Portugal is renowned for Lisbon, Porto, and the Algarve — but beyond these hotspots lie small, charming cities that offer an authentic taste of Portuguese life. These underrated cities in Portugal provide fewer crowds, lower prices, and deeper cultural connections. Whether you’re seeking coastal serenity, vineyard adventures, or historical flair, this guide reveals five hidden gems worth exploring.
Why Explore Portugal Beyond the Tourist Hotspots?
Venturing off the beaten path in Portugal opens the door to experiences untouched by mass tourism. You’ll find genuine hospitality, unique traditions, and a slower pace that lets you savor every moment. In many of these places, accommodation can cost as little as €40 per night, giving you excellent value without sacrificing comfort. Plus, you’ll support local economies and discover a side of Portugal that most tourists miss.
1. Estremoz – The Marble City of Alentejo
Located in Portugal’s Alentejo region, Estremoz is a picturesque town often overlooked by travelers. It is famous for its white marble — over 90% of Europe’s marble originates here. Walking through Estremoz, you’ll notice even sidewalks and fountains adorned with this stone.
The town is crowned by a 13th-century castle, now a hotel where you can stay and enjoy panoramic views. Estremoz is also known for its vibrant Saturday market, artisan pottery, and nearby wineries. The surrounding plains offer scenic drives and historical villages like Vila Viçosa and Borba.
Why it’s underrated: It’s packed with history and elegance but rarely crowded, even in peak season.
2. Olhão – A Coastal Charmer in the Algarve
Just east of Faro lies Olhão, a fishing town full of life and character. While much of the Algarve is bustling with tourists, Olhão maintains its traditional soul. The town boasts a colorful waterfront promenade, fresh seafood markets, and Moorish-inspired architecture reflecting its North African roots.
From the marina, you can take a ferry to the pristine islands of Ilha da Armona and Ilha da Culatra, part of the Ria Formosa Natural Park. These islands feature peaceful beaches, crystal-clear waters, and a lack of cars — perfect for a tranquil escape.
Travel tip: Visit Olhão in May or June to enjoy sunny days without the high-season crowds.
3. Cabeção – Wine, Nature, and Tranquility
If you’re craving nature and wine, Cabeção in Alentejo delivers both. This small town is a hidden paradise for ecotourism and oenophiles. It’s surrounded by dense forests, peaceful lakes, and the Raia River — ideal for kayaking, fishing, and hiking.
Cabeção is home to traditional wine producers that still use clay amphorae (talhas) for fermentation — a practice dating back to Roman times. You can tour the wineries, taste local blends, and learn about ancient winemaking techniques.
Why visit: Cabeção is a quiet, affordable retreat where you can immerse yourself in nature and local traditions.
4. São Martinho do Porto – A Bay Town with a Family Feel
Located on Portugal’s Silver Coast, São Martinho do Porto is a favorite among Portuguese families, yet largely unknown to foreign tourists. The town features a unique horseshoe-shaped bay that creates calm, shallow waters — perfect for swimming and paddleboarding.
Stroll along the boardwalk, enjoy seafood at beachfront restaurants, or explore nearby towns like Alcobaça and Nazaré. In summer, the town buzzes with activity, yet retains a laid-back vibe that makes it ideal for relaxing vacations.
Fun fact: The bay is actually a collapsed volcanic crater, giving it its distinctive shape.
5. Azenhas do Mar – Cliffside Views Without the Crowds
Nestled on cliffs just north of Lisbon, Azenhas do Mar is a postcard-perfect village with whitewashed houses and red roofs cascading down toward the sea. It offers sweeping Atlantic views, a natural ocean pool, and a calm atmosphere year-round.
Although it’s close to popular Sintra, few tourists make it here. You can enjoy fresh fish at oceanfront restaurants, snap panoramic photos, and walk coastal trails connecting to other seaside villages.
Insider tip: Visit at sunset for one of the most breathtaking views in Portugal.
Tips for Discovering Hidden Gems in Portugal
If you want to uncover more underrated cities in Portugal, here are a few tips:
- Use local sources: Portuguese blogs, forums, and even asking locals can reveal treasures not found in guidebooks.
- Travel in shoulder season: Late spring and early fall offer great weather with fewer crowds.
- Learn a few phrases in Portuguese: Locals appreciate the effort and may share insider tips.
Also consider renting a car. Many hidden gems aren’t accessible by train or bus but are easily reached by car within a couple of hours from major cities.
Final Thoughts: Embrace the Unknown
Portugal’s charm extends far beyond its most famous destinations. These five underrated cities in Portugal showcase the country’s diversity — from vineyards and cliffs to historical towns and coastal hideaways. Each one invites you to slow down, explore deeply, and connect with the local way of life.
So next time you’re planning a Portuguese adventure, step away from the typical tourist trail. These hidden gems just might become the highlight of your journey.
Ready to explore authentic Portugal? Add these underrated cities to your travel list and discover a side of the country few ever see.
