I loved staying at Chillout, Lisbon. The staff were very organised, friendly and welcoming straight away and continued to be throughout our stay. The facilities are well looked after. The overall vibe is really chilled and relaxed; a real portugese feel. The free wifi was helpful and I loved the free breaky. We could also store our bags at the hostel for free if we were leaving the area for a couple of days, saved us lugging around our suitcases. Thanks for an easy stay! I definitely reccommend Chillout to ALL travellers.
We had a very nice stay in Hospedaria Por de Sol. Very friendly personal, good breakfast. Madeira has a lot of hills, after a long walk it is difficult to climb the last hill to the house and the stairs in it ... Room is simple, but good. Shower is not for elephants ... only for tall people.
But we are very lucky there!