The Best Hotels in Madeira

Madeira has some of the most beautiful hotels in Portugal: grand clifftop palaces in Funchal, old manor houses in tropical gardens, design hotels with infinity pools and rural retreats among the vines. Here are the best hotels in Madeira, from legendary luxury to great-value bases.

Quick answer: for the classic splurge, Belmond Reid’s Palace. For a quiet garden escape, Quinta da Casa Branca. For style in the old town, Castanheiro Boutique Hotel. For the sunny west coast, Estalagem da Ponta do Sol. For nature, Socalco Nature in Calheta or Quinta do Furão on the north coast. On a budget, Hotel Madeira in central Funchal.

How to choose

Madeira is small, but the roads are steep and twisting, so where you stay shapes your trip. Funchal suits a first visit: you can walk to restaurants, the market and the cable car, and buses and tours leave from the seafront every morning. The southwest is sunnier and quieter. The north coast is green, dramatic and often cloudier, and best if you have a car and love walking. Many visitors split a week between Funchal and one other base.

Funchal

1. Belmond Reid’s Palace

The legendary pink clifftop hotel above Funchal bay, open since 1891, set in 10 acres of gardens with sea-view pools and famous afternoon tea. Winston Churchill and George Bernard Shaw both stayed here. A true icon. Check prices

2. Les Suites at The Cliff Bay

An exclusive all-suite five-star in the hotel zone, with just 23 suites set in two old manor houses joined to a modern wing by gardens. There’s an infinity pool with views over Funchal bay, and guests can use everything at the neighbouring Cliff Bay hotel, including its direct sea access, pools, spa and the two-Michelin-star Il Gallo d’Oro restaurant. Check prices

3. Savoy Palace

A big, glamorous five-star on the seafront with several pools, including rooftop infinity pools high above the bay (one is kept for suite guests), plus a rooftop bar and several restaurants. Great for families and couples alike. Check prices

4. Quinta da Casa Branca

A peaceful retreat in lush gardens and a banana plantation, with a historic manor house and modern garden rooms, a short walk from the Lido. Many rooms open straight onto the garden, and there are two outdoor pools and a small spa. It feels far from the city, though the centre is only about 2km away. Check prices

5. Quinta Jardins do Lago

An 18th-century manor in botanical gardens above central Funchal, with a lagoon-style pool. Old-world charm and quiet. With around 40 rooms and suites, indoor and outdoor pools and a library, it suits travellers who want calm over nightlife. You’ll want taxis or a car, as it’s uphill from the centre. Check prices

6. Castanheiro Boutique Hotel

Five restored historic buildings in the old town, with a heated rooftop pool and spa. Walk to the market, the Zona Velha and the cable car. The rooftop has wide views over the terracotta roofs to the bay. Check prices

7. The Vine

A design hotel in the centre with a rooftop infinity pool and a wine-themed spa. Stylish and central, right by the shops and restaurants. Its spa was redecorated in spring 2026. Check prices

8. Hotel Madeira (budget)

A simple, well-located three-star hotel in the heart of Funchal, about a five-minute walk from the marina. It has an outdoor pool and a rooftop bar, which is rare at this price. Great value for exploring the city. Check prices

Around the island

9. Estalagem da Ponta do Sol

A striking modern hotel on a clifftop above the sunny village of Ponta do Sol, with an infinity pool over the Atlantic. Famous sunsets. A lift links the hotel with the village below, which has a pebble beach and a few cafes. Check prices · Ponta do Sol stays

10. Socalco Nature (Calheta)

Farm-to-table villas among the vines and banana terraces, close to Calheta’s sandy beach. With only about 20 rooms, an outdoor pool and gardens growing vegetables and herbs, it feels like a country house. Breakfast is made with local and organic produce. Check prices

11. Aqua Natura Madeira (Porto Moniz)

Steps from Porto Moniz’s famous lava swimming pools on the wild northwest coast, with sea-view balconies. It holds a recognised sustainability certificate and has a small spa with a sauna. A good base for the Fanal forest and the northwest. Check prices

12. Quinta do Furão (Santana)

A clifftop wine estate on the green north coast, great for walkers and a peaceful escape. It stands on a plateau above the sea about 2km from Santana, surrounded by its own vineyards, with a restaurant looking out over the ocean and a pool and spa. Check prices

Where to stay in Madeira

• Funchal: the best base for a first visit, with restaurants, the cable car and buses and tours in every direction.
• The southwest (Calheta, Ponta do Sol): the sunniest coast and Madeira’s sandy beach.
• The north (Santana, Porto Moniz): wilder and greener, best with a car.

For more on areas, see where to stay in Madeira.

Booking tips

• Book early for New Year’s Eve, when Funchal’s fireworks fill hotels months ahead, and for the Flower Festival in spring.
• Ask for a sea view in Funchal; many hotels sit on steep slopes, and upper floors facing the bay are worth the extra.
• Check the hill. Some hotels are a steep climb from the centre, so check the map if you plan to walk everywhere.
• Parking is limited in central Funchal. If you hire a car for the whole trip, ask whether the hotel has a garage.
• Hiking plans? Many popular trails, including the Pico do Arieiro to Pico Ruivo route, now need a paid booking through the SIMplifica system. Book that as well as your room.

When to go

Madeira is mild all year, so hotels stay open in winter. Spring and autumn are lovely for walking. Summer is warmest and busiest, and prices peak in August and over Christmas and New Year. See the best time to visit Madeira and getting around Madeira.

FAQ

Which is the best area to stay in Madeira?

Funchal is the best base for a first visit: you can walk to restaurants and the cable car, and tours leave from the seafront. The southwest is sunnier and quieter.

Do I need a car if I stay in Funchal?

No. You can walk around the centre, take buses and join tours. Hire a car for a few days to explore the north coast and the mountains.

How do I get from the airport to Funchal?

The airport is east of the city, about half an hour away by car or taxi. The Aerobus links the airport and Funchal for €6.70 one way.

When are Madeira hotels most expensive?

Prices peak in August and over Christmas and New Year, and Funchal fills up for the Flower Festival. January, February and November are usually cheaper, apart from the holidays.

Travelling with kids? See Madeira with kids. Or browse Funchal and all Madeira stays.

More: things to do in Funchal, levada walks and the Madeira travel guide.

See also: romantic Madeira.

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