Portugal is one of the cheapest countries to rent a car in Western Europe, but only if you know where to look. Off-season rates start below €10/day (~$11), while peak summer prices can hit €40–60/day for a compact. The difference between a smart booking and an expensive one often comes down to timing, which company you pick, and whether you fall for the extras at the counter. This guide breaks it all down.
Navigating a rental car through a typical Portuguese village. Photo: Auto Jardim
Prices vary wildly depending on the season, pickup location, and how far in advance you book. Here is what you can realistically expect in 2026:
Average Daily Rates by Season and Location
Economy/compact car, booked 4–6 weeks in advance, prices in EUR
| Season | Lisbon (LIS) | Faro (FAO) | Porto (OPO) | Funchal (FNC) |
|---|---|---|---|---|
| Low (Nov–Feb) | €8–15 | €6–12 | €9–16 | €12–20 |
| Shoulder (Mar–May, Oct) | €15–28 | €12–22 | €14–25 | €18–30 |
| Peak (Jun–Sep) | €30–55 | €25–50 | €28–48 | €35–60 |
Faro tends to be cheapest due to high competition among Algarve suppliers. Funchal (Madeira) is priciest due to limited fleet.
These are base rates for manual transmission. Automatic cars cost roughly 40–80% more at every airport. If you cannot drive manual, book your automatic early – they sell out fast in summer.
Cheapest vs. Most Expensive Months to Rent in Portugal
Average economy car rate, all airports combined, EUR/day
This is where most guides fail you. They list every company alphabetically or promote whoever pays the highest commission. Instead, here is a breakdown based on Trustpilot scores, Google Maps reviews at Portuguese airports, and what real travelers report on Reddit, TripAdvisor, and the Rick Steves forums.
Sixt is one of the most frequently recommended companies in Portugal traveler forums. Their fleet is newer than average, the pickup process is relatively fast, and they rarely push aggressive upsells at the counter. Many repeat visitors to Portugal book Sixt directly or through a comparison site.
The main downside: Sixt is rarely the absolute cheapest option. You pay a small premium for a smoother experience and a better car. For most people, that trade-off is worth it.
Europcar has the most locations in Portugal, which makes them especially useful if you want a one-way rental (for example, picking up in Lisbon and dropping off in Faro). The booking process is straightforward, and their full/full fuel policy avoids surprises.
Be aware: their Trustpilot score is mediocre, but most complaints relate to the international brand, not the Portuguese operation specifically. In-country reviews on Google Maps are noticeably better, especially at Faro and Porto airports.
If you ask Portuguese expat communities or local travel forums for a recommendation, Amoita comes up more than any other name. They are a family-run Portuguese company with 24/7 service at Lisbon, Faro, Porto, and across the Algarve. Their pricing often undercuts the international chains, and they include unlimited extra drivers for free – a rare perk that saves €8–12/day.
The catch: they are less known internationally, so you will not find them on every comparison site. Check their website directly or book through platforms that list local operators.
Hertz has a well-established operation in Portugal with convenient airport counters. Multiple forum posters report smooth experiences, particularly at Lisbon airport. Pricing is mid-range – not the cheapest but competitive when booked in advance online.
OK Mobility has been expanding quickly in Portugal and often shows up as one of the cheapest options in comparison searches, especially for Faro airport. Their fleet is relatively new and they have a decent app for managing your booking. Read the fine print on deposit amounts – they can be high.
Goldcar consistently shows up as one of the cheapest results on comparison sites, and there is a reason for that. They make their money on aggressive upselling at the counter. Staff will pressure you into buying their insurance (often 3–4x more expensive than third-party alternatives), and multiple travelers report being charged for damage they did not cause. Their Trustpilot score of 1.6/5 speaks for itself.
Reddit and TripAdvisor are full of warnings: “avoid Goldcar like the plague” is a phrase that appears almost verbatim in dozens of threads about Portugal car rental.
Guerin is a well-known Portuguese rental company, but their customer service has been slipping. Trustpilot reviews mention being charged for extra days over minor return delays, surprise damage fees, and inaccurate pickup-time information on their website. Some travelers have had perfectly fine experiences, but the risk factor is higher than with the recommended companies above.
Trustpilot Scores: Portugal Car Rental Companies
Based on publicly available Trustpilot data, March 2026
Prices climb steeply in the last 2 weeks before pickup, especially during summer. Booking 4–8 weeks out hits the sweet spot. If your dates are flexible, October is the cheapest month on average – shoulder-season weather, minimal crowds, and the lowest car rental rates of the year.
Start with a comparison platform to see the full market. You will immediately spot which companies serve your airport, what the price range looks like, and which deals include free cancellation. Then cross-check the best result directly on the company's website – sometimes the direct price is lower, sometimes the aggregator includes extras (like zero-excess insurance) that make it better value.
Automatic cars in Portugal cost 40–80% more than manuals, and in summer they often sell out entirely at smaller airports. If you are comfortable driving stick, this is the single biggest way to cut your bill. Portugal's roads are modern and well-maintained – manual is not difficult even in Lisbon, though hillier areas (Sintra, Douro Valley) benefit from it.
The collision damage waiver (CDW) at the counter typically costs €15–30/day and only reduces your excess to a few hundred euros. A third-party excess insurance policy (from providers like RentalCover or iCarhireinsurance) costs around €3–5/day and covers the same excess down to zero, plus extras like tires, windscreen, and underbody that the counter CDW excludes.
The excess amounts in Portugal are usually €950–€1,500 depending on car group. That deposit is held on your credit card regardless, but third-party insurance reimburses you if it is charged.
This catches people off guard. Since 2024, all rental cars in Portugal are equipped with a Via Verde transponder for electronic toll payments. You will be charged a daily device fee of €2.21 (capped at €22.14 per rental), plus the tolls themselves. On a Lisbon-to-Faro drive, tolls alone are around €22 one way on the A2 motorway.
Counter-intuitive, but airport locations in Portugal usually have better rates than city branches because of higher competition. Lisbon airport has 15+ rental companies on-site. City-centre pickups often come with limited availability and a surcharge.
Always return the car with a full tank. Rental companies charge €2.50–3.50/litre for fuel if they fill it for you – roughly double the pump price. There are petrol stations right outside every Portuguese airport. If you are near Spain, fill up across the border where fuel is 15–20% cheaper.
True Cost of a 7-Day Rental: What You Actually Pay
Example: Economy car, Faro Airport, summer peak, booked 6 weeks early
| Cost Item | Budget Approach | Typical Tourist |
|---|---|---|
| Base rental (7 days) | €175 | €245 |
| Insurance | €25 (third-party) | €140 (counter SCDW) |
| Via Verde device fee | €15 | €15 |
| Tolls (Faro–Lisbon return) | €0 (toll-free roads) | €44 |
| Fuel (600 km) | €55 | €55 |
| Extra driver | €0 (Amoita/DiscoverCars) | €63 |
| Total | €270 (~$295) | €562 (~$615) |
The difference between smart and default booking is often over €250 on a single week-long rental.
Head west to Sintra and Cascais for a day trip, or south to the Arrábida Natural Park and Setúbal. For a longer trip, the Alentejo coast (Porto Covo, Comporta) is 90 minutes south and has some of the most underrated beaches in Europe. The drive to Évora (1.5 hours) takes you through cork forests and past megalithic monuments.
Pena Palace in Sintra – an easy day trip from Lisbon by car. Photo: Auto Jardim
The Douro Valley is the obvious choice – a 1.5-hour drive east into terraced vineyards and port wine country. Alternatively, head north to Gerês National Park for mountains and waterfalls, or south along the Costa Nova coast to see the famous striped houses.
Most people head straight to the Algarve beaches, but consider driving the N125 west to Sagres (the southwestern tip of Europe) or east to Tavira, a quieter alternative to the resort towns. For a unique day trip, the interior Algarve town of Monchique offers mountain views and thermal springs.
Faro marina – the gateway to the Algarve coast. Photo: Auto Jardim
A car on Madeira unlocks the island. Drive the ER110 across the mountain plateau to Pico do Arieiro, or take the coastal road east to São Lourenço peninsula. Budget an extra day for the north coast road – narrow, dramatic, and one of the best drives in Portugal.
Portugal's historic architecture is best explored with your own wheels. Photo: Auto Jardim
As of early 2026, expect to pay around €1.60–1.70 per litre for petrol (gasolina) and €1.90–2.00+ for diesel (gasóleo). Motorway service stations charge 10–15% more than town stations. The cheapest fuel is typically at large supermarket stations (Continente, Pingo Doce, Jumbo).
Disclosure: Auto Jardim participates in the DiscoverCars affiliate program. Our rental company reviews are based on Trustpilot scores, Google Maps reviews, traveler forum feedback, and direct experience. We only recommend companies we would use ourselves.
Last updated: April 2026. Prices and policies change – always verify directly with the rental company.
