Where to stay in Lisbon? These are the Best Neighborhoods!

Where to Stay in Lisbon? You might be wondering this when you have this beautiful city on your itinerary. This romantic city has a lot to offer and is often considered one of the most beautiful cities in Europe. There are countless beautiful sights, medieval neighborhoods, and in the evening, you can immerse yourself in the vibrant nightlife. Lisbon is an ideal destination for a multi-day city trip or as a stop on your Portugal travel route. Lisbon sprawls across seven hills and is divided into different neighborhoods, each with its own character. That makes the choice of which neighborhood to stay in quite challenging. Below, we've listed the three most charming neighborhoods for you. In all three neighborhoods, you'll find plenty of excellent restaurants, bars, and lovely hotels. We've also added two hotel recommendations for each neighborhood. With these tips, you'll make the most of your Lisbon city trip!

Tip: Since Lisbon is a very popular destination, the best hotels often get fully booked early. So, it's wise to book your hotel as early as possible, especially if you want to stay in one of these popular hotels.

Bairro Alto: The Ideal Base

Bairro Alto is our favorite neighborhood in Lisbon! This charming neighborhood is almost entirely car-free and is known for its picturesque narrow streets. Bairro Alto translates to 'high neighborhood' literally, so be prepared for some uphill walking! It's located on one of Lisbon's seven hills. However, don't let that discourage you from booking a hotel in Bairro Alto because this neighborhood is definitely worth it. There are countless cozy cafes, creating a pleasant atmosphere. In the evening, Bairro Alto truly comes alive, and you can enjoy the lively bars and cafes. When you walk through the streets at night, you'll always hear the sounds of live music coming from a cafe somewhere.

Our Favorite Hotels in the Bairro Alto Neighborhood

Dear Lisbon - Charming House

One of the best places to stay in Bairro Alto is Charming House. The name suggests that it's a small-scale, charming, and romantic stay. There's a beautiful patio with a pool where you can escape the hustle and bustle of Lisbon and relax completely. The hotel has a lovely atmosphere, thanks in part to the friendly staff. A delicious breakfast is included in the price.

Low season double room starting at $115 | High season double room starting at $155

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Selina Secret Garden

If you're on a smaller budget, Selina Secret Garden is a fantastic choice in Lisbon. It has a cozy atmosphere, a nice swimming pool, a pool table, and a lovely rooftop terrace, creating the perfect conditions for a pleasant stay! There are beautiful double rooms available in various price ranges, so you can choose a room that suits your budget. There are also comfortable dormitories with plenty of privacy. The only drawback is that the rooms can be a bit noisy.

Low season double room starting at $60 | Dorm starting at $25 High season double room starting at $90 | Dorm starting at $35

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The Modern Baixa

Baixa is the heart of Lisbon and is located right in the center of the city, making it an excellent base for visiting all of Lisbon's attractions. Unlike the rest of the city, the streets here are mostly wide and straight. After the earthquake in 1755, Baixa was almost entirely destroyed, so the buildings you see here were mostly constructed after that time. In Baixa, you'll find one of the most beautiful squares in Europe called Praça do Comércio. You can also shop here very well, and there are many excellent restaurants to discover.

Our Favorite Hotels in the Baixa Neighborhood

The Central House

If you're looking for a cozy and affordable place to stay in Baixa, then The Central House is perfect for you. This ultra-modern accommodation has everything you need for a comfortable stay. The comfortable rooms are equipped with air conditioning, a comfortable bed, a nice shower, and some rooms have a balcony with city views.

Low season double room starting at $70 | Dorm starting at $25 High season double room starting at $115 | Dorm starting at $35

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My Story Hotel Ouro

My Story Hotel Ouro is located in the lively center of Lisbon, but once you're in the room, it's completely quiet. The rooms are soundproofed, allowing you to recharge in peace before exploring Lisbon in the morning. The famous square Praça do Comércio is just a 300-meter (984-feet) walk away, and many excellent restaurants are nearby.

Low Season Double Room starting at $105 | High Season Double Room starting at $140

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The Oldest Neighborhood in Lisbon: Alfama

Where the earthquake devastated Baixa, the Alfama neighborhood has almost entirely remained intact. In its winding streets and alleys, you will find beautiful old buildings and houses. This makes Alfama one of the most charming neighborhoods in Lisbon. In the 19th century, the famous fado music was born here. You will find many fado houses where you can enjoy fado music while having a snack and a drink. You can easily imagine the incredible atmosphere that permeates the Alfama neighborhood.

Our Favorite Hotels in the Alfama Neighborhood

Lisbon Best Choice Apartments

In an ideal location in Alfama, you will find Lisbon Best Choice Apartments, which is a great option if you prefer staying in an apartment. The apartment features a modern kitchen, a beautiful bathroom, and comfortable seating areas. Some apartments even have a nice terrace with a stunning view of the city and the river.

Low Season Double Apartment starting at $75 | High Season Double Apartment starting at $115

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Hotel Convento do Salvador

If you prefer staying in a hotel, we can recommend Hotel Convento do Salvador. This artistic hotel is beautifully decorated, with a spacious courtyard offering plenty of seating, and there is even a swimming pool. The pool may be on the smaller side, but it's large enough for you to relax and cool off.

Low Season Double Room starting at $88 | High Season Double Room starting at $120

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