Where to stay in Algarve? Family of 3

I narrowed down to 2 towns when I decided to check out Algarve last Nov: Lagos and Tavira. Both turns out to be disappointing--mainly because I don't have a car; you do need a car to go see different scenic sites down there.

Faro is a big concrete city so I wouldn't stay there. Rick Steve raves about Tavira but it didn't impress me. Lagos is a mini version of Faro, but I think you won't see much party goers yet in March so this is probably the best place to base your stay in Algarve. From here, you can see easily head east to Tavira or west to southern most point of Portugal. There are many scenic coast points outside around Lagos.

http://www.flickr.com/photos/youngadventure/sets/72157632246015587/

Many thanks for your input. On the topic of getting around, are there not many taxis around? Also, would travelling to either of these locations from the airport prove to be a tricky task or are there options such as train, bus/coach, etc?

There are taxis. I rarely use them so I can't tell you the price but certain not cheap (I believe local bus ride from Lagos to Tavira cost me 10-11EU and took roughly 4 hours). Train and bus are available along the coastal towns, but infrequent (3 or 4 times a day when I was there; could be more frequent by the time you're there). Local bus ride between Lagos and Faro is about 2 hours if my recollection is correct (Faro to Tavira by local bus also about 1.5-2.0 hrs).

A car is the best way to see the best of Algarve in my view.

Hi .
Albufeira is the gateway to the Algarve . In March it will be lively enought to provide enough bars and restaurants to entertain you with some tourists around ,but not packed like in the summer months . It is located in central Algarve and 40 minutes from Faro airport --an airport transfer will be 35e each way aprox .
You will not need a car -if you dont want to hire one -but a weekly hire will be 100e (again aprox -depending on the company)
Local busses will bring you to the beach,shops,bars or depending on where you stay ,you can walk .
You can stay in a hotel or rent a villa . again various prices .
If you are interested in a self catering villa -300e total for your stay - contact me .
My website also has maps and Things to do http://www.affordablealgarve.com

Day trips to Lagos ,Tavira ,Silves,Salgados etc can be arranged from Albufeira.
Day tours are cheap and Taxi fares are very cheap .

Tavira doesn't sound a bad option. It's popular with families and older people - quiet and civilised. I can't see the attraction of Albufeira. High rise, night life, frequent violence... Not for everyone.

If you do not have a car, then for a family i think the best way to go to anywhere from the airport is to get a nice Faro Airport Transfer company. I recommend TakemeThere.