Hi Sarah, Albufeira will be great for you and your family. The Portuguese are very child friendly & so obliging. If you are a night halk so to speak you cant go wrong. There are two sides to Albufeira, The old town with load & loads of bars of different family entertainment & restaurants galore & is very family orientated ,and the New town (The Strip) Arieas San Joao which is full of bars all with different entertainment & restaurants galore,(take your pick), which is also for familys but also more the younger end. If you stay in-between the both of them you can pick and choose where to spend your eating out and entertainment & have best of both worlds. There is also a motorised train which runs from the Old town to the New town (The Wolly Trolly) and it runs from early morning until about 2.30am. If you do decide to book I'm sure you will really enjoy it and hopefully become an addict to the Algarve. Give it a try. Cheers Jayjan