Where to Stay in Madeira, Portugal: 6 Best Areas & Hotels

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Wondering where to stay in Madeira? You’re in the right place!

Madeira is relatively small, but it boasts a very varied landscape, so choosing the right base really matters here. If you stay in Funchal, you’ll have restaurants, tours, and transport on your doorstep, but if you head west, you’ll enjoy sunshine and a slower pace of life. Meanwhile, those who go north will find the dramatic and untamed side of the island, with lush scenery, misty mountains, and rugged coastline. 

To make this easy, I’ve rounded up the six best areas to stay in Madeira, plus hotel picks for every budget in each one. Let’s get into it!

Overview of the Best Areas to Stay in Madeira

If you’re only in Madeira for a few days, Funchal is the easiest place to base yourself. This is where most island tours depart from and where you’ll find the main public transport hub, so getting around without a car is very doable. Buses run to popular viewpoints and levada hikes, and day trips are simple to organize from here.

With that being said, Madeira isn’t a one-size-fits-all island. If you’re renting a car, you’ve got a lot more freedom to stay elsewhere, especially along the sunny southwest coast in places like Ponta do Sol, or even up on the north coast if nature is your main priority. Having a car makes it easy to explore at your own pace and access more remote areas.

• Funchal (Zona Velha) – Best for first-time visitors – This historic area is a convenient stay for those who are short on time, but still offers old charm and sights. Sé Boutique Hotel offers a stylish and well-priced stay.

• São Martinho – Best for a quiet, central stay – Technically part of Funchal, but a little out of the city center, this offers a convenient yet tranquil stay. Pestana Promenade Ocean Resort Hotel is a laid-back seaside hotel with direct access to the promenade.

• Calheta – Best for families & resort stays – Full of resorts, with man-made beaches and lots of sunshine. It’s a lovely, relaxed vibe with boat adventures and water activities. Hotel Jardim Atlantico is a peaceful hillside stay with easy access to beaches and walking trails.

• Ponta do Sol – Best for a relaxed beach getaway – This small and historic seaside town on the Southwest coast is our top pick for beach lovers. Enotel Sunset Bay is a comfortable seafront hotel right by the water.

• Caniço / Southeast Coast – Best for a convenient stay – Caniço sits between the airport and Funchal, so in terms of convenience, you can’t beat it! Sentido Galosol is a lovely beach resort that won’t break the bank.

• North Coast – Best for nature lovers – If you’re looking for an outdoor escape, the North Coast is full of rugged scenery and lush vegetation, but you’ll definitely need a rental car. Solar de Boaventura is a charming hotel surrounded by excellent hiking trails.

Where to Stay in Madeira, Portugal

Funchal (Zona Velha)

BEST FOR FIRST-TIME VISITORS

Pros

• Most convenient base for tours and public transport
• Walkable for restaurants, sights, and the waterfront

Cons

• Can feel busy in peak season
• Parking is a headache if you have a car

Funchal’s Zona Velha is the best place to stay if it’s your first time in Madeira. This is the city’s historic old town, and it puts you right in the middle of the action. You’re close to the waterfront, Sao Tiago Castle, the cathedral, and a great mix of restaurants that range from traditional Madeiran spots to more modern wine bars. In the evenings, the area feels lively and social, but it’s not rowdy, so it’s easy to wander around and choose somewhere to eat on a whim.

One of the most significant advantages of staying in Zona Velha is its convenience. If you’re not renting a car, this is by far the easiest base. Central Funchal is the island’s main transport hub, and most guided tours offer pickups from hotels in or around the old town. Sightseeing is also easy to do on foot. You can explore the Mercado dos Lavradores, stroll along the promenade, or hop on the cable car up to Monte without needing transport.

Zona Velha is ideal if you’re short on time and want everything close by. It’s also a convenient base for day trips to the west, the mountains, and popular levada walks.

TURIM Santa Maria Hotel – $$$

TURIM Santa Maria Hotel is a sleek, modern option right in the heart of Funchal’s old town. The biggest draw here is the location. You can walk out the door and be surrounded by Zona Velha’s restaurants and wine bars within minutes, which is ideal for evening exploration. 

Despite its central location, the hotel itself feels calm and quiet. The style is minimalist and contemporary, and we think it’s handy for those who want comfort without being tied to a resort. If you’re keen to sightsee during the day and enjoy social evenings in town, this is a really great base! Rooms start from €350 per night.

Check availability and book your stay here!

If TURIM Santa Maria Hotel is fully booked, Quinta Jardins do Lago is a classic, elegant option set in lush gardens, while PortoBay Santa Maria is another strong pick in the old town with a slightly more resort-style feel.

Sé Boutique Hotel – $$

Sé Boutique Hotel is a central and friendly spot that’s close to the cathedral and the waterfront, so you do most of your sightseeing on foot. The style is modern with a bit of personality, and we like the fact that it feels more intimate than a big resort.

This is a great pick for first-time visitors who want to stay central without paying luxury prices. If you’re planning to join tours and eat out most nights, we think that Sé makes a great base.

Expect to pay around €225 for a double room here during peak season.

See all room categories and book your stay here!

If Sé Boutique Hotel is fully booked, Esmeralda Holidays Apartments are a good option if you’d prefer apartment-style accommodation with more space, while Barceló Funchal Oldtown is a newer hotel in a similarly central location with a gorgeous rooftop pool.

Funchal Design Hotel – $

Funchal Design Hotel is a good budget pick if you care more about location than fancy extras. It’s comfortable, well-placed, and easy to get around, which is exactly what you want if you plan to be out exploring for most of the day anyway! 

It’s especially handy for shorter stays when you want a straightforward base close to the city center. If you like the idea of staying central but keeping costs down, this is a dependable option.

Prices typically start at around €150 per night, including breakfast.

Find the best prices over at Booking.com!

If Funchal Design Hotel is sold out, the Apartamentos Turisticos Atlantida are a solid alternative in a central location, and Ferreiros 184 is another homely apartment option nearby.

São Martinho

BEST FOR A QUIET CENTRAL STAY

Pros

• Calmer than central Funchal, with a more relaxed vibe
• Great for seaside walks and resort-style stays

Cons

• Less character than the old town
• You’ll rely more on transport for top sights

São Martinho is a great compromise if you want to stay near Funchal but not right in the busy core. It’s technically part of the wider Funchal area, but it feels more resort-like – in fact, it’s often called either the “lido end” or “hotel zone”. 

The big draw here is the seafront. We love being able to head out for a stroll along the promenade and enjoy all of the cafes, while still being just a short bus ride away from the hustle and bustle of the old town.

We think that this area suits travelers who want a calmer base at the end of the day. It’s also a good pick if you’re looking at a longer stay and want a little more breathing room.  There are lots of larger hotels and ocean-facing properties here, so if you’re coming to Madeira for a relaxing vacation, this area will suit you down to the ground. 

You won’t get the same historic feel as Zona Velha, and you’ll probably use buses or taxis more, but if you’re looking for a more peaceful, holiday vibe, then we think that the trade-off is well worth it. If your Madeira plan is equal parts exploring and switching off, São Martinho offers the best of both worlds! 

The Cliff Bay – PortoBay – $$$

The Cliff Bay is one of Madeira’s most established high-end hotels. It’s set on a clifftop just west of central Funchal, so the location alone makes this place pretty spectacular. You get wide ocean views and a quieter setting, while still being close enough to head into the city for dinner or go sightseeing without too much travel time involved.

The atmosphere here is refined, and there’s even a Michelin-starred restaurant on site! We also have to give a shoutout to the gorgeous spa, which features a lovely Turkish bath and a very indulgent treatment menu. All in all, this 5-star hotel is the perfect choice if you’re planning a vacation where you mostly want to rest, recharge, and enjoy some gorgeous scenery. 

Rooms here typically start at €330 per night, which isn’t bad considering its level of luxury!

Read the glowing reviews and book your stay here!

Cliff Bay is very popular, so if it’s fully booked for your dates, VidaMar Resort Hotel Madeira is a larger beachfront alternative with a sleek, contemporary feel, and Pestana Vila Lido Madeira Ocean Hotel is another spacious seafront resort with a huge infinity pool overlooking the ocean.

Pestana Promenade Ocean Resort Hotel – $$

Pestana Promenade Ocean Resort Hotel is a lovely 4-star resort right along Funchal’s seafront promenade. It’s a great choice if you’re looking for amenities and a big swimming pool to relax by, but are looking for something at a more modest price point.

The hotel has a comfortable, resort-style setup, but it’s not too flashy. There’s a seafront pool, a lovely spa, and a stylish restaurant that serves fresh local seafood, so you’ve got everything you need for a chilled-out and comfortable stay. 

Rooms here typically start around €220 per night during peak season, including breakfast.

Check availability and book your stay here!

Pestana Promenade is popular, so if it’s fully booked for your dates, Melia Madeira Mare is another solid seafront option nearby, while Vila Baleira Funchal offers a slightly quieter alternative in the same general area.

Apartamentos Turísticos Paraíso – $

Apartamentos Turisticos Paraiso is a sleek and practical budget option in São Martinho. It’s a smart choice if you want simple accommodation with a good location, especially if you enjoy self-catering. Staying here means you’ll enjoy a coastal location, but it also makes it easy to keep costs down. You’ll be within easy reach of central Funchal by taxi or bus, and be just a 15-minute bus ride from the large Formosa beach. 

Double or twin rooms start from around €100 per night, but full apartments are also available.

See all options and book your stay here!

If Apartamentos Turisticos Paraiso is fully booked, Golden Residence Hotel is a larger resort-style alternative nearby with a clifftop setting, while Terrace Mar Suite Hotel is a more affordable alternative in the same area with a rooftop pool and easy access to the lido promenade.

Calheta

BEST FOR FAMILIES OR RESORT STAYS

Pros

• One of the sunniest parts of the island 
• Sandy beaches
• Lots of boat trips and water sports on offer

Cons

• Very limited nightlife
• You’ll need a rental car! 

Calheta is one of the sunniest parts of Madeira and one of the few places on the island where you’ll find sandy beaches! For this reason, it has a relaxed, holiday-town feel and is especially popular with families and travelers who want to spend more time by the water. The marina is the center of activity here, and it’s well set up for easy days out, whether that’s a dolphin and whale watching cruise, or just a chilled out afternoon of sunbathing by the sea. 

This area also works particularly well if you’re renting a car. Calheta is well positioned for exploring the west side of the island, with scenic coastal drives, viewpoints, and levada walks all within easy reach. Despite being a good base for getting out and about, the town itself still feels calm and contained. You’re coming back to a place that feels like a proper holiday base rather than a busy city.

Evenings in Calheta are quiet, with a limited restaurant scene and very little nightlife. But if your Madeira trip is focused on sunshine, space, and an easy pace, this is exactly what makes Calheta such a great choice.

Calheta Beach – $$$

Calheta Beach is a large beachfront resort located right by the marina, and it’s ideal if you want everything in one place. The all-inclusive setup makes this especially appealing for families who don’t want to think too hard about meals and planning during their stay!

The location is excellent for beach time and boat trips. It also works well as a base for exploring the west of the island if you’ve rented a car, though many guests are just as happy staying put and enjoying the resort facilities.

Rooms here typically start around €300 per night during peak season.

Check availability and book your stay here!

If Calheta Beach is fully booked, Socalco Nature Calheta offers a boutique stay nearby, while Quinta das Vinhas is a charming vineyard property with a quieter and more rural feel.

Hotel Jardim Atlântico – $$

We like Hotel Jardim Atlantico because it offers a calmer alternative to Calheta’s beachfront resorts. It’s set slightly above the coast, which gives it a quieter, more open feel and lovely views over the surrounding landscape. This is a great option if you want to be surrounded by nature and gorgeous scenery, and prefer peace and quiet to busy resorts.

Rooms typically start around €150 per night, or around €220 for a sea view bungalow with a private terrace.

You can check availability and book your stay here, including breakfast!

If Hotel Jardim Atlantico is booked, Les Terrasses Suites are a good alternative nearby with an apartment-style setup, while Calheta Glamping Pods offer a unique, eco-chic stay in a similar area. 

Boutique Hotel Jardim Do Mar – $$

Boutique Hotel Jardim Do Mar is a small, personal hotel located in the seaside village of Jardim do Mar, just south of Calheta. This is a lovely option if you’re looking for something that feels more local, with the ocean right on your doorstep and a noticeably slower pace of life.

We think that this hotel is best suited for those who want a quieter Madeira experience, away from the big resorts. It feels quiet and remote, and nothing beats waking up to endless ocean views if you ask me! This is the perfect place to get off the grid, soak in local culture, and recharge your batteries without spending a fortune.

Rooms generally start from around €160 per night.

Check availability and book your stay here!

In case Boutique Hotel Jardim Do Mar is all booked up, Marina Rooms offer a simple and well-located alternative nearby, while The Rum Inn is friendly, full of character, and just a few minutes’ walk from the sea.

Ponta do Sol

BEST FOR A RELAXED BEACH GETAWAY

Pros

• Sunny, relaxed vibe with a small-town feel
• Great base for the southwest coast

Cons

• Limited restaurant choice compared to Funchal
• Limited public transport connections to the rest of Madeira 

Ponta do Sol is one of Madeira’s prettiest seaside towns, known for its calm atmosphere and small, historic center. The town is compact and walkable, with a short stretch of beach and colorful buildings facing the bay. Everything is close together, which makes it easy to get around and explore! 

One of the biggest reasons people choose Ponta do Sol is the weather. The southwest coast gets some of the best sunshine on the island, so it’s a great choice if beach time is high on your list of priorities! The beach is small but pleasant, and it’s a nice place to spend a few hours sunbathing by the water.

There’s also very little nightlife here, but that’s part of the appeal. This isn’t a place to party. It’s where you come to relax and recharge, and we think it’s a great pick for families and couples.

You can stay here without a car, but exploring beyond the town itself will definitely take a bit more effort than it would in Funchal. If you want to visit other parts of the island, you’ll need to rent a car, but if you don’t mind that, then Ponta do Sol is actually very well located for exploring the southwest coast and heading inland for hikes and viewpoints. 

1905 Zino’s Palace – $$$

1905 Zino’s Palace is a beautifully restored historic hotel overlooking Ponta do Sol. It feels intimate and elegant, with a setting that immediately sets it apart from more modern hotels. This is a great option if you want your accommodation to be more than just a place to sleep! This hotel pairs perfectly with Ponta do Sol’s calm, laid-back vibe and offers something a little more elevated without being flashy.

Rooms here typically start around €300 per night during peak season.

You can check availability and book your stay here!

1905 Zino’s Palace is a popular option thanks to its unique, historic setting. If it’s fully booked, Dazkarizeh73 is a stylish boutique alternative nearby with a similarly peaceful feel.

Enotel Sunset Bay – $$

Enotel Sunset Bay is a comfortable mid-range hotel located right by the water in Ponta do Sol. The location is the biggest selling point here. You’re steps from the beach and waterfront, and everything in town is within easy walking distance.

The hotel itself is straightforward and easy to settle into, making it a good choice if you want sea views without paying luxury prices. We think it works well for travelers who plan to spend most of their time out exploring but still want a well-located base to return to at the end of the day.

Rooms typically start around €200 per night during peak season.

Check availability and book your stay here!

If Enotel Sunset Bay is booked, Casa Pereira is a good-value alternative nearby with a more local, guesthouse-style feel.

Villa Alto Boutique Hotel – $

Villa Alto Boutique Hotel is a simple, budget-friendly option just outside Ponta do Sol. It’s best suited to travelers who plan to be out exploring most of the day and don’t need many on-site amenities.

This hotel works particularly well if you’re road-tripping the island and want a quieter overnight base on the southwest coast. It’s comfortable, low-key, and a practical choice if you’re looking to keep costs down while staying in a peaceful area.

Rooms here generally start from around €150 per night.

Check availability and book your stay here!

Related Read: If you need help planning the rest of your trip, see our 5-day Madeira itinerary for a seamless visit!

Caniço / Southeast Coast

BEST FOR CONVENIENCE

Pros

• Convenient location between the airport and Funchal
• Good base for outdoor and water activities

Cons

• Less character than other areas
• Very quiet in the evenings

Caniço is a practical and well-located area on Madeira’s southeast coast, sitting neatly between the airport and Funchal. Now, I know that practical doesn’t always scream “exciting,” but Caniço is a really good choice if you’re short on time. It’s super easy to get around when you stay here, as you’re close enough to Funchal to benefit from easy access to top sights and restaurants, but the Southeast coast is also known for its excellent snorkeling and diving! Plus, it has the legendary Miradouro do Cristo Rei overlook.

With that being said, Caniço doesn’t have the same charm as Madeira’s more historic towns. Nightlife is also pretty limited, although you could easily hop in a taxi to Funchal if you’re looking for a livelier evening atmosphere. 

However, what Caniço does offer is a ton of convenience and a calm atmosphere. Being close to the airport makes departures and arrivals much less stressful, especially if you’ve got an early flight! To be honest, it’s not somewhere you’d stay for the atmosphere alone, but it does make everything feel straightforward and easy. If you’re just looking to spend a few days exploring Madeira’s underwater world, then we think that this area is a strong contender. 

Quinta Splendida Wellness & Botanical Garden – $$$

Quinta Splendida is set within large botanical gardens, giving it a peaceful, retreat-like feel despite being close to the airport and Funchal. The setting is the main draw here, especially if you want greenery and quiet as part of your stay.

This hotel suits travelers who want to build rest and downtime into their trip, while still being well-positioned for day trips around the island. Rooms typically start around €250 per night during peak season.

Check availability and book your stay here!

If Quinta Splendida is fully booked, Albatroz Beach & Yacht Club is a more upscale beachfront option closer to the airport, while Casa Velha do Palheiro Relais & Châteaux offers a refined stay set within beautiful gardens.

Sentido Galosol – $$

Sentido Galosol is a mid-range hotel with a strong focus on wellness and outdoor activities. It’s located close to the water and works particularly well if you plan to spend a lot of time swimming, walking, or staying active during your trip!

The hotel boasts two swimming pools, a well-equipped gym, and even spin classes for guests! We also love the sea view restaurant, but even the sauna has sea views here – how cool is that?

Rooms typically start around €190 per night during peak season.

Check availability and book your stay here!

If Sentido Galosol is booked, The Views Oasis is another popular option nearby with a resort-style feel, while Ocean Gardens offers a quieter stay with sweeping ocean views.

Hotel Solar Bom Jesus – $

Hotel Solar Bom Jesus is a simple and affordable hotel located in Santa Cruz, close to the airport. It’s a practical choice if you’ve got a late arrival, an early departure, or just want to stay somewhere convenient without spending much. It has a small pool, a gym, and breakfast is included. 

This hotel is a great pick for short stays and overnight stops, especially if you’re road-tripping the island and need an easy base. You can also sit and watch the planes come in as you sunbathe by the pool, which I think is pretty cool. 

Rooms generally start from around €90 per night.

Check availability and book your stay here!

If Hotel Solar Bom Jesus is fully booked, Santa Cruz Village Hotel is a comfortable alternative nearby, while Vila Galé Santa Cruz is another well-located option close to the airport.

North Coast

BEST FOR NATURE LOVERS

Pros

• Lush scenery and some of the most dramatic landscapes on the island
• Quieter and less touristy

Cons

• Rainier and cooler than the south
• A car is essential

Madeira’s north coast feels completely different from the south! It’s greener, more rugged, and noticeably wilder. We love this area for its dramatic cliffs and pretty waterfalls, and there’s lush vegetation pretty much everywhere you look. We think it’s the perfect part of the island for hiking enthusiasts and lovers of the great outdoors.

The north coast is home to some of Madeira’s most striking natural sights, including the famous lava pools in Porto Moniz and several excellent levada walks. Towns and villages here feel quieter and more spread out, so renting a car is pretty much essential. I’ll tell you what, though, driving along those misty mountain roads is really an experience in and of itself! 

That said, the north coast isn’t the most convenient area to stay. The weather is cooler and wetter than in the south, distances take longer than you expect, and public transport is limited. But if you’re happy to trade convenience for scenery and solitude, the north coast offers a side of Madeira that feels lush and raw. It’s a world away from the resort towns!

Solar de Boaventura – $$

Solar de Boaventura is a charming rural stay surrounded by greenery and mountains. This is a great choice if you want to be fully immersed in nature and don’t mind being a little removed from the main coastal towns.

The setting is quiet and peaceful, and it works especially well for hikers or travelers planning to spend a lot of time exploring levada walks and mountain roads. Make sure to check out Miradouro Beira da Quinta while you’re here! It’s the sort of place you come back to after a long day outside, rather than somewhere you stay to enjoy the amenities all day long. Saying that, there is a lovely spa on site, which is perfect for soaking sore muscles after all of that outdoor exploration.

Rooms here typically start around €150 per night during peak season.

Check availability and book your stay here!

If you find that Solar de Boaventura is fully booked for your dates, Hotel Euro Moniz is a good alternative closer to the coast and the natural pools, while Pestana Quinta do Arco Nature & Rose Garden Hotel offers a similar mountainside setting and tons of space.

Casa da Capelinha – $$

Casa da Capelinha is a charming hotel located near the coast in the north of Madeira. It’s a good middle ground if you want access to scenery and outdoor activities without staying somewhere completely remote. It doesn’t try to be fancy, but it has a certain rustic charm. It’s also well located with two pools, a bar, a restaurant, and free parking, so you’ll have everything you need for an enjoyable stay. 

Rooms typically start around €140 per night.

You can check availability and book your stay here!

If Casa da Capelinha is booked, Estalagem do Vale is another solid option, a bit further inland with a traditional feel, while North View Guesthouse offers a clean, modern stay with some serious views right nearby. 

Hotel Costa Linda – $

Hotel Costa Linda is a simple budget stay that’s ideal if you’re spending most of your days outdoors. It’s best for travelers who want an affordable base in the north and don’t need a lot of extras. It’s simple and homely, and it offers ocean views and a small outdoor pool for when you need to cool off in between adventures. The staff are super friendly, and the property is in a quiet spot, so it’s a great place to rest between outdoor adventures on the North Coast.

Sea view rooms start from just €80, although there is a 2-night minimum stay.

Find out more and book your stay here!

Since Hotel Costa Linda is such a great value stay, it does fill up fast. If there’s no availability left for your dates, we think that Ocean Garden is a good-value alternative nearby. Gardens Guest House is another good choice with a friendly, local feel and fantastic views.

Top Activities to do in Madeira

Now that you’ve picked out the perfect area to stay in and your favorite hotel, you can start filling in your itinerary! There is too much to do in Madeira, truthfully. So picking out the right activities to maximize your time is essential! Here are some great tours that hit the highlights, leaving plenty of time for lazy beach days.

• Take a Jeep to Madeira’s best sights – Explore the northern coast on this exhilarating Jeep tour! This made it easy to see Porto Monix, Fanal Forest, and Cabo Girão Skywalk, among other epic sights.

• See whales and dolphins – This wildlife spotting cruise is another kind of fun! It’s an immersive way to see dolphins, whales, and other sea critters and learn all about Madeira’s stunning landscape.

• Go canyoning – If exploring rugged gorges, abseiling waterfalls, and sliding down natural rock slides sounds like fun, check out this canyoning adventure! While it is certainly adventurous, it’s beginner-friendly, and the guides are great at making you feel safe so you can focus on the fun.

• Taste your way around Funchal – This food tour in Funchal was a fun change of pace and made it easy to find the tastiest spots! Since we aren’t experts in Portuguese, exploring with a local and trying delicious local dishes was so helpful.

• Go on a sunrise hike – This self-guided Pico do Arieiro hike was absolutely perfect! We weren’t keen on driving and searching for a trailhead before the crack of dawn, so this tour provided pickup and transfers, leaving the hiking at our own pace. Just how we like it!

Related Read: Looking for more fun activities? Check out our best things to do in Madeira blog for more can’t-miss adventures!

Renting a Car in Europe

Exploring Europe by car is a fantastic way to uncover hidden gems—think charming villages, scenic countryside, and off-the-beaten-path spots that trains and buses might miss. Driving here is generally straightforward, but it’s good to be prepared for some regional quirks.

We always use Discover Cars to book our rentals and can’t recommend them enough. It’s super easy to compare prices, check company ratings, find automatic cars (which can be tricky in Europe!), and add affordable full coverage insurance. If you want a full breakdown, check out our Discover Cars review here.

Tips for Renting a Car in Europe

• Know the local rules: Most countries drive on the right, except the UK, Ireland, Cyprus, and Malta. Road signs and driving laws can vary, so do a quick check before you go.
• Practice defensive driving: In parts of Europe, especially in the south, driving can feel fast-paced and a little unpredictable. Make sure you stay alert and keep a safe following distance.
• Insurance is essential: I highly recommend adding full coverage insurance to your rental. Whether it’s a parking lot ding or a chipped windshield on a mountain road, full protection gives you peace of mind. Plus, it’s super affordable through Discover Cars!
• Pick the right vehicle: Most rentals in Europe are manual, and automatic cars are limited, so book early if that’s what you need. A compact car is also ideal for narrow roads and tight parking. On Discover Cars, you can easily filter for everything you need.
• Watch for restricted zones: Many cities have low-emission or restricted traffic zones. Driving into these without a permit can result in fines, so always check local rules if you’re heading into a city center.
• Be prepared for border crossings: While crossing borders is usually easy within the Schengen Zone, some rental companies require you to declare your travel plans in advance. Always check with Discover Cars if you’re planning to drive into another country.

What You Need to Rent a Car in Europe

• A valid driver’s license from your home country.
• If you’re from outside the EU, an International Driving Permit (IDP) is recommended—and in some countries, it’s legally required.
• A credit card in the driver’s name is typically needed for the security deposit.
• Most rental companies require drivers to be at least 21 years old. If you’re under 25, expect a young driver surcharge—and in some countries, the minimum age may be higher.

Ready to hit the road? Book your car with Discover Cars here and discover the freedom of exploring Europe on your own terms!

Thanks for reading!

Madeira is truly a bucket list destination, but choosing the right place to stay is essential! If you’re looking for a beach getaway, access to the rugged outdoors, or want to maximize your time and go for convenience, you’ll find it here. Be sure to book your favorite hotel in advance, as word’s getting out about how amazing this island is and you don’t want to miss out!

If you need help planning more of your travels, see all of our Europe blogs. We love sharing our favorite places and experiences, as well as tips and tricks for stress-free travel with fellow adventurers. Here are a few related blogs to inspire your next destination – cheers!

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