Cheapest Places to Stay in Spain (Hostels & Budget Hotels)

Spain offers incredible diversity - from bustling cities to pristine beaches and mountain retreats - but accommodation costs can quickly drain your travel budget. Finding the cheapest places to stay in Spain allows you to extend your trip, experience more attractions, and immerse yourself deeper in Spanish culture. This guide reveals budget accommodation secrets that savvy travelers use to explore Spain without breaking the bank.
Types of Budget Accommodation in Spain
Cheapest places to stay in Spain offers several affordable accommodation options that cater to different preferences and budgets. Understanding what to expect from each type helps you choose the right option for your travel style.
Hostels (Albergues)
The most budget-friendly option, Spanish hostels typically offer dormitory-style rooms with 4-12 beds. Many modern hostels also provide private rooms at higher but still reasonable rates. Expect to pay €15-25 for dorm beds and €40-60 for private rooms.
What to expect: Shared bathrooms, communal kitchens, free WiFi, and social areas. Many hostels organize activities like walking tours or pub crawls, making them ideal for solo travelers looking to meet others.
Pensiones & Guesthouses
These family-run establishments offer private rooms with varying levels of amenities. Pensiones are typically more basic than hotels but provide more privacy than hostels. Prices range from €30-50 per night for a simple room.
What to expect: Basic furnishings, sometimes shared bathrooms, and limited amenities. The charm lies in their authenticity and often central locations in historic districts.
Budget Hotels
Cheapest places to stay in Spain has numerous 1-2 star hotels offering clean, no-frills accommodation. These provide more privacy and services than hostels or pensiones at a moderate price point of €45-70 per night.
What to expect: Private bathrooms, daily cleaning, and sometimes breakfast. Budget hotels typically lack facilities like pools or restaurants but offer good value for travelers who prioritize privacy.
Alternative Options
Consider apartment rentals (€40-80/night), rural stays (€25-50/night), or monastery accommodations (€30-40/night) for unique experiences at budget prices. Work exchange programs like WWOOF or Workaway can provide free accommodation in exchange for a few hours of daily work.
What to expect: Varied experiences from self-catering apartments to immersive cultural stays. These options often provide more authentic experiences and better value for longer stays.
Top Cities for Budget Accommodation in Spain
Some cheapest places to stay in Spain destinations offer particularly good value for budget travelers. Here are the top cities where you'll find excellent affordable accommodation options.
Granada
Home to the magnificent Alhambra, Granada offers some of Spain's best-value accommodations. The student population ensures plenty of budget options, with dorm beds starting at just €12.
Recommended: Oasis Backpackers (€15-20/dorm) offers free tapas tours, while Makuto Guesthouse (€18-22/dorm) features a jungle-themed garden with hammocks.
Tip: Stay in the Albaicín neighborhood for authentic charm and walking distance to major attractions.
Valencia
Valencia combines beach access with rich culture at prices far below Barcelona. The city center and Ruzafa neighborhood offer excellent budget options from €14 for dorms.
Recommended: The River Hostel (€16-22/dorm) near the City of Arts and Sciences, and Home Youth Hostel (€18-24/dorm) with its central location and rooftop terrace.
Tip: Book accommodations near Turia Gardens for easy access to both the historic center and the beach via this beautiful park.
Seville
Despite its popularity, Seville maintains reasonable accommodation prices, especially in the Triana and Macarena neighborhoods where dorms start at €15.
Recommended: La Banda Rooftop Hostel (€18-25/dorm) offers family dinners on its rooftop with cathedral views, while Hostel One Catedral (€16-22/dorm) provides free dinners and excellent social activities.
Tip: Visit during winter (except Christmas) for the lowest rates while still enjoying mild weather.
Madrid
Spain's capital offers surprisingly affordable options, particularly in the Lavapiés and Malasaña neighborhoods. Expect to pay €18-25 for dorms and €50-70 for budget hotel rooms.
Recommended: OK Hostel Madrid (€18-24/dorm) organizes excellent social events, while Bastardo Hostel (€20-26/dorm) offers stylish accommodations with a rooftop bar.
Tip: Stay near Gran Vía for central location but look a few blocks away from the main street for better rates.
Málaga
This Costa del Sol city offers excellent value with beach access, culture, and nightlife. Centro and Soho districts have dorms from €15 and budget hotels from €45.
Recommended: The Urban Jungle Hostel (€16-22/dorm) with its rooftop pool, and Dulces Dreams Boutique Hostel (€18-24/dorm) located above a popular café.
Tip: Visit during shoulder season (May-June or September-October) for perfect beach weather without high-season prices.
Santiago de Compostela
The endpoint of the Camino de Santiago pilgrimage offers excellent budget options, including pilgrim hostels (albergues) from just €8-15 per night.
Recommended: Albergue Seminario Menor (€13-18/dorm) in a historic building, and Blanco Albergue (€16-22/dorm) with modern facilities and helpful staff.
Tip: Even non-pilgrims can stay in many albergues, though some are reserved exclusively for those with pilgrim credentials.
Barcelona
Though Spain's most expensive city, Barcelona still offers budget options, particularly in the Raval, Poble Sec, and Gràcia neighborhoods. Expect dorms from €20-30 and budget hotels from €60-80.
Recommended: Sant Jordi Hostels (€22-28/dorm) with multiple locations featuring themed designs, and Kabul Party Hostel (€24-30/dorm) for social travelers.
Tip: Stay in Poble Sec for proximity to attractions without the high prices of more central areas.
Tenerife
The largest Canary Island offers year-round sunshine and surprisingly affordable accommodations, especially in Puerto de la Cruz and Santa Cruz. Dorms start at €18, while budget apartments can be found from €40.
Recommended: Tenerife Experience Hostel (€18-24/dorm) with organized island excursions, and Banana Backpackers (€20-26/dorm) in a converted Canarian house.
Tip: Northern Tenerife typically offers better budget options than the more tourist-heavy south.
Bilbao
This northern city offers excellent value in the Basque Country, especially in the Casco Viejo (Old Town) and Abando neighborhoods. Dorms range from €18-25, while pensiones start around €45.
Recommended: Bilbao Akelarre Hostel (€18-24/dorm) with excellent pintxos tours, and Quartier Bilbao Hostel (€20-26/dorm) in a renovated historic building.
Tip: Visit on weekends when business travelers leave and hotel prices often drop significantly.
Money-Saving Strategies for Accommodation in Spain
Finding the cheapest places to stay in Spain goes beyond just picking budget properties. These strategies will help you maximize savings while still enjoying comfortable accommodations.
Timing Your Visit
- Off-season travel (November-March): Accommodation prices can drop by 30-50% outside summer months, especially in coastal areas.
- Shoulder seasons (April-May, September-October): Enjoy good weather with 20-30% lower prices than peak summer.
- Weekday stays: In business cities like Madrid and Bilbao, weekend rates are often cheaper as business travelers leave.
- Long-term discounts: Many properties offer 15-25% discounts for stays of a week or longer.
Booking Strategies
- Book directly: Many hostels and small hotels offer 5-10% discounts for direct bookings.
- Use price comparison tools: Sites like Hostelworld, Booking.com, and Hostelsclub should be compared for the best rates.
- Last-minute deals: Apps like HotelTonight can offer 40-60% discounts on same-day bookings.
- Loyalty programs: Booking.com Genius and Hostelworld membership provide 10-15% discounts after just a few bookings.
Alternative Accommodation
- Religious accommodations: Monasteries and convents offer rooms from €25-40, especially along pilgrimage routes.
- University residences: During summer breaks (June-September), many universities rent rooms from €20-35 per night.
- Work exchanges: Platforms like Workaway and WWOOF offer free accommodation in exchange for 4-5 hours of daily work.
- House sitting: Sites like TrustedHousesitters connect travelers with homeowners needing pet/house sitters for free stays.
Location Strategies
- Stay just outside city centers: Prices drop 15-30% just a 10-15 minute walk from main tourist areas.
- Choose emerging neighborhoods: Areas like Lavapiés in Madrid or Poble Sec in Barcelona offer better value than established tourist zones.
- Consider smaller cities: Salamanca, León, or Cádiz offer similar cultural experiences to major cities at 30-40% lower prices.
- Stay connected: Ensure good public transport connections to avoid spending savings on taxis.
What to Look For (and Avoid) in Budget Accommodation
Not all cheap stays are created equal. Here's how to evaluate budget properties to ensure you get the best value without unpleasant surprises.
What to Look For
- Free breakfast: Can save €5-10 daily and provide substantial morning fuel.
- Kitchen access: Self-catering can reduce food costs by 50-70% compared to eating out for every meal.
- Central location: Saves on transportation costs and time.
- Security features: Lockers, 24-hour reception, and key-card access indicate a safe environment.
- Social activities: Free walking tours, communal dinners, and pub crawls add value beyond just a bed.
- Recent reviews: Look for consistently positive feedback within the last 3-6 months.
- Flexible cancellation: Policies that allow changes without penalties provide peace of mind.
- Air conditioning: Essential for summer stays in southern Spain where temperatures regularly exceed 35°C (95°F).
What to Avoid
- Consistently poor cleanliness reviews: A red flag that shouldn't be ignored regardless of price.
- Remote locations: Transportation costs and time can quickly erode any savings from cheaper peripheral accommodations.
- Hidden fees: Watch for extra charges for linens, towels, lockers, or late check-in.
- Misleading photos: Extreme wide-angle shots or professional photography that doesn't match recent guest photos.
- Outdated reviews: Properties with no recent reviews may have declined in quality.
- Poor WiFi mentions: Unreliable internet can be particularly problematic for digital nomads or those needing to book onward travel.
- Safety concerns: Any mentions of theft, harassment, or security issues should be taken seriously.
- Strict cancellation policies: Budget travel often requires flexibility.
How safe are hostels in Spain for solo travelers?
Spanish hostels are generally very safe, with most offering secure lockers, key-card access, and 24-hour reception. Female solo travelers can opt for female-only dorms available in most hostels. As in any destination, take normal precautions with valuables and be aware of your surroundings, especially when returning late at night.
What's the best time to find cheap accommodation in Spain?
November through March offers the lowest prices nationwide (except Christmas/New Year and in ski areas). For beach destinations, May-June and September-October provide an excellent balance of good weather and reduced rates. In major cities, August can be surprisingly affordable as locals vacation elsewhere and business travel declines.
Do I need to speak Spanish to stay in budget accommodations?
While knowing basic Spanish phrases is helpful and appreciated, most hostels and budget hotels in tourist areas have English-speaking staff. In smaller towns and rural areas, language barriers may be more common, so having a translation app can be useful. Learning simple greetings and accommodation-related phrases will enhance your experience.
Conclusion: Affordable Spanish Adventures Await
Spain offers remarkable value for budget travelers who know where to look. From vibrant hostels in historic city centers to charming pensiones in coastal towns, affordable accommodation options abound throughout the country. By following the strategies outlined in this guide and choosing from our recommended budget-friendly destinations, you can experience Spain's rich culture, stunning landscapes, and legendary hospitality without straining your finances.
Remember that the cheapest places to stay in Spain aren't just about saving money—they often provide the most authentic experiences and opportunities to connect with fellow travelers and locals alike. With smart planning and the right expectations, your Spanish adventure can be both economical and unforgettable.
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