruivo: Tackle Madeira’s highest peak for stunning island views, either by hiking the strenuous route from Pico do Areeiro or the easier route from Achada do Teixeira.

Top Places to Stay in Santana

• Luxury: Quinta Do Furao offers 4-star resort amenities with stunning sea views. Amenities include an outdoor pool, sauna, and wellness facilities. Don’t miss the typical Madeiran cuisine at the restaurant, and the selection of local wines from the wine cellar.
• Budget–Moderate: Casa do Ribeiro Frio is a very well renovated guest house with both rooms and apartments. The highlight is its location, perfect for hikers, right at the start of hike PR 11.

Madeira’s diverse regions each offer something special, making it a perfect destination whether you’re looking for adventure, relaxation, or cultural immersion. Choose your base according to what kind of experiences you wish to have and enjoy exploring this enchanting island! For those planning to rent a car while in Portugal, check out these important tips and tricks to ensure a smooth Portuguese car rental experience.

If you enjoy Madeira, don’t miss exploring the best places to stay in Tenerife as well.