Australia

Editor Picks: The Best Hostels in Melbourne

by Allie D'Almo  |  Updated August 25, 2024

Hugely popular with backpackers, the cosmopolitan Australian city of Melbourne caters for budget travellers with a wide choice of hostels.

(Photo: The Village / Courtesy Booking.com)

The second-largest city in Australia is beloved by everyone – gourmands, hipsters, culture vultures and the sports-mad. And just because you may be on a budget doesn’t mean you have to slum it during your stay. Melbourne is thronging with great-value digs that offer style and substance in some of the city’s best locations. If you’re looking for a budget bolthole in the city, take a look at 7 of our favourite hostels in Melbourne.

The Village

The latest outpost of millennial favourite, The Village, opened in Melbourne in 2019. Located right in the thick of the action at the edge of CBD, this hip hostel is a short walk from a remarkable range of bars, clubs and restaurants. It also hosts regular events – most of them free – at its underground nightclub and bar. Rooms are mostly dormitory-style, ranging from intimate 4-beds to mammoth 18-beds, and there’s also one cosy private available. A cheerful reception desk is available 24/7 to help with holiday planning and there are chill-out areas on each floor, with free pool, table tennis and board games for downtime. From $51 per night.

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The Mansion

(Photo: The Mansion / Courtesy Booking.com)

The Mansion Melbourne is an aptly named, castle-like hostel in the city’s artsy inner-city suburb, Fitzroy. There are 14 rooms to choose from, ranging from private doubles to 4,5,6 and 7-bed dormitories. Pillows are plump and mattresses are top-quality, promising a sound night’s sleep regardless of whether you’re sharing. The former Salvation Army building is teeming with character, from an original double staircase to retro 1960s tiling. There’s also a communal lounge, a sun-filled courtyard, co-working spaces and an onsite cafe, The Salvation, offering free tea and coffee all day. From $73 per night.

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Nomads St Kilda

Nomads St Kilda knows a thing or two about how to party. Offering a dizzying calendar of events, from Big Willy’s Boozy Bingo to Wings and Sings Night to Sunday Funday Beer Pong, this sociable hostel is just as famous for its entertainment as it is for its rooms. The pillar-box red building is located in the beachside borough of St Kilda, famous for its creative community spirit. Guests can choose from a range of mixed and female-only dormitories, some with private balconies too. Days here start with free pancakes and inevitably end in the basement club, the thumping Red Eye Bar. From $48 per night.

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South Yarra Hostel 

(Photo: South Yarra Hostel / Courtesy Booking.com)

Another offering from this increasingly popular southeastern suburb, South Yarra Hostel boasts some of the most spacious dorm rooms in the city, moments from the Toorak shopping strip. Guests have a choice of 2,3 and 4-bed dorm rooms, all with wardrobes, secure boxes and private bathrooms. There’s a roomy communal kitchen, with three large refrigerators and two ovens, as well as barbeque facilities too. For quieter evenings, a large lounge area offers a 142-cm TV screen with a diverse collection of DVDs. From $66 per night.

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Landing Pads Brunswick 

For visitors looking to stay in Melbourne for longer than a few days, Landing Pads Brunswick is ideal. Located in Brunswick, a suburb six kilometres north of Melbourne city centre, this friendly hostel was designed with working travellers in mind. Helpful services, like job seeker tutorials and local job contacts, are free and available to all visitors, while the seven-night minimum stay policy encourages guests to get to know each other. There’s no on-site bar, but there is a well-equipped kitchen, BBQ area and covered terrace. Guests can choose from a range of 6,8 and 10-bed dorm rooms, some with small private balconies. From $36 per night.

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The Nunnery

(Photo: The Nunnery / Courtesy Booking.com)

Contemporary chic meets 19th-century convent at The Nunnery, in Fitzroy. Built in 1888, the hostel is split into two parts. The ‘Budget Building’ provides traditional backpacker accommodation, ideal for travellers who don’t want to pay for what they won’t use. Seven dorms sleep between two and twelve people, with three spotless bathrooms between them. If there’s a group of you, and you’d prefer a plusher stay, take a look at the two-storey self-contained guesthouse. Its six beautiful bedrooms, lounge area and courtyard are brimming with period charm, all polished hardwood floors, marble fireplaces and hand-turned staircase bannisters. From $52 per night.

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YHA Melbourne Central

Ornamental stone embellishments aren’t the only eye-catching feature at this hostel in the heart of Melbourne. It’s also awash with top-notch amenities, including a rooftop terrace with outdoor dining space, a communal TV lounge, a bar, a café, a kitchen and 24/7 reception. Accommodation comes in the form of dormitories with shared bathrooms and private rooms for those who prefer their own space. There are a wide array of shops, bars and restaurants on the hostel’s doorstep as well as plenty of transport links to be found nearby, providing easy access to the rest of the city. The hostel also hosts regular themed activities including movie nights, walking tours, pub crawls and table tennis competitions. From $55 per night.

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