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Hiring a car is one of the best ways to explore Madeira, but its mountainous landscape with steep hills and narrow streets can be intimidating for first-timers. It’s normal to have a few questions (and maybe some nerves!).
In this guide, we're covering everything you need to know about renting a car and driving in Madeira from our own experience.
General Car Rental Questions for Madeira
In this section, we'll cover any questions you might have about renting a car in Madeira, like if its worth it and what car type you need.
Is It Worth Renting a Car in Madeira?
Yes, renting a car in Madeira is 100% worth it, especially if you want to explore beyond Funchal. Renting a car will give you the freedom and flexibility to explore Madeira at your own pace and access lesser known spots you'd otherwise miss.
We rented a car so that we could reach hikes and viewpoints at sunrise and sunset! Need a car for your trip? Find the best rental deals here 👇
Do You Need a Car to Get Around Madeira?
If you’re planning to stay in Funchal and take a few day tours, you can manage without a car. But if you want to explore places like Pico do Arieiro, São Vicente, Seixal, Ponta do Pargo or the Levada trails at sunrise, public transport won't cut it.
Driving is the easiest and most flexible way to see the island, especially if you're looking to explore the island's unique landscapes or avoid large tour groups.
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What Type of Car is Best for Madeira’s Roads?
Madeira’s roads are steep, narrow and winding, so a small or midsize car with some power (e.g. compact SUV or hatchback) is ideal.
You don’t need a 4x4, but try to avoid low-powered cars if you’re planning to drive into the mountains. We didn't have a massively powerful car and it performed fine, but it was small and compact.
If you're not super confident with parking or maneuvering in tight spots, go for something smaller, many of the village roads and parking spaces are pretty tight.
Can You Rent an Automatic Car in Madeira?
Yes, automatic cars are available, but there's often not as many and they're more expensive than manual cars. If you only drive automatic, make sure to book well in advance, especially in peak travel months.
What Age Do You Need to Be to Rent a Car in Madeira?
Most rental companies require drivers to be at least 21 years old, and some might charge an additional fee for drivers under 25. You’ll also typically need to have held your license for at least one year.
We were only 2o on our first visit to Madeira, so finding a rental car was quite difficult. However, we ended up contacting a small local company that rented a car out to us - it was slightly more expensive because of our age, but it's still possible!
Do You Need an International Driver’s License to Drive in Madeira?
If you’re from the EU, UK or most English-speaking countries, your standard driving license is valid in Madeira.
It's not necessary to have an international driver's licence to drive in Madeira, but it can help if you're not from a EU/EEA or English speaking country.
How Much Does It Cost to Rent a Car in Madeira?
Renting a car in Madeira is actually quite cheap, but prices do vary depending on the time of year, car type and how far in advance you book. As a rough guide:
- Off-season: €20–€40 per day for a small manual car
- High season: €40–€80+ per day for an automatic or SUV
Should You Book Your Rental Car in Advance?
Yes, Madeira is becoming increasingly popular and during summer or holiday periods, rental cars can sell out fast. Booking in advance gives you more choice and better prices.
Are there any car rental scams to watch out for in Madeira?
While car rentals in Madeira are generally safe, there are a few things to keep in mind:
- Damage claims: Always inspect the car and take photos of existing damage before you drive off.
- Fuel policies: Confirm whether the fuel policy is full-to-full to avoid extra fuel charges.
- Deposit and credit card: Make sure you know the deposit amount and whether a credit card is required.
Driving in Madeira: What to Expect
In this section, we'll cover everything you need to know about actually driving in Madeira, from road conditions, mountain driving and parking information.
How Difficult Is It to Drive in Madeira?
Madeira's road network is very well-developed, especially around Funchal (the capital), and other big towns. However, Madeira has a very mountainous terrain and rocky coastline, so many roads are steep, winding and narrow.
Most of the hiking trails, waterfalls and main attractions are only accessible via mountain roads, so it's hard to avoid unless you stay in Funchal or bigger towns.
In our own experience, the roads have been absolutely fine and we've had no problems. However, we are experienced with steep and winding roads so this may have made it easier for us.
If you have no experience with steep and narrow roads, sharp bends and heights, then it may be a slight learning curve for you. However, It doesn't take long to become familiar with the roads and learn to drive them safely.
Here’s what you can expect from driving in Madeira 👇
- Motorways and Main Roads: The island has a few major motorways, including the VR1, which connects Funchal with the eastern and western parts of the island. These roads are usually wide and in excellent condition, with lots of tunnels.
- Secondary Roads: As you venture into rural areas, roads become narrower and more winding. Be prepared for hairpin bends and steep inclines, especially when driving through the mountains.
- Old Mountain Roads: Madeira has an old network of roads that wind along the coast and dramatic cliffs. Many of the old roads have been closed due to rock fall or general maintenance issues. These roads are not for the faint hearted, but if you’re after an adventure then check them out!
Are the roads in Madeira safe?
Yes, the roads in Madeira are generally very safe and well-maintained. Major routes like the VR1 are smooth, modern and easy to navigate. Even in more remote areas, the roads are usually paved, although conditions can vary in more rural spots. The key to safe driving here is taking it slow, especially when driving along mountain roads.
What side of the road do you drive on in Madeira?
You drive on the right-hand side of the road in Madeira, just like in mainland Portugal and most of Europe. If you normally drive on the left (like us), don't worry, it doesn't take long to get used to driving on the opposite side.
Is there a lot of traffic in Madeira?
No, there's not usually a lot of traffic throughout Madeira. The only place you might come across traffic is in Funchal, especially during rush hour or near popular spots.
Is parking easy in Madeira?
Yes, parking is mostly easy throughout Madeira. In Funchal, you'll find plenty of car parks, whereas the rest of Madeira has small car parks or road parking.
It might be difficult to park in Madeira in the busy seasons (school holidays etc) as small car parks can fill up, but we can't give our experience on this as we have only visited in September!
Are there enough petrol stations and how do you fill up your car with fuel?
There are plenty of petrol stations across the island, especially near Funchal and along main roads. Some are self-service, but some have attendants who will fill it up for you and you go inside to pay. You can normally use cash or card at most petrol stations, we always used card!
What are the speed limits in Madeira?
Speed limits are displayed in km/h, which is a slight learning curve if you're from the UK like us and use mph (miles). However, you get used to converting it quite quickly.
The roads are well signposted with speed limits, but generally the rules are:
- 50 km/h (31 mph) in urban areas
- 90 km/h (56 mph) on rural roads
- 100–120 km/h (62–75 mph) on expressways (like the VR1)
Are road signs easy to understand?
Yes, road signs in Madeira are similar to those used across Europe. They're clear, use international symbols, and are usually in Portuguese with occasional English.
Are There Toll Roads in Madeira?
There are no toll roads in Madeira, you can explore the entire island without needing to worry about toll fees.
Chloe Butcher
Alternatives to Renting a Car in Madeira
If you're not sure about renting a car in Madeira, this section covers the alternative options you have, from public transport to group tours.
What alternative options are there for getting around Madeira without a car?
The other transport options in Madeira include public transport, taxis, group tours or private transfers, and of course walking (within the city).
What is public transport like in Madeira?
Madeira has a few bus networks that cover the island, these are:
- Horários do Funchal – covers the city and nearby areas
- SAM – covers the eastern part of the island
- Rodoeste – covers the west and north
Public buses are cheap and reliable in urban areas, but they can be infrequent in rural areas and timetables aren’t always easy to understand.
If you're only staying in Funchal and doing guided tours, it can work, but it’s not ideal for exploring lesser known areas.
We can't give the best advice with public transport as we didn't use any of it ourselves, but we would only recommend relying on public transport if you don't plan to explore too much and you're sticking to the main towns.
Are there guided tours available?
Yes, there are plenty of day tours and activities that cover the island’s best spots, perfect if you're not renting a car. You can book tours to:
- Pico do Arieiro & Pico Ruivo
- West coast (Porto Moniz, Seixal, Cabo Girão)
- East coast (Santana, Machico, Ponta de São Lourenço)
- Levada walks and hiking trails
These usually include hotel pick-up, so they’re great for convenience. Just keep in mind they follow fixed itineraries, so you lose the flexibility. Or, you can do a private tour and tailor it to your own schedule, but this will be the most expensive option!
Where to stay in Madeira without a car?
If you don’t plan to rent a car, Funchal is by far the best place to base yourself as it has walkable streets with plenty of restaurants, markets and attractions, and easy access to day tours and public transport routes. Read our full guide on where to stay in Madeira 👇
Chloe Butcher
Final Thoughts on Renting a Car in Madeira
Renting a car in Madeira is definitely one of the best ways to experience everything this island has to offer, you'll have the freedom to explore hidden gems, go off the beaten path, and make your own schedule.
If you’re not up for driving, you can still see plenty by staying in Funchal and booking day tours, but for those who love a good road trip and want to make the most of their time on the island, hiring a car in Madeira is 100% worth it.
Useful resources for planning your trip to Madeira 👇
Chloe Butcher
Rory Watson
