Portugal Hotels and Hostels

Hotels and hostels in Portugal may be slightly more affordable than comparable accommodations found elsewhere in Europe. However, prices have continued to increase over the last decade, meaning, in most cases, particularly in urban areas and major cities, prices are comparable to elsewhere in Europe. The appeal of beaches in this area is also high, so you will find prices along the coast can be surprisingly high, particularly when accommodation is in demand.
Rooms can be smaller than their American counterparts, but this is the norm for accommodation in Europe. Most hotels and hostels are now equipped with internet and wifi, but you may have to pay an additional fee to access it. If you choose not to go this route, many nearby cafes offer internet access to their patrons.

Finding the Best Prices

The price of accommodation in Portugal continues to rise, but there are several tricks you can use to help you keep your costs in check. Try finding a resident who rents a room out of their apartment. They may give you access to their kitchen or even give you some insider tips on the things to do around town. Alternatively, you could consider couchsurfiing. It's good to already be active on the website prior to your trip so that you have some well written reviews. This is a great way to hook up with a local and experience a city from an insiders view, while you save yourself some money.
Portugal is a popular destination so hotels can be in high demand, particularly along the coastline. Before you book your trip, look into the European holiday schedule so that you can avoid any unnecessary inconveniences. Also consider traveling during the week and avoiding weekends, when the beach resorts can be particularly crowded.
In Portugal, you're likely to save the most money if you book well in advance. There are also some great last minute deals but it can be a gamble so if you're particular set on one date or hotel, go ahead and make the reservations well out.
Consider the exchange rate well in advance as well. While this is always changing, it will have a direct impact on what type of accommodation you can actually afford. If you're getting a good rate, don't be afraid to bump up your accommodation a little. Likewise, don't blow your bank because you've forgotten how much your dollar is really worth.

Types of Accommodation

You can find almost any type of accommodation in Portugal. If you're looking for a quaint, personal experience you can stay at a family run bed and breakfast. Backpacker hostels are a great place for independent travelers to stay and meet fellow travelers. There are different dorm options, but it's generally more comfortable to stay in a room with fewer beds. The likelihood of the room being overly loud is minimized when there are only a small handful of beds.
High end hotels are easy to find in Portugal as well. While it's very possible to find the larger chain hotels, consider staying at a locally owned boutique hotel where you might get a more localized feel and absorb some of the small town atmosphere.
Mid range hotels are generally the norm in Portugal and can still be very reasonably priced. It's possible for a budget traveler to negotiate a fair price at a mid range hotel such that they can enjoy a better comfort for a minimal increase in price.