Budget accommodation in Melbourne


Budget Accommodation in Melbourne

Traveling solo or in a group of friends? Are you a backpacker or a budget traveler? Melbourne can be an expensive destination particularly when it comes to accommodation. However, if you know the right places, it will be inexpensive. We have collected for you the 5 best hostels where you can stay and enjoy the best city in the world on a low budget! Hostels are the best option for three reasons: You can meet loads of people just like you, you can discover the best options concerning your trip and of course you can join loads of parties.

Here are our recommendations:

  1. Discovery Melbourne

Location: Melbourne CBD

If you are a ‘social butterfly’ or a ‘party animal’ do not even think about it. Discovery Melbourne is in the heart of the city and runs events EVERY single day! Facilities include a huge kitchen and a laundry room for your ease. The hostel owns a bar itself, where the events take place too, and where you can get cheap drinks and start your night out in the big city. What an easy way to socialize! The hostel serves free breakfast and has a café right at the entrance where you can get breakfast, lunch and dinner! In addition to everything, a travel agency on the ground floor can help you organize amazing trips within and outside Melbourne.


Hostels in Melbourne

Photo by: Discovery Melbourne

  1. Space hotel

Location: Melbourne CBD

If you want a stylish, modern but still budget accommodation this is the hostel for you. Located in the heart of Melbourne just near Lyon Street, one of the most famous restaurant districts in the city. Space hotel will make your stay unforgettable with its many facilities. Facilities include a gym, a games room, a lounge, a cinema room, tea and coffee stations on each floor and of course the Cinema Blue Moon Bar & Restaurant. Every private room also has an iPod dock and a flat screen TV! All of the dorms include secure lockers, private reading lights and power points. What an easy way to enjoy your holidays. A very comfortable and friendly place to stay.

Hostel in Melbourne

Photo by: Space Hotel.

  1. Base St. Kilda

Location: St. Kilda

Live it like an Aussie. If you’re looking for something near the beach and experience the Aussie lifestyle, this hostel is made for you! Base St. Kilda has a hip style which fits in perfectly with the vibes of Melbourne. Free Wi-Fi, free pancakes, free daily activities; what else do you need. Put on your ‘swimmers’ and your ‘thongs’ and explore the trendy area of St Kilda, go to the beach and even have fun at Luna Park. The award winning hostel owns the Red Eye bar where you can enjoy live music and Dj’s at its nightly events. These include a popular ladies night, trivia and BBQ’s. Get your discount vouchers upon arrival and use them at the bar! It’s the best way to live like an Aussie in Melbourne!


Hostels in St kilda

Photo by: Base St Kilda

  1. Habitat HQ

Location: St Kilda

With numerous awards including the STAY WYSE 2012 Green Initiative Award, Habitat HQ is another great option in fabulous St Kilda. If you are looking for a comfortable, relaxing stay, then this is the place for you. Is there a better recommendation than winning so many industry awards? Customer satisfaction is the key to Habitat’s success. The green hostel has a free tour booking service while its location is perfect to explore St Kilda. Its closeness to transport is another plus. It is only a few meters away from the tram stop for the 20-minute ride to the city center. Book a place at the hostel, relax, plan your ‘must see’ trips and get out and explore.


  1. Melbourne Central YHA or Melbourne Metro YHA

Location: CBD

If you prefer loyalty rewards, then YHA offers two great hostels in the center of Melbourne. Become a member of YHA hostels and get discounts on your stays, transfers and more. YHA owns a large number of hostels around Australia.

Melbourne Central YHA is located on Flinders street and only minutes away from Federation Square, Crown Casino, Southern Cross Station and other Melbourne attractions. A communal area is located on the ground floor with free Wi-Fi. You can also enjoy some city views from the cool rooftop and BBQ area of the hostel where you can socialize with some new people. The hostel has an arrangement with a gym nearby and hostel residents can use the facilities for just $5 per day. Trivia nights, table tennis competitions, pub crawls and other activities are part of the events the hostel organizes while you can also enjoy some drinks while watching your favorite sports at the bar of the hostel. This hostel offers 24-hour reception too for your convenience!



Melbourne Metro YHA hostel, on the other hand, is located in the northern part of the CBD; a short distance from the Queen Victoria Market and the CBD free tram zone. This hostel offers a self-catered kitchen and free WI-FI, as well as parking (not free) for those who possess a car. The highlight of the hostel is the rooftop and BBQ area where you can chill on the bean bags and enjoy amazing views of the city of Melbourne.

These are some of our top picks for comfortable and economic stays in lively Melbourne. They cater for all types of travelers. Enjoy your stay!

Let’s Go Australia!



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