Where to stay in Lisbon: all neighborhood compared

Lisbon is one of the most livable and human-scaled European capital cities, also when it comes to getting around the city center. If you’re looking for a place to stay in Lisbon, it won’t be hard to find a good hotel or hostel, but here I’ll give you some tips on the best areas to sleep in Lisbon to optimize your time, distances, and effort!

Why effort? Well, because Lisbon is a city that alternates flat areas with sudden and unexpected hills, sometimes quite steep!

No worries though, there are trams, metro, and elevadores that take you everywhere, but if you want to stroll around carefree in the evening or enjoy some nightlife, then the choice of area where to stay in Lisbon can be crucial 🙂

In fact, to visit Lisbon, you don’t need to rent a car; actually, it might be more of a hassle than an aid, but you’ll definitely need one if you planned to visit also other areas of Portugal. If this is your case, read how Portugal’s motorways work.

One of Lisbon’s historic elevadores, to climb the most challenging roads

Where is it best to stay in Lisbon?

In my experience, after having been there, the most convenient areas to stay in Lisbon are those highlighted in the map below.

The red zone marks the best areas to sleep in Lisbon, where you have all the advantages: proximity to metro and tram lines, closeness to major points of interest, and the option to go out at night in the liveliest parts of the city without facing uphills and downhills.

Yellow zone marks areas that are still pretty good for staying in Lisbon if you find good deals; they’re quite close to metro stops for getting around but as long as you don’t mind sometimes facing significant uphills and downhills. 🙂

Let’s now see at all the different areas to stay in Lisbon one by one.

Alfama District

Characteristic area : 5/5
Convenience for going out at night : 4/5
Ease of getting around : 4/5

Let’s start this review of areas to stay in Lisbon with Lisbon’s oldest district: Alfama.

One of the most traditional and characteristic districts to stay in Lisbon, it’s the easternmost area of the yellow polygon in the map above, which develops around the small hill of Sao Jorge castle.

The Alfama district is characterized by steep, winding alleys that hide historic buildings and cathedrals to visit where I recommend getting around by hopping on tram 28 like I did during my tour in Lisbon, which in those areas travels almost at a walking pace, allowing you to admire the views peacefully.

Some activities you may like, before going on with the article:

From the tram

Besides the historic buildings, there are also many restaurants, including some that offer Fado performances, the city’s traditional music (but they also charge more in this case, watch out for the prices).

Staying in Lisbon in the Alfama district can sometimes reveal surprises in the evening. Strolling through the side streets, you might hear music, which at first you won’t understand where it’s coming from because it seems to be everywhere.

You’ll then discover that there are loudspeakers tied to trees or houses and you might also find areas set up with wooden tables and benches where you can dine outdoors ordering sardines (one of the typical Portuguese dishes), meat, or other side dishes!

Staying in Lisbon in the Alfama area, you can then get around:

  • during the day, by walking down or taking tram 28 westward to the nearby Baixa-Chiado area, where you can catch other tram lines or get on the two metro lines in the area.
  • in the evening, still walking westward, you can first reach Praça do Comercio, Lisbon’s main square, and then, walking along the river, you’ll find some bars/kiosks with a great atmosphere until you get to the Mercado de Ribeira/Time Out Market, which I recommend visiting at least once!
By clicking here and entering your dates on the page that opens, you’ll find all the hotels still available in the Alfama area. If you’re short on time, here are some good ones with free cancellation:

 

Baixa – Chiado – Rossio Districts

Characteristic area : 4/5
Convenience for going out at night : 5/5
Ease of getting around : 5/5

Baixa – Chiado are the two flat districts in the central area highlighted in red on the map.

It’s probably the most recommended area to stay in Lisbon for those who don’t want to walk up and down hills, and it’s the one I personally prefer due to its central location.

In the Baixa and Chiado districts, you’ll find numerous attractions such as the Elevador di Santa Justa, Praça do Comercio facing the Tagus River, Rua da Augusta, which is the city’s most popular pedestrian street, starting under the arch of Augusta, where you can find bars, restaurants, and shops.

From this area, again with tram 28, you can reach both the Alfama district to the east and areas further west, as it has stops for almost all tram lines and the two main metro lines. From Baixa and Chiado, you can get anywhere!

If I had to find a downside to this area, I’d say it’s quite trafficated. Alfama is definitely quieter at night.

In the evening, you can get to the heart of the action in just a few minutes by simply heading towards the river. From late afternoon until late evening, in fact, along the riverbank, you’ll find some very nice outdoor bars and kiosks with deck chairs immersed in a relaxing atmosphere that reminds a beach. 🙂

By clicking here and entering your dates on the page that opens, you’ll find all the hotels available to stay in Lisbon in the Baixa-Chiado area. One interesting example:

  • MeraPrime Gold : modern rooms for 1 or 2 people with classy finishes, some with river views, free TV and Wi-Fi, a very central location, and excellent reviews, option for breakfast and its own restaurant.

 

Mercado de Ribeira – Cais do Sodrè

Characteristic area : 3/5
Convenience for going out at night : 5/5
Ease of getting around : 4/5

Continuing further west, we reach the area near Mercado de Ribeira, which is the westernmost strip among those highlighted in red, in the Cais do Sodrè district.

By choosing Cais do Sodrè to stay in Lisbon, you’ll have the advantage of being close to the riverfront, in a flat area near Mercado di Ribeira or Time Out Market (where I recommend you try eating at least once).

Time Out Market in Lisbon
Time Out Market in Lisbon at night. In the morning, it also opens additional stalls just like a real market.

A short distance away, near Praça del Duque de Terceira and the side streets under the overpass, you’ll find some bars and pubs open in the evening, like the unconventional Pensão Amor.

Besides that, there aren’t many particular attractions; in front of Mercado de Ribeira, you’ll only find the Cais do Sodrè train station and the main tram stops.

By clicking here and entering your dates on the page that opens, you’ll find all the hotels still available in the Cais do Sodrè area. A hint:

  • City Stays Apartments : apartments to stay in Lisbon for large groups up to 10 people, central and in an excellent location for getting around, free Wi-Fi.

Other good areas to stay in Lisbon

As mentioned, if you can’t find anything affordable or available in the areas highlighted in red, you can also consider staying in Lisbon in a property in the yellow zone.

The disadvantage of the yellow zone compared to the red one is that you’ll have to walk more to get to the riverbank (where most of Lisbon’s life is concentrated) and face some challenging uphills and downhills.

If you don’t mind that, this area still has plenty of public transport stops and various attractions like the most famous elevadores, Avenida de Liberdade (the equivalent of a Spanish Rambla, forgive the comparison), and also the Barrio Alto district, one of the most famous for nightlife.

Regarding Barrio Alto, I personally didn’t like it much, I found it quite “grimy”, meaning the little streets weren’t particularly clean or well-lit although some bars and discobars were nice; maybe it’s because I went on weekdays when there weren’t many people around and it looked a bit gloomy… but I preferred the area with the kiosks along the river!

Anyway, pop over for a look, maybe on a weekend, and tell me what it’s like in the comments! 😉

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Accommodation found… now what to visit in Lisbon? Simple! Go check out my guide with itineraries to visit the city in 2 or 3 days! 🙂

All that’s left is to find a cheap flight! Do a search in the box below, which compares all possible flights to Lisbon showing the cheapest or the fastest one! My advice is to also always look for flights departing from an airport a bit further from home, you might find much cheaper direct, non-stop flights!

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Fabio M.Author and Founder

I work in an airport and no, I don't have any flight discounts as people think :)
I work in IT and plan trips in my free time.
I created Always On Board to give you in one place all practical information you need to know before travelling: accommodations, maps, transport, attractions and scams to avoid.
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