4 reviewed party hostels · from €21.26/night · Hostelworld rated
Albufeira is the Algarve's answer to a proper beach party town, and it doesn't pretend to be anything else. The Old Town's Rua Cândido dos Reis fills up every night of the week in summer, with bars spilling onto the cobblestones and the noise carrying well past 3am. The Strip, a purpose-built nightlife corridor a couple of kilometres north, is where things get properly chaotic. think foam parties, live DJ sets, and clubs that don't wind down until sunrise. The hostel scene here is small but well-suited to solo travellers and groups chasing a good time. Orange Terrace Hostel has become the go-to for backpackers who want a social base without paying resort prices. Dorm beds in peak season typically run €20–€35 a night, which is reasonable given how much competition there is for budget beds in high summer. Beaches are a short walk from most hostels, so the formula is simple: beach by day, Rua Cândido by night.
Rated by Hostelworld score · Prices per dorm bed per night
Fun party hostel with amazing staff that organizes great tours and activities for all the guests. Enjoy boat trips, kayaking, see the caves and swim with the dolphins. In the late afternoon, chill with other travellers in one of several cool common areas. When the night finally comes, explore crazy party area of Albufeira, only 2 minutes' walk from the hostel.
Family owned social hostel with a huge open terrace and BBQ facilities. This part of the hostel is a perfect spot for playing drinking games during the hot summer evenings. Surrounded by the amazing landscape, the hostel is highly-recommended for all the nature lovers. The on-site restaurant serves super tasty food and gathers all the travellers looking to meet new people.
Sun Lovers Hostel dominates Albufeira's party scene with its spectacular rooftop pool that doubles as the ultimate social hub, complete with a dedicated lounge bar hosting epic evening events. Located just 200 metres from Old Town's legendary party street, this brand-new haven delivers non-stop entertainment from beer pong tournaments to karaoke nights. The rooftop restaurant and breakfast café ensure you're perfectly fuelled for another day of beach-to-bar adventures in Portugal's party capital.
Orange terrace hostel has a cool hippie style and great atmosphere. The spacious sunny roof terrace features a nice bar with a wide selection of drinks. Here, you can enjoy sunsets and happy hours with other guests. In the evening, go for a pub crawls in the old town’s party area, 5 minutes' walk from the hostel. Free breakfast included.
Organised nights out with a local guide
A nightly pub crawl that takes groups through the best bars of the Old Town before finishing at one of The Strip's main clubs. The crawl typically covers four or five venues, with free shots and drink discounts included at each stop. It's run by English-speaking guides and is a reliable way to meet other travellers.
How Albufeira's nightlife zones break down
The original heart of Albufeira, built into the clifftop above Praia dos Pescadores. Rua Cândido dos Reis is the main bar street, lined with venues that open early and stay busy until the early hours. Most backpacker hostels, including Orange Terrace, are within this area or a short walk from it.
Avenida Francisco Sá Carneiro, about 2km north of the Old Town near Praia da Oura, is where Albufeira's biggest clubs are concentrated. Kiss Club and Liberto's both sit here, along with dozens of bars, late-night food spots, and souvenir shops. It's purpose-built for nightlife and doesn't have much daytime appeal.
The residential and mid-range hotel district that sits between the Old Town and The Strip. It's quieter than either of those areas and hosts a handful of local restaurants and supermarkets on Rua António Cândido. Useful to know if you want cheaper food options between nights out.
Where the hostel pub crawls end up, and where to go on your own
Albufeira's most famous club and the anchor of The Strip's late-night scene. It holds thousands of people across multiple floors, with commercial house and R&B the dominant sounds. It rarely gets going before 1am and runs until well after 5am on peak nights.
An open-air club that's been a fixture on The Strip for decades, which means the layout is a bit dated but the atmosphere more than makes up for it. The pool parties in the afternoon are genuinely good fun, and it transitions into a full nightclub after dark. House and commercial dance are the standard soundtrack.
One of the best bars in the Old Town, sitting just off the main square on Rua Cândido dos Reis. It's a proper bar rather than a club, with cold beer, a chatty crowd, and outdoor seating that fills up by 10pm. Good spot to start the night before heading to The Strip.
Perched above Praia de Evaristo, about 5km west of the centre, this bar is the place to catch a proper Algarve sunset over a cocktail. It gets busy with both locals and tourists in the early evening. Worth the taxi ride for the setting alone, then head back into town afterwards.
A mid-size club on The Strip that plays a mix of chart music and Eurodance, which keeps the dancefloor moving from midnight onwards. The drinks deals earlier in the night make it a popular stop on most pub crawl routes. Less overwhelming than Kiss Club if you want something a bit more manageable.
A tiny, no-frills bar tucked into the Old Town's backstreets that's been serving cheap shots and cold Super Bock to travellers for years. It's the kind of place where you go for one drink and leave two hours later having made a dozen new friends. Gets packed from around 11pm.
A rooftop bar in the Old Town with views over the beach and coastline. Cocktails run €8–€12, which is steep, but the location earns it. Popular for the early evening golden-hour crowd, and it stays open late into the night at weekends.