Lisbon is one of those rare gems where history, culture, and beauty collide—and the best part? It doesn’t have to break the bank. With its charming streets, beautiful parks, and affordable food scene, Lisbon is a top destination for families on a budget. Whether you’re wandering through historic neighborhoods or savoring pastel de nata (the famous Portuguese custard tart), there’s plenty to do without draining your wallet.
In this guide, we’ll walk you through everything you need to know to experience Lisbon on a budget with your family, from affordable accommodations to free attractions and tips for getting around. By the end, you’ll be all set to enjoy a memorable, budget-friendly trip to this vibrant city.
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1. Affordable Accommodation Options in Lisbon
Lisbon offers a wide range of accommodations, from budget-friendly hostels to charming Airbnbs, making it easy to find the perfect place to stay without blowing your budget.
Budget-Friendly Hotels
There are several hotels in Lisbon that cater to families without being overly expensive. Look for places in central locations like Baixa, Alfama, or Bairro Alto, which give you easy access to major attractions while still being affordable.
- Hotel Portugal: A family-friendly hotel with reasonable rates, located in Baixa. It offers great amenities, including family rooms, and it’s within walking distance of many attractions like Praça do Comércio and the Alfama district.
- The 7 Hotel: Located in the historic center, this hotel has spacious rooms perfect for families, with great access to public transport and attractions.
Airbnb & Vacation Rentals
If you prefer more space or want the experience of living like a local, Airbnb or VRBO are great options. Many families opt for an entire apartment or house, which provides more flexibility and kitchen facilities for preparing meals on the cheap.
This is the option that we chose and it worked out wonderful for us. We were able to purchase food and eat in our apartment and save it for the next day.
As a family of four we appreciated the extra space which included two full bedrooms, a pull out sofa and two bathrooms. Oh, and the views were spectacular. The apartment was in an excellent location in Baixa, but you can also look for properties in neighborhoods like Alfama, Graça, or PrÃncipe Real for an authentic Lisbon experience.
Hostels with Family Rooms
While hostels are usually associated with backpackers, many offer family-friendly rooms at a fraction of the price of hotels. For example, Alfama Patio Hostel has private family rooms with all the comforts you need, plus it’s located in the heart of the Alfama district, right near the famous tram lines.
2. Free & Low-Cost Activities in Lisbon
Lisbon is packed with free and low-cost attractions that will keep the whole family entertained. Here are a few must-do activities without a hefty price tag:
Explore Lisbon’s Parks and Gardens
Lisbon is dotted with beautiful parks that are perfect for a family day out. These green spaces provide a great escape from the hustle and bustle of the city, and they’re entirely free to visit.
- Eduardo VII Park: A large public park with sweeping views of the city. It’s a great spot for a family picnic and a leisurely stroll.
- Monsanto Forest Park: Lisbon’s biggest green space, perfect for outdoor activities like hiking and cycling. It’s a tranquil spot to let the kids run around.
Walk Along the Riverfront
Take a leisurely walk along the Tagus River with your family, where you can enjoy stunning views of the city’s skyline and the famous 25 de Abril Bridge. It’s a great way to take in Lisbon’s beauty without spending a dime.
- Miradouro da Senhora do Monte: One of Lisbon’s most picturesque viewpoints, where you can see the entire city unfold before you. The view of the river and city’s rooftops is especially stunning at sunset.
Visit Historic Neighborhoods

Lisbon’s neighborhoods are its soul, and wandering through them is one of the best ways to experience the city’s charm. Alfama, the oldest district in Lisbon, is a maze of narrow streets, colorful buildings, amazing views and traditional Fado music. It’s free to explore, and you’ll discover hidden gems around every corner.
- Baixa: Lisbon’s downtown area, known for its wide boulevards and grand squares. Explore the Praça do Comércio and Rua Augusta, where you can admire neoclassical architecture and shop in budget-friendly stores.
Cultural Stops
Several museums and cultural sites offer either free entry or affordable admission prices:
- Museu do Fado: Learn about the history of Lisbon’s traditional Fado music at this museum, which offers free admission on the first Sunday of every month.
- Carmo Convent: This hauntingly beautiful Gothic ruin in the heart of Lisbon is perfect for families interested in history. It’s very affordable to visit, and it’s one of the most atmospheric spots in the city.

3. Budget Dining Options for Families
Lisbon’s food scene is one of the most exciting aspects of the city. Luckily, there are plenty of places to eat that are both affordable and delicious. Here are a few tips for enjoying Lisbon’s food without blowing your budget:
Local Restaurants and Cafes
Lisbon is filled with budget-friendly dining options, many of which are perfect for families. Look for tascas (traditional Portuguese taverns), where you can enjoy hearty local dishes at great prices.
- Time Out Market: Located near the waterfront, this food market offers a variety of affordable Portuguese dishes, from grilled sardines to delicious pastries. It’s a great spot for families to sample a range of foods at different price points.
- Bacalhau: The Portuguese national dish, made with salted cod, is an affordable and filling meal. Look for bacalhau à brás, a dish made with shredded cod, potatoes, and eggs.
Picnic in the Park
Buy fresh ingredients at local markets like Mercado da Ribeira or Mercado de Campo de Ourique, and enjoy a picnic in one of Lisbon’s many parks. The fresh produce and local cheeses are inexpensive and delicious, making it a great option for families on a budget.
Street Food
Lisbon’s food trucks and street vendors offer tasty snacks at budget-friendly prices. Don’t miss out on trying pastéis de nata (Portuguese custard tarts), which can be found at bakeries and street vendors for just a few euros. I couldn’t stop eating these things the whole time I was there. They’re so good!
4. Getting Around Lisbon on a Budget

Lisbon is a compact city with an excellent public transportation system, making it easy to get around without spending much. We used this exclusively to get around the city and we found it to be convenient and easy to use. Here are some ways to save on transportation:
Public Transportation
Lisbon’s metro, trams, and buses are not only affordable but also convenient for families. A Lisboa Card offers unlimited access to public transportation and discounts on many attractions, making it a great option for families on a budget.
- Metro: Lisbon’s metro system is easy to navigate and connects major areas like Baixa, Alfama, and the airport.
- Trams: A tram ride through Lisbon is a fun way to see the city, especially the famous Tram 28, which takes you through some of the most iconic districts.
Walking Tours
Lisbon is one of the most walkable cities in Europe. With its pedestrian-friendly streets and short distances between attractions, exploring on foot is often the most cost-effective way to see the sights.
Check out this affordable Lisbon walking tour to discover the city’s best spots at an unbeatable price!
Ride-Sharing
If you need to take a taxi or ride-sharing service, options like Uber and Bolt are available in Lisbon, and they’re often cheaper than traditional taxis.
5. Budget-Friendly Day Trips from Lisbon
Lisbon’s location makes it an excellent base for exploring nearby destinations, many of which are easily reachable and affordable.
Sintra
Just a short train ride from Lisbon, Sintra is a fairy-tale town with stunning palaces, castles, and gardens. You can explore the Quinta da Regaleira and Pena Palace without spending a fortune. Go for public transportation or affordable guided tours to keep costs down.
Cascais
For a beach day, head to Cascais, a coastal town known for its beautiful beaches and charming streets. It’s just a 40-minute train ride from Lisbon, and the beach is free to access.
Belem
Explore the historic Belem district and visit landmarks like the Jerónimos Monastery and Belem Tower. The best part? Many of these attractions are free to visit or have discounted entry on certain days.

6. Money-Saving Tips for Families
Maximize your budget with these smart travel tips:
- Travel Off-Season: The best time to visit Lisbon on a budget is during the shoulder seasons (spring or fall). We often travel in June which is right before it gets too crowded but still has beautiful weather. You’ll find lower prices on accommodation and fewer crowds.
- Book in Advance: Reserve tickets for popular attractions online to avoid long lines and often save on admission fees.
- Use Discount Passes: The Lisboa Card offers discounts on public transport and many attractions. It’s a great way to save money while seeing the best of Lisbon.
- Set a Daily Budget: Set aside a specific amount for daily expenses and stick to it. This helps avoid impulse spending while keeping your trip affordable.
You Can Enjoy Lisbon on a Budget

Lisbon is a fantastic family destination that won’t break the bank. With its affordable accommodations, free attractions, and budget-friendly dining options, you can experience the best of the city without sacrificing quality. Whether you’re soaking in the views from Miradouro da Senhora do Monte, exploring the Alfama district, or enjoying a picnic in one of the city’s many parks, Lisbon offers something for everyone—even on a budget. So pack your bags, grab your Lisboa Card, and start planning an awesome family adventure in one of Europe’s most affordable capitals!