Pousada Capim Santo
This delightful, family-run pousada set right on the Quadrado is one of the oldest in town, dating back to the '80s when owner Sonia arrived from São Paulo with the first wave of hippies and began cooking up delicious food in her kitchen. These days, its 20 barefoot-beach-chic rooms, spread through 10,000 square meters (2.5 acres) of tropical garden, remain one of the best value options in Trancoso, combining vibrant hospitality with a great restaurant, lovely breakfast, and tranquil pool.