Madeira is packed with charming towns, most of which are located along the rugged island coastline. Beyond the hikes and viewpoints, some of our best memories were simply getting lost in the streets of these best small towns in Madeira, truly appreciating the slow pace of life, traditional architecture, and Atlantic views.
In this guide, we’re sharing our top five most charming towns in Madeira (and Porto Santo). From colorful seaside promenades to surfer hangouts and delicious cafes, each one reminded us why village life is so special.
Nestled at the base of Madeira’s mammoth southwest cliffs, Jardim do Mar is a tiny village that feels like you’ve gone back in time. We loved that cars have to park at the edge, so that the rest of the town is pedestrianized. This means you can explore all the charming cobblestone streets on foot, admiring the vibrant flowers and quaint houses.

Make your way through the narrow streets, and in five minutes you’ll arrive at the seafront promenade, where waves crash against the rocks. Locals gather to share food and chat at the small restaurants in the area, such as Joe’s Bar and Osteria Jardim do Mar.

Jardim do Mar quickly became one of our favorite villages in Madeira; it’s a true hidden gem, with untouched streets and a relaxing atmosphere that’s hard to beat!

Just a bit further along the base of the cliffs, you’ll find the bigger, livelier neighboring village of Paul do Mar. While it has a similar cliff backdrop to Jardim do Mar, it has more restaurants and bars (Maktub Bar and Bar da Pedra were our favorites!), and a greater variety of accommodation options if you’d like to stay overnight.
Paul do Mar is also a popular spot for surfers, with a visibly adventurous and social vibe that attracts people of all ages. Grab a seat at one of the coastal bars and spend a few hours by the water, watching locals catch the best waves.
Although Paul do Mar is a buzzing village, we preferred Jardim do Mar for its quaint charm and peaceful atmosphere. That said, the pair complement each other beautifully, so we recommend visiting both if you have time. It’s so special to have two of the best small towns in Madeira so closely connected in distance and character.
Ponta do Sol is known as the “sunniest village in Madeira” and on the day we visited, this couldn’t have been more true! The sun beamed down on this colorful little town with its painted facades and terracotta roofs, sandwiched between the turquoise ocean and dramatic cliffs.

At the heart of the village is the pretty white church, a stone’s throw from restaurant terraces that spill onto the cobbled streets. From here, it’s a short stroll to the pebble beach and pier, where locals gather to watch the sun go down. We grabbed a delicious seafood dinner at Sol Poente Restaurant, which had the best views at sunset – one of our favorite moments on the island.
4. Porto da Cruz
On the northeast coast, discover Porto da Cruz, one of the most scenic villages in Madeira. Here, houses spill down the hillside to the seafront, with the token green cliffs in the background. Its iconic feature, though, is the large rock that separates Porto da Cruz from the neighboring town of Faial.

The village is also a favorite among surfers, thanks to its local surf school and great beaches. However, even if you’re not interested in surfing, it’s still great for exploring. Sit on the promenade and watch surfers catch the best wave of the day, feel the powerful sea spray hit the cliffs, or walk along the coast for Atlantic views. There are also some great food spots here; we loved the snack bar “A Pipa” for its seafood (always ask for the catch of the day!).

Tip: One of the highlights in Porto da Cruz, Madeira, is the North Mills Distillery, where sugarcane rum is produced. It’s free to visit and you can try the rum while you’re there!

While it’s technically on the neighboring island of Porto Santo, Vila Baleira should be included on the list of best small towns in Madeira. Although it’s Porto Santo’s main town, it doesn’t take more than a few hours to walk around; we loved strolling through the historic center with its beautiful church and traditional town hall. Make sure to also stop at the Casa Colombo Museum if you’re into maritime history, as it tells about the adventures of famous navigators connected to the island, like Colombo.

After sightseeing, we enjoyed a relaxing few hours on the famous soft-sand beach of Praia do Porto Santo, before enjoying a delicious dinner with ocean views at La Siesta. Watching the sky change color at sunset was truly sensational – a true taste of slow island living.

Why Visit the Villages of Madeira?
What makes the villages in Madeira so special is that even though they are all coastal, they each have unique character. We loved that we could enjoy our morning coffee in buzzing surf towns, and just a few hours later be lost in the streets of tiny clifftop villages untouched by time.

It’s not just about enjoying the beach here; there are also fascinating museums, working fishing harbors, waterfall hikes, and even rum distilleries to visit!
For us, exploring these charming towns in Madeira provided an opportunity to slow down and experience the island in a more personal way – beyond the hikes and beaches. These are the best small towns in Madeira to chat to local people and gain a better understanding of the island’s beautiful culture and community.