Find a place to stay in Lisbon you’ll actually love.
So, you’re planning your first trip to Lisbon—pastéis de nata in your dreams, tiled alleyways in your Pinterest board, and a dozen browser tabs open trying to figure out where the heck to stay. We get it. From hilltop views to late-night wine bars, Lisbon’s neighborhoods each have their own flavor. But if you want the perfect blend of beauty, convenience, and character, three areas rise to the top: Baixa & Chiado, Alfama, and Bairro Alto.
In this guide, we’ll break down the best places to stay in Lisbon for first-time travelers—whether you’re here for the history, the nightlife, or just really committed to chasing the light for that perfect tram shot. Let’s find your Lisbon home base.
Baixa & Chiado: Central, Classic, and Walkable
If it’s your first time in Lisbon, Baixa & Chiado are about as central as it gets. This is Lisbon’s downtown core—think wide plazas, tiled facades, and easy access to just about everything. Baixa is the more grid-like, neoclassical half, while Chiado brings a slightly more refined, artsy vibe. Together, they form Lisbon’s most walkable, well-connected base.
You’ll be within walking distance of major sights like the Elevador de Santa Justa, Praça do Comércio, and the famous Tram 28 route. It’s also packed with shops, bakeries, and restaurants, so there’s always something within arm’s reach—whether it’s a bifana sandwich or a boutique bookstore.
Best for: First-time visitors, shoppers, and culture lovers.
What it’s near: Alfama, Bairro Alto, Rossio Station, riverfront.
Why stay here: Easy metro access, charming streets, and a classic Lisbon feel without needing to climb hills.
Where to Stay in Baixa & Chiado: Top Hotels from Luxury to Budget
Luxury Hotels in Baixa & Chiado
Bairro Alto Hotel
Why stay – Iconic 5-star hotel with river views, plush interiors, and an unbeatable location between Chiado and Bairro Alto.
Vibe – Elegant, quiet luxury with modern Portuguese design.
Good to know – Rooftop bar is a local favorite.
AlmaLusa Baixa/Chiado
Why stay – Boutique hotel in a historic building, with thoughtful touches and a prime location steps from Praça do Comércio.
Vibe – Chic, intimate, and polished.
Good to know – Great service and walkable to everything.
Mid-Range Hotels in Baixa & Chiado
My Story Hotel Rossio
Why stay – Affordable, modern rooms in the heart of Baixa, overlooking Rossio Square.
Vibe – Clean, fresh, and stylish without the price tag. Friendly staff.
Good to know – Some rooms have balconies with views. Great for families.
Lisboa Pessoa Hotel
Why stay – Just above Chiado, inspired by Portuguese poet Fernando Pessoa. Includes a rooftop restaurant and small but excellent spa.
Vibe – Literary, modern, slightly artsy. Local.
Good to know – Tucked on a quieter street but still central.
Budget Hotels in Baixa & Chiado
Hotel Gat Rossio
Why stay – Modern and minimalist, with excellent access to public transit and low nightly rates.
Vibe – Budget-friendly but well-designed and stylish.
Good to know – Compact rooms but clean. Great for short stays.
Alfama: Historic, Scenic, and Full of Soul
Alfama is Lisbon’s oldest neighborhood—and it feels like stepping into a postcard. With its maze-like alleys, tiled walls, and sweeping views of the Tagus River, this is where Lisbon wears its history on every corner. You’ll hear fado music drifting out of doorways, locals chatting from balconies, and trams rumbling up impossibly steep streets.
Staying in Alfama means trading convenience for character. It’s not the most central or accessible (expect hills and cobblestones), but it’s packed with charm, especially if you want a slower, more atmospheric Lisbon experience. Think sunrise rooftops, quiet evenings, and getting a little lost—in the best way.
Best for: Couples, photographers, romantics, and anyone who wants that “authentic Lisbon” feel.
What it’s near: São Jorge Castle, Lisbon Cathedral, Santa Apolónia Station.
Why stay here: Iconic views, old-world charm, and the most picturesque strolls in the city.
Where to Stay in Alfama: Top Hotels from Luxury to Budget
Luxury Hotels in Alfama
Santiago de Alfama
Why stay – A five-star gem tucked into the quiet hills below São Jorge Castle. Beautiful rooms, excellent service, and postcard-worthy views.
Vibe – Romantic, upscale, and timeless.
Good to know – In-house restaurant is a local favorite.
Palácio do Governador
Why stay – Luxurious stay in a former palace with spa and pool access. Not directly in Alfama but close enough for comfort with more space.
Vibe – Elegant with heritage flair. Romantic.
Good to know – Best if you want charm without the tight streets.
Mid-Range Hotels in Alfama
Memmo Alfama Hotel
Why stay – Boutique hotel with a rooftop terrace and pool overlooking the red rooftops of Alfama and the river. Adults-only.
Vibe – Stylish, serene, and design-forward.
Good to know – Rooftop wine bar is perfect at sunset.
Hotel Convento do Salvador
Why stay – Set in a former convent, this hotel mixes minimalism with history and offers great value. Steps from major sights.
Vibe – Clean, calm, and central.
Good to know – Art-filled interiors and family-friendly rooms.
Budget Hotels in Alfama
Alfama Lisbon Lounge Suites
Why stay – Affordable, spacious apartments with views—perfect for longer stays or travelers who want a kitchenette.
Vibe – Comfortable and casual and functional.
Good to know – Ask for a room with a balcony facing the river.
Bairro Alto: Lively, Central, and Full of Personality
Bairro Alto is Lisbon’s nightlife hub—quirky by day, electric by night. By morning, it’s a sleepy maze of cobblestone streets and street art. By evening, it transforms into a buzzing mix of bars, restaurants, and rooftop spots. If you’re looking for energy, music, and late-night bites, this is your neighborhood.
The area sits on a hill between Chiado and Principe Real, giving it a central location without feeling touristy. While it’s not the quietest place to sleep (especially on weekends), many hotels and rentals now offer soundproofing. Stay here if you want Lisbon with edge, character, and plenty of vinho verde.
Best for: Night owls, foodies, creatives, and travelers who want to walk home from a rooftop bar.
What it’s near: Chiado, Miradouro de São Pedro de Alcântara, trendy shops in Principe Real.
Why stay here: Central, fun, and a great way to see Lisbon’s modern social side.
Where to Stay in Bairro Alto: Top Hotels from Luxury to Budget
Luxury Hotels in Bairro Alto
The Lumiares Hotel & Spa
Why stay – A 5-star boutique hotel with apartment-style suites, a rooftop bar, and spa—all in the heart of Bairro Alto.
Vibe – Stylish, modern, and upscale without feeling stiff.
Good to know – Rooftop views over Lisbon are stunning.
Palácio Ludovice Wine Experience Hotel
Why stay – This restored 18th-century palace offers a one-of-a-kind luxury stay in Lisbon, blending noble heritage with modern flair. With a wine bar, Caudalie spa, and elegant rooms just steps from Bairro Alto and Chiado, it’s indulgent without being over the top.
Vibe – Opulent, historic, and quietly refined. Think hand-painted tiles, original frescoes, and vintage glamour—paired with excellent Portuguese wine.
Good to know – The hotel sits right above the iconic Elevador da Glória and Miradouro de São Pedro de Alcântara. Ask for a room with city views or a private balcony.
Mid-Range Hotels in Bairro Alto
9Hotel Mercy
Why stay – Elegant rooms with big windows, some with city views, in a quieter part of Bairro Alto. Reasonably priced.
Vibe – Classy, calm, and centrally located.
Good to know – Great balance between buzz and rest.
Casa do Bairro by Shiadu

Why stay – A hidden gem with personalized service, charming decor, and a peaceful vibe.
Vibe – Very friendly, colorful, and comfortable.
Good to know – Breakfast gets rave reviews. Helpful staff can help you organize your tours.
Budget Hotels in Bairro Alto
Selina Secret Garden Lisbon

Why stay – Trendy hostel-hotel hybrid with dorms and private rooms, plus a rooftop pool and co-working space.
Vibe – Boho, social, and creative. Cool place to hang out, make friends.
Good to know – A favorite among digital nomads and solo travelers.
Where to Stay in Lisbon Portugal: Final Thoughts
Whether you’re drawn to the timeless charm of Alfama, the central elegance of Baixa & Chiado, or the lively energy of Bairro Alto, Lisbon has a neighborhood to match every travel style. Each area offers its own blend of history, culture, and local flavor—plus a range of hotels from boutique luxury to budget-friendly gems.
When planning your travel to Lisbon, Portugal, choosing the right base is key to experiencing the city’s best. With short walks to iconic viewpoints, tram lines, and some of Lisbon’s top restaurants, these three neighborhoods make it easy to fall in love with the city—one pastel de nata at a time.