Occupancy levels rise, with only 1999 and 2000 seeing stronger results
The Algarve’s hotels and other tourist accommodations had a strong month in May 2025, with room occupancy reaching 74.8% — a 1.2 percentage point increase compared to May 2024.
The data, released by AHETA (the Algarve’s main hotel association), also reveals that this was the third-highest occupancy rate ever recorded for the month of May, surpassed only by 1999 (80.8%) and 2000 (74.9%).
Several key markets helped drive the increase: domestic tourism led the way with a 1.9 percentage point rise, followed by Spain (+0.6pp) and Germany (+0.4pp). In contrast, the British market fell by 1.5 percentage points, while the Swedish market dropped slightly (-0.4pp).
The average stay in May was 3.7 nights, down 0.5 nights compared to the same time last year. Still, visitors from the Netherlands, Germany, and Sweden tended to stay longer — averaging 6.2, 6.0, and 5.6 nights respectively.
In another positive sign, revenue per available room (RevPAR) rose by 9.5%, approaching €82, suggesting a strong start to the summer season for the Algarve’s tourism industry.
