If you’re heading to Madeira, or considering a visit, read this guide to the Best Places to Stay in Madeira to know where to stay and get first-hand reviews of hotels.

Madeira is 35 miles long and 13 miles wide with 99 miles of coastline.  The views are spectacular but it’s all rocks and cliffs, so you won’t find beaches.  There are a few highways that run through the island, so it’s pretty easy to get around.  Get a rental car or you’ll be paying a lot for taxis or spending all your time waiting for the bus.  If you’re there for more than the weekend, stay a night out of Funchal, like in Ponta dol Sol, especially if there’s a cruise ship in town.  You’ll get the same quality but less expensive rooms.

Most of the best places to stay in Madeira are more affordable than most other European countries.  Although the summer and holidays are the high season, Madeira is known to have an “eternal spring”, so it gets visitors all year round. It’s best to book ahead, especially the smaller boutique hotels.  Most Madeira hotels, especially the nicer ones, include a breakfast with your stay.  We’ve listed some of our favorite lodging ideas on Madeira island (just keep in mind our pricing guide).  If you want to see all these hotels on a map and links to real guests photos, it’s included with the Travel Honey Madeira itinerary.  You’ll also get a day-by-day guide on the best activities.


You’ll likely arrive to Madeira by plane to Funchal on the south coast.  Funchal is the largest city in Madeira and it’s where you’ll find most of the best places to stay in Madeira, including more high-end options.  Hotels are generally more expensive than elsewhere on the island. Funchal is also home to most restaurants, both the traditional and the more modern, and is home to some of the only nightlife on Madeira island.

Despite being the largest city in Madeira, the Funchal city center has mostly 2-3 floor buildings and maintains a charming feel. Stay at least a couple days unless you really want to get away from people.  If you’re not renting a car, Funchal is also your best bet, because you’ll find most tour operators and taxis in town.  But do yourself a favor and rent a car.  You’ll appreciate the flexibility and opportunities to explore.

Old Town Funchal


Belmond Reid’s Palace ($$$$)

Vine Hotel ($$$)

Quinta da Casa Branca ($$$)

Castanheiro Boutique Hotel  ($$$)

PestanaCRr7 ($$$)

Quinta Mirabela ($$$)

Quinta Da Penha De Franca  ($$)


If you’re in Madeira for more than a weekend, stay a couple nights outside of Funchal.  You’ll get away from the tourists and it will allow you to more easily explore the island.  Hotels are also cheaper.  Try Ponta de Sol, a small charming town about 40 minutes west of Funchal, which has a couple of the best hotels in Madeira and some great restaurants.


Estalagem da Ponta do Sol ($$)

Hotel Vila ($$)

Savoy Saccharum Resort & Spa ($$)

Airbnb Teepee ($)

We hope you’re now equipped to choose the best places to stay in Madeira.  Don’t forget, if you want to see all these hotels on a map and links to real guests photos, it’s included with the Travel Honey Madeira itinerary.  You’ll also get a day-by-day guide to the best activities.