Well we have been to Albufeira in February and also March for the past few years and have had some very nice weather although have had a little bit occasional rain. Managed to have a swim in the outdoor pools tho not that many people braved it cos the water was cold. Spent an odd day or two at Fisherman's Beach and saw quite a few families with children in their swimwear. They only paddled at the edge as seawater was very cold. Always needed a cardi for the evenings but very pleasant for walking about during the day. Came home with a nice tan/healthy glow.
To be honest there was enough bars/restaurants and shops opened to suit us and we liked the fact that the place wasnt heaving. More and more places were opening every few days. Theres a lot of "long stay" people in Albufeira around that time. We will be going back in March this year.