Our list of the best road trips in Madeira and why renting a car in Madeira is 100% worth doing!
Planning on renting a car in Madeira? Great choice! We rented a car for our recent vacation on the island, and I have to say that I think Madeira is best explored by road-tripping. As it means you’ll get to all the best (hard-to-reach) spots on the island. Plus, you can travel around at your leisure without having to rush.
That said, before you rent a vehicle and start driving around Madeira, you probably have a few questions you want answered. And that’s where I come in. We rented a car for a week in Madeira, so we’ve done all of the best drives here, know what rental car companies require, and how to drive safely here.
Below, you will find the best places to visit on a road trip around Madeira and a list of what you should know before renting a car in Madeira. Hopefully, it will make the process much easier for you.
Best Road Trips in Madeira
Madeira is a pretty small island (741 km²), so it will be easy to cover a lot of ground if you rent a car here for a week!
North Madeira Route (Allow 4 Days)
Northern Madeira, to me, is probably the most beautiful part of the island. It’s known for its dramatic landscapes with striking mountains and green valleys. It also often receives more rain than the south, which means that it’s greener! This region is why Madeira has the nickname “the Hawaii of Europe” – it really does look similar!
We recommend allowing 4 days to drive around the Northern part of the island. And I’ve listed my favorite stops in the North below.
🚗 TOP TIP 🚗 We always book our rental car through Discover Cars – which is a search engine for rental cars and allows you to filter by price if you’re on a budget or by vehicle type if there’s a specific car you’re after.
🛏️ Our recommended place to stay in North Madeira:
Our favorite hotel we stayed at in Madeira was the Pestana Quinta do Arco. This unique property is set within a rose garden, and the rooms are like standalone bungalows nestled among the gardens. There are not only roses growing along the pathways between the rooms, but banana trees and all different types of flowers. It was one of the most unique places we’ve ever stayed.
There are two outdoor swimming pools on-site, too. We opted for the half-board option, which gave us breakfast and dinner included. These meals were served in a quaint restaurant a short walk away.
Best Stops on the Drive in North Madeira
Santana:
Santana is one of the most popular tourist destinations in Madeira as it’s here you can see the triangular-shaped, brightly-painted thatched-roof houses aka “palheiros.” I’m sure you’ve seen these on your Instagram feed; they are a symbol of Madeira’s heritage. And today, there are stores within the houses selling all different items, for example, we bought homemade ice lollies in one and some magnets and trinkets in another.
We also had lunch here – at Cachadinha Snack-Bar, just on the outskirts of the town center. It was very reasonably priced.
Levada do Caldeirão Verde (PR9) Hike:
The Levada Caldeirao Verde is one of the most famous hiking trails in Madeira. It’s known for its stunning views and natural beauty. This path takes you through the lush Laurisilva forest, a UNESCO World Heritage site.
A major highlight of this trail is the beautiful waterfalls cascading into Caldeirao Verde, offering breathtaking scenery and a unique experience for hikers. As you walk, you can also enjoy dramatic views of the mountains and valleys surrounding the area. The trail is considered moderate in difficulty.
Quinta do Arco:
The Rose Garden in Quinta do Arco is amazing, albeit a little rustic! It’s one of the most famous rose gardens in Europe and also one of the biggest in the world, boasting over 1,500 species of roses!
Walking around the designated stone pathway, you can see ancient and contemporary, climbing and non-climbing rose bushes. The most important and rare types of roses have a placard telling you what they are. However, we found many of these to be faded.
São Vicente:
The small village of São Vicente is a quaint Madeiran village with cute little houses and narrow streets.
One of the coolest things to do here is the Grutas de São Vicente. These caves were formed by volcanic activity approximately 890,000 years ago. On a visit here, you can explore the intricate network of tunnels and chambers, which stretches for nearly a kilometer. The grotto is illuminated to highlight the stunning formations and the vivid colors of the volcanic rock.
Porto Moniz:
This super chill coastal town is well known for its natural volcanic rock pools. The pools were formed over millennia by the cooling of lava – the natural layout of these pools allows the constant entry of seawater.
There are two pools in Porto Moniz, one more natural (and free-to-enter) pool near the fort, and the other is a pay-to-enter pool and has more of a resort feel. These are the ones we went to, as they are large, so plenty of room to spread out.
It also has a children’s pool, playground, changing rooms, bar, first aid post, car park, and access for people with disability. It costs €3 per person to enter.
Fanal Forest:
This enchanting laurel forest, part of the Laurisilva of Madeira UNESCO World Heritage Site, is renowned for its ancient trees (most are over 600 years old) shrouded in ethereal mists. Fanal forest offers a unique atmosphere that feels almost otherworldly, with twisted trunks and lush greenery.
I felt like I’d stepped into a Grimms Fairytale book, we spent around 2-3 hours here and we even hiked up to the highest point as a family. Our daughters, aged 4 and 3 years managed it (although at a slow pace) so it’s not too difficult of a hike, although it is steep.
Funnily, a local guide told us that TikTok was to thank (Or to blame) for Fanal Forest’s recent boom in popularity!
Southern Madeira Route (Allow 3 Days)
On the other hand, South Madeira offers a warmer and drier climate, making it perfect for those who love to sunbathe and swim. The southern coast also boasts beautiful beaches and cliffs, and the capital, Funchal, is located here.
We recommend allowing 3 days to drive around the Southern part of the island, and I’ve listed my favorite stops in the South below.
🛏️ Our recommended hotel in South Madeira:
We loved our stay at the Views Oasis in Canico, a 4-star hotel that’s right on the waterfront. It’s a really modern hotel with lots of amenities – an outdoor swimming pool, indoor pool, spa, and two on-site restaurants (one is buffet, the other is a-la-carte). We opted to book a bed & breakfast rate and the breakfast was great each morning.
Best Stops on the Drive in South Madeira
Pico do Areeiro (PR1) Hike:
Halfway between the North and the South of the island is one of the highest peaks in Madeira. And this awesome hike is perfect for anyone (with a reasonable level of fitness) looking to soak in the island’s jaw-dropping scenery.
Starting at Pico do Areeiro, the third-highest peak around, you’ll wander through a landscape of rugged peaks, deep valleys, and lush greenery. The views are nothing short of epic, with mountains and the Atlantic Ocean spread out before you, and sometimes clouds hanging out way below. Don’t miss the Ninho da Manta viewpoint for killer panoramas and the chance to spot the rare Zino’s petrel. The trail wraps up at Pico Ruivo, the highest point on the island.
Cabo Girão:
Sitting 580 meters above the sea, the Cabo Girao skywalk is built on top of the highest cape in Europe. The suspended glass platform (skywalk) gives you a one-of-a-kind spot to soak in the amazing cliffs and the huge stretch of the Atlantic Ocean.
You’ll feel like you’re walking on air while across it (and I did have my heart in my mouth a few times!) From here you can see as far as Funchal.
It’s one of the most photographed spots on the island and entry costs from €2 per adult (children under 12 are free).
Caniço:
Caniço is a relaxing coastal town that’s not too far from Madeira Airport and Funchal. And the top sights here include the Christo Rei statue which boasts killer views over the Atlantic, and visiting the Quinta Splendida Wellness & Botanical Garden, which is home to thousands of different plant species, many of which are native to Madeira.
And the Garajau Cable Car is another must-do here, it gives you awesome views of the Atlantic Ocean and the rugged Madeira coastline as it glides down from the Garajau cliffs to a stunning beach.
Caniçal:
The small fishing village of Caniçal is another great spot to visit in the South of the island. It’s the former centre of the whaling industry on the island and the Whaling Museum of Madeira (Museu da Baleia), here, gives you a cool peek into the island’s whaling past.
This modern museum is all about keeping the story of Madeira’s whaling industry alive. Inside, you’ll find all sorts of interesting stuff like old tools, whaling boats, and detailed models that show how whalers caught these giant creatures. Plus, the museum talks about the environmental side of whaling, encouraging people to think about conservation.
Funchal:
Madeira’s vibrant capital city, Funchal, is the largest city on the island. The quaint Old Town of Funchal, which is home to cobblestoned streets, historic buildings, and local shops selling authentic Madeiran crafts, is well worth walking around.
One of our highlights of the Old Town was the Rua de Santa Maria, a street renowned for its colorful painted doors. We also stopped outside the Gothic-style Sé Cathedral to snap a few photos.
The bustling Mercado dos Lavradores is a must-see too and there are a lot of fruit stalls here. And also stalls selling Madeiran crafts and clothing. Downstairs, there’s a fish market (the strong smell will show you the way)
Best things to do in Funchal –
Wicker Basket Ride:
Say, what? A wicker basket ride down a steep and lengthy hill with only two men standing at the back to steer it! I’m sure you’ve heard of the famed wicker basket rides in Funchal – it’s one of the best things to do here. And the baskets gain speeds of up to 24 mph. And go a distance of 2 km.
The wicker basket rides start at Monte Church (your best to get a cab here from Funchal) and run Monday to Saturday, 9 am to 6 pm. Prices are around €27.50 for one person, €35 for two people, etc.
Monte Palace Tropical Gardens:
This was one of our favorite stops in Madeira – the Monte Palace Tropical Gardens are situated high above Funchal. And the best way to get here is to hop on a cable car.
The entrance fee to the gardens costs around €12.50 per adult and we easily spent 3 hours here wandering around the 17-acre gardens. There are all sorts of plants on display here from native Madeiran varieties to plants from farther-flung places like the fern (native to New Zealand) and sequoias, magnolias, and more.
We took our time walking along the winding paths here that took us through meticulously curated landscapes, past tranquil lakes and waterfalls, and under the shade of towering trees. The gardens are also home to a fascinating collection of African sculptures and we really enjoyed the small museum on-site that features huge mineral displays.
💡💡Check out the most popular guided tours in Madeira, here –
Our Guide to Renting a Car in Madeira:
Is it worth renting a car in Madeira?
Yes, it is 100% worth renting a car in Madeira. And although it’s an additional expense, you will be able to go wherever you want, whenever you want, without being constrained by a timetable. Like you would if you were to do a guided tour.
I will add that we found the car rental prices in Madeira to be pretty reasonable – we paid around 150 euros for a week. We booked our car rental here through Discover Cars. And they’re who we always use, to be honest.
What do I need to rent a car in Madeira?
The most important thing you will need if renting a vehicle in Madeira is a valid driver’s license. No company will allow you to do so without one.
And if you are traveling from a country outside the European Union, you might want to get an international driver’s license to make the rental process easier. Although many rental companies accept foreign driver’s licenses without it.
Drivers typically need to be at least 21 years old to rent a car in Madeira, though some companies might require a minimum age of 25. Young drivers under 25 may incur a surcharge.
Each company has different terms and conditions, so you should be fully aware of them. Additionally, you will also need a valid credit card in your name. Rental companies will want to keep a credit card on file as a holding deposit.
If you have a debit card, you will be charged a holding fee. Please note that some companies do not accept a debit card.
Also, because renting a car in Madeira is incredibly popular, you WILL NEED to book your rental car in advance. Our rental car company told us they sell out over the busy tourist season (which is from April to September).
How much does it cost to rent a car in Madeira?
Renting a car in Madeira can vary in cost depending on several factors such as the time of year, the type of car, the rental company, and the duration of the rental.
On average, prices can range from €20 to €70 per day for a standard compact car. During peak tourist seasons, such as summer months, prices may be higher due to increased demand. Additionally, costs can increase if you want additional services like insurance coverage, GPS, or child seats.
And as I said earlier, it’s a good idea to book in advance and compare prices from different rental agencies to nab the best deal. That’s why I love Discover Cars because it’s a search engine for rental cars and allows you to filter by price if you’re on a budget.
How to drive in Madeira?
Just like in the U.S. and most of Europe, they drive on the right-hand side in Madeira.
As I said, we decided to rent a car for a week in Madeira – and although I would have liked the car for longer, my husband (the driver) said he wasn’t keen as the steep roads require a lot of concentration.
Yep, Madeira is renowned for its stunning landscapes, which means you’ll often find yourself navigating winding roads that offer breathtaking views of the ocean and lush greenery. However, these roads are also narrow and steep and require a certain level of confidence and caution. Especially for those unfamiliar with mountainous terrain.
It’s important to keep an eye out for larger vehicles coming towards you and pull in if needed. Also, we found in the more remote parts of the island that many locals park their cars on the side of the road, so you need to keep an eye out for this. I will add that other tourists seemed to be the biggest danger on the roads here.
On one occasion, we were driving up a really steep hill and came around a short bend where we saw a car stopped in the middle of the road. Turns out the lady had jumped out to take a photo! So reckless! She could have easily caused a crash.
Renting a smaller, more maneuverable car is advisable, as it will help you handle the tight turns and limited parking spaces more easily.
Thanks for Reading!
In short, renting a car in Madeira is a great way to see this stunning island. With limited or no public transport to the island’s remote spots, having your own wheels lets you explore at your own pace and check out places away from the usual tourist track.
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Last Updated on July 4, 2025 by snaphappytravel