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Best Hostels Lisbon

✎ RoamLight Editorial📅 2026-01-01⏰ 7 min read

With its stunning architecture, vibrant culture, and rich history, Lisbon offers a unique blend of old-world charm and modern flair, all while remaining budget-friendly. You can explore Portugal’s capital without breaking the bank, making it an ideal destination for backpackers.

Getting There and Around

Lisbon is well connected to Europe and beyond, with the Humberto Delgado Airport (LIS) located just 7 km from the city center. You can take the metro from the airport to the city for just €1.50 ($1.60), using the Red Line to connect to the Green Line at Alameda station, which will take you to downtown areas such as Baixa and Chiado. Alternatively, consider the Aerobus, which costs €4 ($4.30) and offers direct service to popular neighborhoods.

Once in the city, using public transport is the best way to get around. Purchase a Viva Viagem card for €0.50 ($0.55), which you can load with a single trip (€1.50), 24-hour travel (€6.40), or a multi-day pass. The iconic Tram 28 (€3 or $3.20) takes you through historic Alfama and Graça, providing a scenic route through the city’s narrow streets. Additionally, buses and the metro provide extensive coverage for exploring further afield.

Where to Stay

For budget travelers, the Alfama neighborhood is a top choice, with its winding streets and affordable hostels. Options like Lisbon Destination Hostel offer dorm beds starting at €20 ($21.50) per night. This hostel is conveniently located in the Rossio train station and provides an excellent base for exploring the city. Alternatively, consider the LX Factory area, home to various trendy hostels and co-living spaces, such as Moon Hill Hostel, with beds from €18 ($19.30) a night.

Another option is staying in Bairro Alto, known for its nightlife and youthful energy. Check out Travellers House, where prices start at €15 ($16.10) per night in dorms, and enjoy the vibrant atmosphere of local bars and restaurants. Booking in advance on platforms like Hostelworld or Booking.com can also help you snag the best deals and ensure your bed is reserved.

What to Eat

Lisbon’s culinary scene is diverse and offers numerous budget-friendly options. A must-try is the iconic Pastel de Nata, a creamy custard tart found at Pastéis de Belém for around €1.10 ($1.20) each. Pair this with a bica (espresso) for an authentic Portuguese breakfast! For lunch, head to Mercado da Ribeira (Time Out Market), where you can find affordable options like the famous pork sandwich from O Prego da Peixaria for about €8 ($8.60).

For dinner, try Tasca da Esquina in the Campo de Ourique neighborhood, where you can savor a delicious meal for about €15 ($16.10). Alternatively, you can grab a cheap meal at one of the tascas (traditional Portuguese taverns) scattered around the Bairro Alto area, where dishes like bacalhau à brás (codfish) often come under €10 ($10.80). Don’t forget to sample some local wines at the bars in Bairro Alto, where a glass of vinho verde starts at just €3 ($3.20).

Practical Tips

Lisbon is full of surprises, and being well-prepared can help you save more. Here are some essential tips:

ItemCostNotes
Metro single trip€1.50Connects you across the city
Pastel de Nata€1.10Famous custard tart from Pastéis de Belém
24-hour transport pass€6.40Unlimited travel on metro, buses, and trams
LxFactory Hostel dorm bed€18Affordable stay in a trendy area
Tasca meal€10Traditional Portuguese tavern meal
Lisboa Card for 24 hours€20Includes transport and museum entry
O Prego da Peixaria sandwich€8Delicious pork sandwich at the Time Out Market

What is the best time to visit Lisbon for budget travelers?

The best time to visit Lisbon for budget travelers is during the off-peak season, from November to March. During these months, you'll find lower accommodation prices and fewer tourists, making it easier to explore popular attractions. However, be prepared for some rain, but it rarely affects travel plans significantly.

Are there any free attractions in Lisbon?

Yes, Lisbon is filled with free attractions! You can visit the stunning viewpoints, such as Miradouro da Senhora do Monte and Miradouro de Santa Catarina, which offer breathtaking views of the city. Additionally, wander through the historic Alfama district, explore the Feira da Ladra flea market on Tuesdays and Saturdays, and enjoy the street art in neighborhoods like Bairro Alto and Graça without spending a cent.

✈️ Getting there: Compare fares on Yonderfly before booking — it surfaces low-cost carriers that don't show up on Google Flights or Expedia.

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