Albufeira is one of the most popular coastal cities in the Algarve region of Portugal. And while it's a popular tourist destination, many people are curious about what it's like living in Albufeira year-round. Let’s take a look.
Is Albufeira a Nice Place to Live?
We've discussed before, the many benefits of southeast Portugal, both for expats and visitors alike. In fact, it lies within the top three places in Algarve that we recommend. It has been known in recent years as a exciting party town, yet it has plenty to offer beyond that for those who choose to relocate to the area.
With a permanent population of around 44,000, this thriving tourist spot remains exciting both in the summer months and during the off-season, so what does that year-round affluence look like in Albufeira?
Day-to-day life in Albufeira
Albufeira, like many other expat hotspots in the Algarve, has plenty of amenities. From shops and restaurants, to good healthcare facilities, Albufeira has all of the essentials for a comfortable and convenient life in the sun. Those who choose to make Albufeira a permanent home will undoubtedly make the most of some of the area's nightlife, its history and mouthwatering seafood.
The Old Town
The heart of Albufeira, known as the Old Town, is a charming and picturesque area comprised of cobblestone streets and whitewashed patrimonial landmarks. There are also contemporary art galleries and a gorgeous viewpoint of the coastline from it's highest hill. It's always filled with people and offers a blend of traditional Portuguese culture and modern convenience.
Residents and visitors enjoy exploring the quaint alleys and discovering cafes and bars, but local residents often look off the beaten track for some of the best restaurants in the city.
The central square often hosts live music and events, meaning there is always something new and interesting in the Old Town. For daily necessities, the Old Town has a variety of small market stalls, bakeries, and independent shops, making it a convenient place to live and a joy to explore.
Beaches In Albufeira
Albufeira is renowned for its stunning beaches, which are a major draw for tourists. They offer opportunities for various water sports such as surfing, paddleboarding, and snorkelling as well as links for short boat trips to nearby Benagil caves.
- Praia dos Pescadores (Fisherman's Beach) is one of the most popular, located near the Old Town and offering a wide expanse of golden sand and clear waters.
- Praia da Oura, Praia de São Rafael, and Praia da Falésia are other great local beaches, each worth exploring when living in Albufeira. Beachfront gastonomy can be a welcome getaway in peak tourist times when relaxation is a top priority.
Restaurants In Albufeira
Albufeira boasts a diverse culinary scene that caters to all tastes and budgets. The Old Town is dotted with traditional Portuguese restaurants serving fresh seafood, grilled meats, and other local delicacies. Whether you're looking for a quick sweet bite or more of a fine dining experience, Albufeira's restaurants provide plenty of choice and lots of high-quality dining.
The Strip
The Strip is the go-to for Albufeira nightlife. Stretching for about 2km, it is lined with bars, clubs, and restaurants, making it the go-to destination for evening entertainment. During the day, The Strip is relatively quiet, with stores open for business. As night falls, it transforms into a vibrant scene with music, lights, and people enjoying the lively atmosphere.
Living in the Algarve region in the Winter
Winter in the Algarve is tranquil with fewer tourists and a mild climate. In peak season, Albufeira has around 300,000 residents, including tourists and hotel guests. The winter offers some peace and tranquillity for permanent residents.
Whilst there are some closures for tourist activities, much of the town maintains its vibrance, meaning locals can continue to enjoy many of the city’s draws without the crowds. Albufeira’s winter temperatures usually sit between 10-17°, making it a mild climate and a nice place to spend the winter months.
Is Albufeira a Good Place to Retire?
Offering a relaxed pace of life and many opportunities for social and leisure activities, Albufeira is an ideal spot for retirement. When it comes to the cost of living in Albufeira, according to Forbes, the Algarve coast it is one of the cheapest places in Europe to retire to.
There are many golf courses, walking trails, and social clubs to enjoy in and around the area. A growing expat community in Albufeira provides a supportive network for newcomers, and the locals are friendly and welcoming, making it easy for new residents to integrate. It’s possible to get by speaking only English in Albufeira, but learning some Portuguese will open up new opportunities and help with settling into the area.
Albufeira, compared to many other European locations, is quite an affordable option for year-round living. Basic monthly expenses for a single person range from €800 to €1,200, excluding rent. Housing costs can also vary, with city centre apartments being more expensive than those in more rural or suburban areas.
The Best Places To Live In Albufeira
Albufeira, with its lively atmosphere and relaxing scenery, offers plenty of options that cater to different lifestyles and preferences. Whether you prefer the hustle and bustle of the city centre or the tranquillity of the outskirts, Albufeira has something to offer for everyone.
Here are just a few options when exploring permanent living in Albufeira:
- Centro da Cidade - Living in the city centre, or "Centro da Cidade," places you in the heart of the action. This area is ideal for those who enjoy being close to amenities, including shops, restaurants, and cultural attractions.
- Olhos de Água - Located to the east of Albufeira, Olhos de Água is a charming fishing village that offers a more relaxed and peaceful living environment. It lies between Albufeira and Vilamoura, providing a perfect blend of tranquillity and convenience. The area is known for its beautiful beach, Praia de Olhos de Água, which features stunning rock formations and natural springs.
- Cerro de Águia - Cerro de Águia is a residential area located on the outskirts of Albufeira, offering gorgeous views of the ocean and the city. This neighbourhood is perfect for those who seek a peaceful and scenic environment away from the busy city centre. Cerro de Águia provides a more private and exclusive living experience while still being a short drive from the amenities and attractions of Albufeira.
- Marina de Albufeira - Marina de Albufeira is known for its luxurious and modern housing options. This area is situated around the picturesque marina, which is a hub of activity with its yachts, waterfront restaurants, and bars. The Marina area is perfect for those who enjoy a high-end lifestyle and the vibrancy of a coastal setting.
Portugal named world’s best retirement destination for 2025
Portugal has been named the world’s best retirement destination for 2025 by Global Citizen Solutions’ Global Retirement Report. The index highlights quality of life, accessible healthcare and expat integration among the key factors behind the top spot.
The best Portuguese cheeses you must try
What cheese is Portugal famous for? Beyond its stunning landscapes and historic cities, Portugal is also a paradise for food lovers. Traditional Portuguese cheeses are a true highlight of the country’s gastronomy, many of them carrying the prestigious PDO (Protected Designation of Origin) label. From creamy sheep’s cheese near Lisbon to strong goat’s cheese from the north and spicy Azorean varieties, there’s a whole world of flavours to discover.
Glória Funicular in Lisbon to be redesigned after fatal accident
Lisbon’s iconic Glória Funicular, a historic transport link between Restauradores Square and Bairro Alto, is set to undergo a major safety redesign following a tragic accident that left 16 people dead and 22 injured on 3rd September 2025. The crash, which occurred when the funicular hurtled down the steep hill and collided with a building, has prompted urgent action from city officials and transport authorities.
Lisbon and Algarve in the top 10 Savills Executive Nomad Index 2025
Lisbon and the Algarve have consolidated their status as leading destinations for remote professionals in the Savills Executive Nomad Index 2025. According to the latest index, Lisbon claims the fifth position globally, while the Algarve enters the top ten for the first time, achieving tenth place.
Living in the Algarve: costs and best places to call home
The Algarve, located on Portugal's south coast, is a proper picture-postcard spot, with gorgeous beaches and a wonderfully laid-back atmosphere. But if you’re thinking about living in the Algarve, there's so much more to it than just the lovely holiday vibes you see in the brochures. It's a place brimming with natural beauty and a great way of life, though, like anywhere, it’s got its little quirks to consider too.
Things to do in Tavira: sights, beaches, and what to eat
Tavira is a town that unfolds along the banks of the Gilão River in the eastern Algarve. Its whitewashed buildings are topped with distinctive four-sided roofs, and a historic pedestrian bridge connects the two halves of the town centre. Life moves at a gentler pace here, and the best things to do in Tavira perfectly match this relaxed feel, setting it apart from some of the more hectic spots along the coast.
Things to do in Albufeira: old town, beaches, and nightlife
Albufeira is a coastal city in the Algarve, southern Portugal, that has grown from a quiet fishing village into one of the area's most popular resorts. The variety of things to do in Albufeira stems from its dual identity, with golden, cliff-backed beaches and a nightlife scene that contrasts the historic Old Town with the energetic New Town strip.