Going back to Albufeira shortly. have been going at least once a year for 10 years. There are loads of good places to eat.inc Portugese, Italian, Thai, Chinese and British. I can recomend the Cottage, located on "the strip", Rua Sa Carneiro. Plus the Verde Minho, Rua Dunfermlin, a Portugese buffet style eatery.
You will get a large beer for 1.50, at the Cheers bar Ave Infante Henrique and many other places. A good bottle of wine from a wine shop will cost from 3.80., but expect to pay 10 upwards ordered with a meal.
Have a look at www.albufeira.com