For the price we paid we had a very pleasant stay. Large flat with one double bed, a second foldable one that can fit one or two persons and the couch can be drawn out to acommodate one more if needed or should you like your own space. Located closely to the castle. If you do mind the local drug dealer (did not bother us) use the "upper" part of the road leading to the AirBnB ;)
A decently sized supermarket can be found near Martim Moniz station.