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Input on more detailed Lisbon and Algarve itinerary

We are a senior US couple in the mid-70s interested in ambience, culture, natural beauty and beaches. Here is a detailed itinerary developed based on books and forum postings, but I greatly would appreciate reactions and also responses to a few specific questions below. We will be traveling in mid August, so know we need to finalize our reservations relatively quickly.
Day 1. Arrive Lisbon on flight around dinner time. Check into Hotel Heritage Lisbon Plaza for 5 nights. Question--is this hotel a good choice in terms of ambience, location etc.? Are there any other 4 star hotels we should consider?
Day 2. Sightseeing in Lisbon.
Day 3. Train day trip to Sintra.
Day 4. Sightseeing in Lisbon.
Day 5. Train day trip to Cascais/Estoril.
Day 6. Fast train to Faro where we will reserve a rental car. Here are a few questions:
1) Any recommendations for a rental car agency? We have used Sixt in the Azores but I have seen negative postings about Sixt.
Also, is there the ability to pick up a rental car near the rail station if we return it to the airport?
2) We would like to stay in a picturesque relatively quiet town/location and we will have a car to explore. Are there recommendations for places to stay in Tavira, Lagos, Salema, Praia da Luz or anywhere else which might be picturesque and relatively low key?
Day 7-9 or 10. Days 6 and 10 will be travel days. Would you recommend 2 or 3 full days in the Algarve? We would then return to the US from Faro.

Thank you for any thoughts.

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I am interested in your topic as well. We are landing in Lisbon and after spending the night to rest, leaving for the Algarve where we have a car rental. I think we have decided to take the Flixbus from Lisbon to Portimao in the Algarve and not the train. the bus is actually about 20 shorter trip and there is no connections like the train would for us. We are renting through Budget and hope it is problem free. It was a hard decision on what company to go with. Also from other blogs, it is better to take Uber or Bolt for a trip to Sintra from Lisbon. May be a few euros more but still cheap and hassle free. Also the Uber can take you directly to where you want to go in Sintra. I have heard that you may wait a bit to get one from the train station.