Hostels are a great way to travel around Australia, while getting the most bang for your buck. As the largest and one of the most touristic cities in the country, Sydney can be an expensive place to stay.
Sydney is a popular destination for Sydney backpackers looking for affordable accommodations.
Hotel vs Hostels in Sydney
A room at a hotel can easily run you over $200 Aussie dollars, and that’s without considering food. That’s where hostels can come in to help you stretch your travel budget.
With shared amenities, like kitchens and bathrooms, you can cut down on accommodation costs. They’re also an amazing place to get to know other travellers, so you have other people to share your adventures with.
Many hostels in Sydney are strategically located in or near the central business district, allowing guests easy access to major attractions, nightlife, and transportation. This prime location enhances the overall experience for travellers looking to explore the city.
And, don’t worry! Hostels aren’t just for young people or backpackers anymore! Anyone can stay in a hostel nowadays. The most important part is finding the right fit for you; that’s where we come in.
Check out this list for the best hostels in Sydney Australia and find the perfect place for your stay!
For a Great Place to Meet People: Wake Up! Sydney Central
This hostel is both convenient and large enough to fit any traveller’s needs, without taking you away from the action.
Located right across from the central station, Wake Up! Sydney is one of the most popular hostels in the whole city. With over five hundred beds spread across different room types, from female-only to double rooms, you can find the perfect room type for your situation.
Since the hostel is so large, you’ll find plenty of solo travellers here, looking to make friends and connect. The hostel also hosts a notorious bar in the basement, Sidebar, which always has events and live music going on.
The best part? Wake Up! Sydney is also consistently voted one of the best hostels in Sydney, owing to its cleanliness, friendly staff, and great community feel.
If you want to meet people during your travels, Wake Up! Sydney is a perfect spot for you!
For a Beach Escape: Bondi Beach Backpackers
Although Bondi Beach is technically a suburb of Sydney, this beach town is an iconic spot to visit. With beautiful sunrises, incredible beaches, and lively energy, Bondi Beach is a great complement to any city vacation.
There is no better hostel to stay at than Bondi Beach Backpackers. Located just walking distance from the beach, you’ll be at the heart of Bondi for your whole stay.
With different room styles, from mixed dormitories and gender-specific dorms to family rooms and private rooms, you can find something to fit your travel group and budget.
Bondi Beach Backpackers also helps you embrace the Bondi Beach culture with surfboards, snorkels, sunscreen, and more! If you want to add some beach time to your trip to Sydney, without breaking the bank, this is the place to go!
For Amazing Views of the Harbour: YHA Sydney Harbour - The Rocks
You’ll feel like you’ve spent thousands of dollars for the views from YHA Sydney Harbour!
This hostel also boasts a stunning rooftop terrace, perfect for taking in the views around the harbour, including the iconic Sydney Harbour Bridge and is rated 4.5 on Google! This surely makes it one of the highest rated backpackers in sydney.
Built directly into the historic Rocks precinct, this hostel puts you at the heart of many of Sydney’s biggest tourist attractions, all without breaking the bank. There are a variety of rooms, from mixed dorms to private ensuite options, with shared amenities, such as a kitchen and communal living spaces.
Whether you’re taking in the views from the deck or enjoying your free breakfast, you’ll always feel you’ve gotten a deal at YHA Sydney Harbour.
I have been here visiting some friends who have travelled to Sydney and the staff are also friendly and knowledgeable, so they can help you plan your time in Sydney.
This is a great option for people who want to be in the centre of Sydney’s tourist scene, without exhausting the budget in one go.
For a Laid-Back Social Environment: Mad Monkey
Let’s say you want to meet people during your time in Sydney, but you’d prefer a more chill environment. If you’re looking for a party hostel with a more relaxed vibe, Mad Monkey Backpackers could be for you!
This hostel conveniently sits on Kings Cross, just two minutes from the train station. All of the rooms in this hotel are shared, with between 4 and 14 people to a room, prices varying accordingly. You can also take advantage of the free gym, TV room, and games room during your stay!
Another vibrant and sociable option nearby in Kings Cross is Summer House Backpackers, known for its excellent amenities, communal atmosphere, and frequent social events.
Both strike a rare balance between social and laid-back for travellers. With organised events almost every night in the communal living spaces, there are always new ways to connect with people. Plus, the limited age range of the property (between 18 and 35 years old), means you’ll always be around people your age, making it easier to make connections and have fun.
For a Bit More Privacy and Private Rooms: The Capsule Hotel
Okay, you caught me. This one isn’t technically a hostel, but the private spaces and futuristic vibes on a budget make it worth a mention.
The Capsule is located above The Century Bar in the notable Sydney CBD, which is full of restaurants, bars, and things to do. You’ll also be just steps away from the Town Hall Railway Station, which can take you to all of Sydney’s other best attractions.
The Capsule Hotel is an amazing option for solo travellers, who are longing for more privacy. Every guest gets their own capsule, with a safe, locker, USB plugs, comfortable bed, and more. Though the capsules are quite basic, they have everything you could need.
Plus, there’s an option to upgrade your capsule and receive more amenities, such as towels included and a television. It’s a fun, futuristic vibe that gives you the privacy you might be craving after staying in other hostels.
For Many Activities at Your Fingertips: Nomads Sydney
Nomads Sydney is not just conveniently placed in the heart of Sydney, it also provides a great place to mingle and interact with other travellers.
With its convenient location just off the train station, which can take you directly to and from the airport, Nomads Sydney puts you right next to main attractions, such as the Sydney Opera House and Darling Harbour. The rooms all feature comfortable beds and spacious lockers, with a combination of mixed and private room options to fit your needs!
This hostel is notorious for keeping its guests entertained. You’ll find that they host free events every day, ranging from beach outings and yoga classes to walking tours and authentic Aussie beach barbeques!
If you haven’t had time to plan any activities in Sydney, Nomads Sydney makes it easy, by giving you plenty of things to do and people to meet throughout the day. As if that weren’t enough, they even have an award-winning bar on site, The Scary Canary, which attracts travellers and locals alike with their excellent prices.
Easily one of the best hostels in Sydney for travellers who don’t have their activities totally figured out yet.
For a Long-Term Stay with a Local Feel: The Village Glebe
If you’re planning to spend more than a few days in Sydney, you may prefer to be a bit removed from the busiest tourist areas.
The Village Glebe is perfect for that circumstance. Still located in a central location in Sydney, with picturesque tree-lined streets, the Village Glebe puts you in a more locally-focused neighbourhood without getting too far away from all the tourist attractions. The mix of room styles, from private rooms perfect for couples to mixed dorms accommodating many people, you can find the right fit for you!
The Village Glebe is a perfect base for those planning to spend more than a few days in Sydney, because it’ll put you in a more local neighbourhood.
Glebe is a vibrant spot, popular with young people, artists, and musicians. You won’t be able to go more than a few steps without finding a hip cafe, bar, or unique vintage store to check out. It’s the perfect place to wander and get to know the city.
Once you’ve had your fill for the day, you can always return to the Village Glebe and appreciate the shared amenities, such as the spacious kitchen, outdoor dining area, and TV room. It’s one of the best hostels in Sydney for getting you into a local’s mindset!
Visiting Sydney on a Budget: Best Backpackers in Sydney
When you’re travelling through Australia, you have to stop in Sydney!
As the largest city in the country, with iconic landmarks like the Sydney Opera House, you’d be crazy not to spend some time getting to know the city. However, that doesn’t mean travelling in Sydney should break your budget.
There are plenty of clean, fun, and unique options among the best Sydney hostels, which offer great value and community to travellers from around the globe.
When you’re planning your trip to Sydney, skip the hotels and AirBnbs altogether. This guide will walk you through the best hostels in Sydney, according to your interests.
This will give you the experience you’ve always dreamed of in Sydney, without the high costs and stress. See you in Sydney soon!
