Where To Stay In Lisbon For First-Timers: Best Areas And Hotels 2025
Wondering where to stay in Lisbon on your very first trip? You are in the right place.
Choosing the right area can be a little overwhelming, especially when you look at the map and see how spread out the city looks. Lisbon is full of charm, history and incredible neighborhoods, but on your first visit you will want to choose the best area so you can see more and spend less time traveling across the city.
In this guide, I will share the best areas to stay in Lisbon for first-timers. I have broken it down by the best neighbourhoods so you can quickly see which part of the city is right for you. Whether you are a couple looking for romance, a family with kids, or a solo traveller who wants convenience above all else, you will find the perfect spot here.
Overall Best Place To Stay In Lisbon
Pousada de Lisboa is the best hotel in Lisbon. This luxury 5-star boutique hotel is in a prime location on the edge of Praça do Comércio, where you will receive world-class service. Book your stay now by clicking here!
In a hurry and don’t have time to read the whole post? Here’s a summary of the best places to stay in Lisbon:


Baixa & Chiado: Best Area For First Timers & Families
Baixa and Chiado are at the heart of Lisbon and the best areas to stay if it’s your first visit. These neighborhoods are flat and easy to walk, which makes a big difference in a city known for its hills. The streets are full of colour, street performers, shops and cafés, and you’ll be close to big attractions like Praça do Comércio, Rossio Square and the Santa Justa Elevator.
It is touristy, but the energy is part of the charm. For first-time visitors to Lisbon, who want convenience, a lively atmosphere and plenty to see on the doorstep, Baixa and Chiado are ideal.
Pros Of Staying In Baixa & Chiado:
- Central location
- Flat streets
- Easy transport
- Always full of life.
Cons Of Staying In Baixa & Chiado:
- Tourist crowds
- Higher hotel prices around the main squares
Insider Tip: Tram 28 is the famous tourist tram that runs through Lisbon, but it gets unbearably crowded. We found tram 12 a much better option — it runs a similar route through Alfama without the long queues.
Where To Stay In Baixa & Chiado
✅ Best Budget Option – Lisbon Lounge Hostel
Lisbon Lounge Hostel is one of the best-located hostels in Lisbon, within walking distance of all the main attractions. This hostel has both private and dorm rooms depending on your budget and travel preferences, both of which have plenty of space. There is a shared kitchen and lounge area for guests to relax in after a long day of exploring. It has a cozy and welcoming atmosphere and the staff are super friendly.
✅ Best Mid-Range Option – The 7 Hotel
In a prime location within the Baixa District, just minutes walk from many major attractions, The 7 Hotel offers guests a sleek and stylish stay. The rooms are thoughtfully laid out, with soundproofing to block out the sound of the street. Staff are kind and attentive, and there is the option of adding breakfast for a small additional charge.
✅ Best Luxury Option – Pousada de Lisboa
This hotel has to be one of the best in Lisbon, full stop. One of the Small Luxury Hotels of the World, this boutique hotel offers world-class service and celebrity treatment. The location is outstanding, just on the edge of Praça do Comércio, whilst the interior is elegant and luxurious. The staff are amazing and the breakfast buffet is delicious. You can’t get much better than this in Lisbon!
Click Here to explore more places to stay in Baixa and Chiado
Best Things To Do In Baixa & Chiado
Alfama: Best Area To Stay In Lisbon For Couples
Alfama is Lisbon’s oldest and most romantic district, having survived the 1755 earthquake almost untouched. Its narrow cobbled streets wind past colourful tiled houses, with washing strung overhead and cafés spilling out onto tiny squares.
The area has a charming, old-world feel, with family-run shops, traditional markets, and the sound of Fado drifting from doorways at night. It’s also home to São Jorge Castle and within walking distance of many major attractions, making it a dreamy base for couples and anyone who wants to soak up Lisbon’s history.
Pros Of Staying In Alfama:
- Romantic atmosphere
- Full of history & culture
- Home to iconic attractions
- Vibrant local life
Cons Of Staying In Alfama:
- Very hilly
- Harder to reach by public transport
- Limited and more expensive hotel choices
Where To Stay In Alfama
✅ Best Budget Option – This Is Lisbon Hostel
This is Lisbon Hostel is located just above São Jorge Castle, on the northernmost part of Alfama. With both dorm and private rooms, there’s something to suit every type of traveller. The staff make you feel so welcome, and the rooms are comfortable and clean. There is a common room with computers and a kitchen for guests to use as and when they please, making this a really convenient stay for anyone on a budget.
✅ Best Mid-Range Option – Hotel Convento do Salvador
Hotel Convento do Salvador is conveniently located within minutes walk of all major attractions in Lisbon. This hotel is set in a former convent, though it has been converted to suit modern needs, with simple decor throughout. This hotel has everything you could need, including comfortable beds and aircon for those warm Portuguese days. Plus, there is a large courtyard area to relax in the sun, as well as a comfortable seating area to lounge in.
✅ Best Luxury Option – Tandem Palacio Alfama Suites
With the unmistakable dome of the National Pantheon towering above, the Tandem Palacio Alfama Suites is the best luxury place to stay in Alfama. Each guest suite is beautifully decorated, with private kitchenettes and comfortable seating areas. The highlight has to be the stunning garden, filled with orange and lemon trees, with a swimming pool and views over both the National Pantheon and the River Tagus.
Click Here to explore more places to stay in Alfama
Best Things To Do In Alfama


Bairro Alto: Where To Stay In Lisbon For Nightlife
Bairro Alto sits next to Baixa and Chiado, offering a central base with a unique vibe. By night, it’s Lisbon’s lively entertainment district, packed with bars, restaurants and Fado houses, whilst by day it slows down into a charming neighbourhood of cobbled streets, colourful buildings, quaint cafés and viewpoints with stunning city views.
It’s ideal if you want to experience Lisbon’s nightlife while still being close to the main attractions.
Pros Of Staying In Bairro Alto:
- Amazing nightlife
- Central location
- Beautiful viewpoints
Cons Of Staying In Bairro Alto:
- Noisy at night
- Very hilly
- Fewer luxury options
Where To Stay In Bairro Alto
✅ Best Budget Option – Inn Bairro Alto BA Sweet
Inn Bairro Alto BA Sweet offers cozy and stylish rooms in the heart of the Bairro Alto district. The standard rooms are relatively small, but they’re comfortable and impeccably clean, making this a great option for exploring Lisbon on a budget. The staff go the extra mile and breakfast is available for a small additional charge.
✅ Best Mid-Range Option – Bairro House Lisbon Charming Suites
This is the perfect place to stay for those of you visiting Lisbon for its nightlife. Bairro House is situated in the heart of Bairro Alto, on a ‘party street’, though the noise is completely blocked out at night with the windows closed (there is aircon instead). There are several different rooms to choose from, all stylishly decorated, clean and comfortable. It is worth noting, there are no staff on site, though they are easily contactable if needed.
✅ Best Luxury Option – Bairro Alto Hotel
The Bairro Alto Hotel is one of the most luxurious places to stay in Lisbon, topping the rankings by far within Bairro Alto. With warm, traditional decor, each room exudes luxury, whilst still being incredibly comfortable. The hotel boasts a terrace with the most amazing view, whilst all rooms have views of Bairro Alto and Chiado. Some rooms allow you to see down to the Tagus River. With breakfast served on the terrace, and an award-winning restaurant, every aspect of this hotel is perfect.
Click Here to explore more places to stay in Bairro Alto
Best Things To Do In Bairro Alto


Avenida Da Liberdade: Best Area To Stay In Lisbon For Luxury
Avenida da Liberdade is one of the most elegant neighbourhoods in Lisbon. It’s a great option if it’s your first time in Lisbon and you want to stay somewhere stylish and convenient. This wide, tree-lined boulevard is famous for its designer boutiques, luxury hotels, fountains and leafy gardens, and it feels calmer than the busy tourist hubs of Baixa or Alfama.
For first-timers who want a central location without the crowds, Avenida da Liberdade is a safe and polished choice, with excellent public transport links that make sightseeing easy.
It’s the best area to stay in Lisbon if you want comfort, refinement and easy access to the city’s main attractions.
Pros Of Staying In Avenida da Liberdade:
- Quiet area
- Great for luxury hotels
- Excellent metro & transport links
- Very safe area for first-time vistors.
Cons Of Staying In Avenida da Liberdade:
- Expensive
- Less traditional atmosphere
- Not as much going on as the historic districts.
Where To Stay In Avenida Da Liberdade
✅ Best Budget Option – Inn-Chiado Restauradores Prime Suites
Whilst Avenida da Liberdade is certainly not known for being a budget-friendly area, Inn-Chiado Restauradores Prime Suites offers those on a slightly lower budget the chance to stay at the edge of this premium district. This small hotel offers cozy, comfortable rooms with a homely atmosphere, and guests have access to a shared kitchen and lounge area.
✅ Best Mid-Range Option – TURIM Boulevard Hotel
Located directly on Avenida da Liberdade, Turim Boulevard Hotel offers guests a luxurious experience without the luxury price tag. The service is excellent, the design is incredible, and the views from the rooftop pool and terrace are simply stunning.
✅ Best Luxury Option – Tivoli Avenida Liberdade Lisboa
A stay at the Tivoli Avenida Liberdade is a stay like no other. As one of the leading hotels in the world, the Tivoli offers guests world-class service. With a rooftop bar with stunning views over Lisbon, a pool, two restaurants, a spacious sun terrace surrounded by greenery, and even a spa, you may never want to leave!
Click Here to explore more places to stay in Avenida da Liberdade
Best Things To Do In Avenida Da Liberdade


Belém: Best Area To Stay In Lisbon For History & Culture
Belém is a little further from the centre, but it’s one of the most fascinating areas to stay in, especially if it’s your first time in Lisbon. This riverside district is home to some of the city’s most famous landmarks, including the UNESCO-listed Belém Tower and Jerónimos Monastery.
It has a calmer, more spacious feel than the central neighbourhoods, with leafy gardens and open squares that are perfect for a relaxed stroll. Belém is known for its rich maritime history, and you’ll find plenty of museums, monuments and cafés serving the city’s most famous custard tarts, the pastéis de Belém.
It’s not as convenient as staying in Baixa or Alfama, but with good tram and bus connections, it’s still easy to reach the city centre. For first-time visitors who love culture and history, Belém is a wonderful place to stay.
Pros Of Staying Belém:
- Iconic landmarks
- Cultural attractions
- Riverside setting
- Peaceful atmosphere
Cons Of Staying In Belém:
- Further from central Lisbon
- Quieter at night
- Not walkable to most main attractions
Where To Stay In Belém
✅ Best Budget Option – Geronimo Guest House Belém
Located within a few minutes walk of all Belém attractions, Geronimo Guest House offers a home away from home. The rooms are spacious and comfortable with plenty of storage, and some even have terraces and balconies. The best thing about this guest house has to be its stunning garden. With plenty of spaces to sit and relax in the sun, surrounded by nature, as well as a hot tub to enjoy, this is the best budget-friendly stay in Belém.
✅ Best Mid-Range Option – Embaixador Apartments & Suites
Embaixador Apartments & Suites offers spacious, well equipped, modern and comfortable apartments in the centre of Belém. The apartments are thoughtfully decorated and have everything you need to enjoy your stay. Each apartment comes with a comfortable seating area and a kitchenette, making it ideal for both short and long stays in Lisbon.
✅ Best Luxury Option – Altis Belém Hotel & Spa
If you choose to stay at Altis Belém Hotel & Spa, be prepared to never want to leave! This hotel sits right on the riverfront, between Belém Tower and the Monument to the Discoveries, offering spectacular views, especially from the rooftop pool. Each room has a huge glass wall, meaning you’re never without a view. The decor is modern and luxurious, and the staff are kind and attentive. There is no better place to stay in Belém.
Click Here to explore more places to stay in Belém
Best Things To Do In Belém

Príncipe Real: Trendiest Area To Stay In Lisbon
Príncipe Real is one of Lisbon’s trendiest districts. Once filled with old townhouses, it’s now a fashionable neighbourhood of boutique shops, cute cafés and fine-dining restaurants. The area feels stylish and local at the same time, with leafy squares and small parks where you can take a break from sightseeing. For first-time visitors, Príncipe Real is a great choice if you want a modern, upscale vibe and some of the city’s best food.
Pros Of Staying Príncipe Real:
- Trendy shops & restaurants
- Leafy squares
- Authentic local vibe
- Great for food lovers
Cons Of Staying In Príncipe Real:
- Very hilly
- Not as central
- Less convenient for sightseeing on a short trip
Where To Stay In Príncipe Real
✅ Best Budget Option – The Hygge Lisbon Suites
The Hygge Lisbon Suites offer comfortable and stylishly furnished rooms, with a good breakfast included in the price. Located just on the edge of the Jardim de Estrela, this is a peaceful location to spend a few nights. With extra touches like a coffee machine and cakes, this feels like a home away from home.
✅ Best Mid-Range Option – Casa do Principe
Hotel, or royal palace? It’s hard to tell at Casa do Principe! The hotel is decorated exactly like a traditional manor house, with high ceilings, real hardwood floors, and incredibly spacious rooms. The price includes a delicious breakfast, and the location in Príncipe Real is right next a lovely little park.
✅ Best Luxury Option – Hotel das Amoreiras
Located on the edge of a leafy square, Hotel das Amoreiras offers tastefully and traditionally decorated suites, with comfortable beds and beautiful views. An exceptional à la carte breakfast is offered in the hotel garden, with a serene atmosphere to start your day. The staff are attentive and friendly, really making your stay into something special.
Click Here to explore more places to stay in Príncipe Real
Best Things To Do In Príncipe Real

FAQs
If you’re still unsure of the best area to stay in Lisbon, or have some other questions about this beautiful city, we’ve rounded up the most frequently asked questions. We’ve answered with our honest opinions after exploring Lisbon extensively.
Where Should I Not Stay In Lisbon?
There are very few places that you should avoid in Lisbon. However, we would advise avoiding districts which are on the outskirts of the city (other than Belém) as it would make seeing the main attractions more difficult.
That being said, there are a few areas where some tourists may feel uncomfortable and should be avoided after dark. These include Intendente, Martim Moniz, Chelas, Mouraria, and Anjos. There have been reported to be higher street crime rates within these areas.
What Is The Best Time To Visit Lisbon?
Lisbon is such a beautiful city to visit year-round. Our personal favourite time to visit is Spring, around May to June, when the Jacarandas are in blossom. The city is stunning this time of year, the weather is warm and sunny, and there are fewer tourists than in peak season. Alternatively, September to October is a great time to visit during shoulder season. However, anytime that you visit, we know you’ll have a great time.
How Long Should I Spend In Lisbon?
For a first-timer, we’d recommend spending three to five days in Lisbon. Five days will allow you to see all the main attractions and take a day trip to Sintra, whilst three will allow you to see most of the main attractions.
What Is There To Do In Lisbon?
Lisbon is a vibrant city with so much to do. We’d highly recommend booking onto a walking tour to get the best understanding of everything that you can do. Some must-visit spots include Praça do Comércio, São Jorge Castle, Alfama, Belém Tower, and LX Factory.
Is Lisbon Safe For Travellers?
Lisbon is a very safe city for travellers, with low crime rates. We never felt unsafe during our extended time in the city. As with any city, we’d recommend exercising caution after dark and being aware of pick-pockets and petty theft. We’d also recommend making sure you have good travel insurance in case of any issues. That being said, we’ve never heard of anyone having any issues in Lisbon.

Wrap Up: Where To Stay In Lisbon
Lisbon is a wide and sprawling city, with so much to do and see. For first-timers, it can be a little overwhelming choosing where to stay. However, with this guide, we know you’ll find somewhere you love that’s perfect for you.
If you’re a first-timer, we’d highly recommend staying in Baixa and Chiado, the most central location for exploring. Couples will love Alfama for it’s romantic atmosphere, with cobblestone streets and colourful buildings. Or, if you want to experience high-end Lisbon, Avenida da Liberdade is the place for you.
With a whole range of apartments, guesthouses, hostels and hotels, there is something for every budget. You will not be short for choice when deciding where to stay in Lisbon. Our personal favourite, for it’s incredible location and luxurious design, has to be Pousada de Lisboa, though Lisbon has so many stunning places for you to stay. And don’t forget, if you’ve found somewhere you like, book it now before it’s too late!
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