Madeira welcomes travelers year-round with its warm climate, lush mountains, and inviting sea. Adventure lovers can hike levada trails, cycle scenic routes, or paraglide over dramatic cliffs. If relaxation is more your style, enjoy pebbled beaches, oceanfront lidos, and fresh seafood under the sun. In Funchal, many unwind in luxury resorts, soaking in coastal views and island charm. Whether you’re looking for a historic hotel, a boutique Quinta, or a sleek villa, you’ll find a variety of stunning hotels in Madeira Portugal. From elegant hideaways to laid-back coastal gems, our curated selection of hotels in Madeira Portugal offers the perfect base for every kind of traveler—whether you seek nature, comfort, culture, or pure indulgence on this enchanting Atlantic island.
1. The Reserve Hotel in Funchal
Welcome to The Reserve Hotel in Funchal, a slice of quiet luxury that has landed on Madeira like a sun-soaked comet! Nestled within the Savoy Palace Hotel—one of the top hotels in Madeira Portugal, wowing guests since 2019—this gem officially opened in January 2024, and it’s ready to make your stay as exceptional as a sunrise over Pico do Areeiro.
This isn’t just any hotel in Madeira Portugal; it’s the crème de la crème. Positioned on the top floors of the Savoy Palace, The Reserve boasts an exclusive rooftop pool with views so stunning you might just want to stay there permanently. My apartment-sized room, which opens up onto a terrace with a plunge pool and sunbeds facing the Atlantic, made me feel like a VIP. When I craved a real swim, I strolled in my white slippers to the rooftop pool, dodging sea breezes and cruise ship horn blasts below.
But wait, there’s more! The Reserve Hotel in Madeira Portugal goes the extra mile to pamper you. Before you even set foot on the island, you get to fill out a personal questionnaire. Dragonfruit for texture, anyone? Upon arrival, a dedicated team member whisks you through immigration and into a lounge faster than you can say “luxury.” Your personal assistant, João, even books your spa sessions and restaurant reservations, ensuring you get the best fusion sushi and sake cocktails at Nikkei.
What sets this hotel in Madeira Portugal apart is its knack for connecting you with the island’s magic. From wine and cheese tastings with the head sommelier to thrilling four-by-four trips up through the clouds to Pico do Areeiro, The Reserve makes sure your stay is as unforgettable as it is indulgent.
2. Reid’s Palace
Step into timeless elegance at Reid’s Palace, the crown jewel of hotels in Madeira Portugal. Opened in 1891 and perched above Funchal Bay, this iconic pink palace is wrapped in 10 acres of lush gardens. Historic charm meets modern luxury—think Victorian-style rooms with floral wallpapers, antique mirrors, and even hidden TVs for a playful twist.
The Churchill Suite, once home to the famed prime minister, offers high ceilings and sweeping sea views. Guests enjoy two heated pools, a full spa, and afternoon tea on the checkerboard terrace. Dining reaches new heights at William, home to Madeira’s only Michelin-starred chef, Luis Pestana. Among hotels in Madeira Portugal, Reid’s Palace effortlessly blends heritage, glamour, and sea-facing serenity for a truly unforgettable escape.
Hotel Address: Reid’s Palace, Estrada Monumental 139, 9000-098 Funchal, Portugal
3. Funchal Cottages
Funchal Cottages redefines luxury among hotels in Madeira Portugal, offering stylish, design-forward villas that blend privacy with artistic flair. Created by Cristina Leitão Abreu and her husband Ricardo, these former ruins are now magazine-worthy retreats. Expect bold décor, suspended infinity pools, yoga lawns, and imaginative touches throughout.
A highlight is the Pirate House, a cliffside two-bedroom villa near Funchal’s old town. With Ligne Roset Togo sofas, recycled door dining tables, and artisan-crafted furniture, it feels like a glamorous castaway’s dream. Whether enjoying fresh tuna from Mercado dos Lavradores or sipping mimosas after Pilates with whales in view, life at Funchal Cottages is pure bliss. Among hotels in Madeira Portugal, few rival this creative, boutique escape.
Hotel Address: Funchal Cottages, Rua Julio Dinis 27, 9060-144, Funchal
4. Casas da Levada
Casas da Levada is a whimsical countryside gem among hotels in Madeira Portugal, designed for families craving nature, adventure, and charm. Created by Joaquim and Maria Helena Abreu, this former ruin near Ponta do Pargo now features six unique lodgings, from cozy studios to a five-bedroom stone house. Expect a self-catering setup with fresh bread delivered daily, eggs and milk on arrival, and rustic-chic decor—think wood burners, patchwork rugs, and floating staircases.
A highlight is the hobbit bar, built by their architect son André, where guests mix drinks while enjoying sunsets through a round doorway. With infinity pools, herb gardens, and resident ducks, nature takes center stage. Casas da Levada offers a refreshing, family-friendly alternative to traditional hotels in Madeira Portugal, perfect for those who love stylish stays wrapped in eco-friendly, storybook surroundings.
Hotel Address: Casas da Levada, Rua da Lombadinha, Corujeira nº 20 Ponta do Pargo, 9385-237
5. Quinta do Furão
Quinta do Furão blends comfort with rustic charm, standing out among hotels in Madeira Portugal. Arriving at night, guests are welcomed by the scent of wood-burning chimneys, while mornings bring the aroma of sweet potato bread from the on-site wood-fired oven. Join Thursday bread-making sessions or enjoy daily activities like wine tasting, poncha-making, and botanical tours. This hotel in Madeira Portugal features a vineyard-surrounded outdoor pool and a cozy restaurant serving hearty dishes like Portuguese chicken and beef skewers.
Refurbished in 2020, its 65 rooms feature dark wood accents, duck egg blue walls, and mint botanical bedspreads, with many offering sea and vineyard views. Ideal for hikers exploring the levadas, Quinta do Furão is both a retreat and an adventure base. Before you leave, visit the nearby Casas de Santana for a touch of traditional Madeira. It’s a stay that’s both scenic and unforgettable.
Hotel Address: Quinta do Furão, Estrada da Quinta do Furão Nº6, 9230-082 Santana, Portugal
6. Saccharum
Saccharum redefines luxury among hotels in Madeira Portugal with its bold brutalist design, wildflower-covered roof, and sugar mill heritage. Located in Calheta, this architectural gem features four pools, a private stony beach, five bars, a yoga deck, and a spa—all wrapped in minimalist, modern indulgence. A chef’s garden, games room, and iconic infinity pool make it a top pick for stylish travelers.
The 196 rooms and suites, designed by Nini Andrade Silva, highlight earthy tones and sugar cane motifs with historical touches. Sea-view rooms offer soothing Atlantic sounds for a restful night. Don’t skip the lavish breakfast buffet with pastries, fresh fruit, omelettes, and health snacks. Whether you stay on-site or hop on the free shuttle to Funchal, Saccharum offers a truly immersive experience in one of the standout hotels in Madeira Portugal.
Hotel Address: Savoy Saccharum Calheta Resort and Spa, Rua da Serra D’Água, nº1, 9370-087 Arco da Calheta, Madeira, Portugal
7. Quinta da Casa Branca
Quinta da Casa Branca is a serene oasis among hotels in Madeira Portugal, blending botanical beauty with historic charm. Once a banana plantation, this boutique gem has been owned by the Leacock family since the 18th century and now combines old-world elegance with modern design. The original whitewashed manor house showcases Venetian chandeliers and antique décor, while the sleek new wing—echoing Frank Lloyd Wright—features glass façades hidden among tropical flora.
Guests enjoy rooms with private terraces, floral prints, and garden views. Explore over 260 plant species, or unwind by two heated pools: one château-style, the other framed by banana trees. Dining at The Dining Room offers a Michelin-level tasting experience, including dishes like duck with berry jus and chocolate pudding with cheese ice cream. Just minutes from Funchal, Quinta da Casa Branca is a tranquil escape immersed in natural splendor.
Hotel Address: Quinta da Casa Branca, R. da Casa Branca 7, 9000-088 Funchal, Portugal
8. 1905 Zino’s Palace
If your idea of romance includes pastel pink palaces and Gothic spires straight out of a Wes Anderson fever dream, then 1905 Zino’s Palace is your perfect match. This picturesque hotel, perched on a hillside in the charming village of Lugar de Baixo on Madeira’s southwest coast, looks like it’s been lovingly crafted to be the backdrop of your romantic escapade. Its sugary pink façade and majestic Gothic spires will make you feel like you’ve stepped into a fairy tale, or at least a very stylish Instagram feed.
As one of the most enchanting hotels in Madeira Portugal, 1905 Zino’s Palace boasts just nine rooms, each a blend of old-world charm and modern comfort. Opt for a room with a four-poster bed and a balcony to enjoy shoulder-dropping sea views that are more swoon-worthy than a rom-com climax. Inside, you’ll find sage green walls, charming floral rugs, and art deco lamps that make you wonder if the interiors were designed by a romance novelist with an eye for detail.
Breakfast at this romantic hideaway is served until 12 pm on a sprawling terrace that offers panoramic views across the ocean and mountains. It’s the perfect setting to enjoy your morning coffee, or to plot how you’ll never leave this slice of paradise. While there’s a small dipping pool and a pebbled shore nearby, the nearby beach at Ponta do Sol is a much better bet for your sunbathing and romantic beach walks.
Hotel Address: 1905 Zino’s Palace, VE3 10, Ponta do Sol, Portugal
9. Savoy Palace
Savoy Palace in Funchal redefines luxury with its cruise-ship silhouette and golden-hued glam. Designed by Nini Andrade Silva, this five-star masterpiece dazzles with golden lights, velvet chairs, and sleek, futuristic flair. Its 309 rooms feature walnut veneer desks, eco-leather walls, and ultra-comfy beds, while pool suites offer wraparound balconies, in-suite treats, and access to an exclusive lounge. Dining reaches new heights at Galáxia Skyfood with panoramic views, and Pau de Lume adds a casual, industrial twist.
The Laurea Spa, inspired by Madeira’s Laurissilva forest, is a sanctuary of steam rooms, saunas, mint-scented showers, and tranquil design. Whether you’re sipping cocktails by the infinity pool or indulging in a forest-inspired spa treatment, Savoy Palace effortlessly balances opulence and innovation. With breathtaking sea views and award-winning amenities, it’s no wonder this standout among hotels in Madeira Portugal continues to impress travelers seeking style, comfort, and unforgettable experiences.
Hotel Address: Savoy Palace, Av. do Infante 25, 9004-542 Funchal, Portugal
