Just got back from a week in the Algarve, literally yesterday. We stayed in Guia, just out from the town. Glad we did. We spent one night in old town Albuferia, and that was enough.
Walking about was akin to walking down the main strip in Kavos or Magaluf at peak season, restauranteurs haranguing you for business and when you finally find a seat you're then hassled by some little gimp walking the streets trying to sell you dope, coke or smack. We were there for 4 hours, got offered drugs no less than 20 times - even during our meal. Very disappointing, and very underwhelmed with the whole experience. We didn't go back.
On the flipside, the weather out there at the moment is awesome and if you can get out to Guia there's a couple of lovely beaches, a great restaurant called Tia Maria, and a bit further on from that there's an English bar called Scooby Doo's run by a very nice chap called Simon. He offers a pickup/collection, and a breakfast drop off in the morning, and the ribs are awesome. After our horror night out in town that was a welcome change of pace!
For the record I love experiencing other cultures and walks of life but Albuferia just felt like Amsterdam at peak tourist season for drugs with tacky music, mediocre food, and a "watch your wallet" feel.