We are planning a trip next year about this time, flying in and out of Lisbon and hoping to choose a town or two in the Algarve area as well as spending time in Lisbon, and perhaps the Douro valley region. We will likely stay between 16 and 18 days and plan to have a rental car. We enjoy good food and wine and walking and exploring various cities/towns etc. We always try to pay special attention to our accommodations. So here is my ask: can anyone who has stayed in any towns in the above areas please tell me about a really special place with wonderful people, where you would go back to in a heartbeat and recommend to, your friends. (Clean, quiet and comfy beds are non-negotiables).We were in Lisbon a little over a year ago and stayed at Palácio Príncipe Real. It’s a small boutique property and a beautiful walking area. The owners are lovely. It is rated number one “boutique hotel” on Tripadvisor. And has a rating of 4.9 on google. We know we can’t duplicate this experience everywhere we go, but certainly the bar is always set pretty high. Our aim is to stay below 500 €, unless the place you are recommending is once in a lifetime experience. Anyway, sorry for the long post. Thank you so much to anyone who can help.

Occasionally we have stayed in Pousadas which are historical buildings (convents, monasteries, etc) that have been converted into hotels, there are several throughout Portugal.
https://www.pousadas.pt/en

The most luxurious hotel in stayed in Portugal was the Palacio de Seteais Hotel located in Sintra.
https://www.valverdepalacioseteais.com/en/

In Coimbra we stayed at La Quinta de las Lagrimas, historic and part of the legend of King Pedro and his lover Inés. This is a beautiful property.
In Evora,Pousada de Convento de Evora, is lovely.
Porto- Infante de Sagres, wonderful, great service too.

In Lisbon, the Hotel Avenida Palace is wonderful.
Amazing customer service, and the best breakfast buffet we've ever had.
https://www.avenidapalace.com

We found the Alentejos has the most vibrant wine scene, while Douro the most trad.
What time of year are you going?
What are you seeking in the Algarve?

thanks for the information. Bilboburgler, We are planning on going in January or February of next year. Already I’m noticing many places in the Algarve seem to be closed during that time. as far as what we are looking for in the Algarve, we know it will be too cool to be a beach holiday, but just enjoy exploring some small interesting towns, and we find if we stay at places where there is some mingling with the hosts and other guests, that’s a bonus. that’s why we prefer smaller places that we really get extra enjoyment out of our trips as a social experience too.😀

Minas de Săo Domingos, in Alentejo. That place was magical to me!

I can second the Hotel Avenida Palace in Lisbon!

Have a look at the Horta da Moura, a lovely country hotel near the beautiful hill village of Monsaraz in the Alentejo.

HORTA DA MOURA - HOTEL, ALENTEJO, ALQUEVA

Quinta das Lagrimas in Coimbra, the 12th century former Augustine Convent Pousada Mosteiro high above the city in Guimarăes, Minho, the Pousada de Viana do Castelo, also in the Minho high above the city on the Santa Luzia hill, the 13the century Pousada Castelo de Estremoz Rainha Santa Isabel in the Alentejo and the Paraiso Escondido Living in Harmony, a charming rural retreat near the Alentejo coast.
For Lisbon, the Olissippo Lapa Palace in the embassy section, Lapa, of Lisbon, an urban oasis, a luxury retreat, oozing with traditional Portuguese charm, right down to the beautiful collection of porcelain and Arriaolos carpets.
For Porto, the Infante Sagres.

Where I haven't stayed but would love to stay: The Yeatman in (Vila Nova de) Gaia, across the river from Porto and Sintra's Palacio de Setais (a former Tivoli and now a Valverde hotel, as in Lisbon's Hotel Valverde on the Avenida da Liberdade).