Where to Stay in Budapest: Top 5 Districts

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Where to stay in Budapest — the best places and districts of the city if you’re a budget tourist or prefer reasonable comfort, came to relax in the baths, or want everything at a good price.

Useful Information about Budapest

Budapest is the capital of Hungary, its administrative center, and also a resort city, one of the most beautiful cities in Europe. To see everything and relax in local baths, you need at least 3 days.

Budapest is divided into 23 administrative districts, and not all of them are suitable for a short stay of several days. The Danube River divides the city into two equal parts—Buda and Pest. In fact, there is a third part, Obuda, which is the old Buda and is not often visited by tourists, although there is plenty of interesting things to see there too.

Public transport in Budapest is excellent. You can get around the city by buses, metro, tram, funicular, and in summer, there are river trams along the river. During late nights and early mornings, I recommend using taxis, especially booked through the Bolt app.

I have selected 5 top districts that I recommend for leisure, nightlife, active recreation, shopping, and sightseeing. My experience includes staying in all 5 recommended districts in Budapest multiple times.

Tourist accommodation in Budapest primarily consists of apartments, but there are also many hotels ranging from business to tourist class, spa hotels near the baths, and budget hostels for backpackers.

It’s important! Streets in Budapest can have duplicate names in different districts. When you search for a street, check which district it’s in. Remember, there are 23 districts in the city. I once got tangled up in such urban intricacies until I figured out my mistake. It cost me half a day and quite a few liters of fuel.

Hungary, Budapest
Hungary, Budapest

Below are the 5 districts I recommend for exploring Budapest and enjoying a short stay of several days. I’ve added their district numbers for easy searching on booking maps.

City Center – Parliament and St. Stephen’s Basilica (5th district)

This district is called Belvaros-Lipotvaros and belongs to the 5th district. Located in Pest, on the left bank of the Danube, this area is home to major attractions such as St. Stephen’s Basilica, the Parliament, and more.

Staying in this district allows you to walk to most of Budapest’s attractions. There are many beautiful squares, streets, bars, and restaurants.

Due to its popularity among tourists, accommodation prices in this district are higher than in other places. But the benefits of staying in the city center are clear.

Hotels and apartments I recommend:

  • Four Seasons Hotel Gresham Palace Budapest 5* – Choose if you want no compromises and the best hotel in the best district. Pros: Location, views of Castle Hill from rooms, walking routes right from the hotel door.
  • Supreme City Center Apartment – Best apartments in the reasonable comfort category, suitable for those who want to balance comfort and budget. My favorite accommodation option anywhere.
  • Hotel Vision Budapest by Continental Group – Tourist class hotel in a great location. Suitable if you want hotel service. Breakfast and beautiful rooms are worth every penny.
Hungary, Budapest
Aerial view of St. Stephen’s Basilica in Budapest

Castle Hill – District 1

This district is located in Buda and as the name suggests, it’s home to Castle Hill. Gellert Hill, Buda Castle, Fisherman’s Bastion, the funicular, St. Matthias Church, and several other attractions are here.

It’s an excellent district if you want to avoid tourist crowds. Despite the abundance of attractions, there are fewer tourists, mainly around Buda Castle. In the morning, it’s delightful to stroll through the winding streets around Buda Hill and Gellert Hill.

Prices are lower here, and if your budget allows for three to four days, this district is a great choice. You can choose accommodation with beautiful views of the city center.

Hotels and apartments I recommend:

  • Clark Budapest – Adults Only. Pros: Beautiful rooms, views of the Chain Bridge and Danube, lower prices compared to similar class hotels in the city center.
  • BudaSmile Apartment @ Buda Castle – FREE parking – Apartments in my favorite “reasonable comfort” category. Recommended for travelers with cars; parking is included.
  • Maison Bistro & Hotel – Breakfast included, important if you don’t want to get up early to cook or rush to the nearest café. Beautiful, stylish, and clean inside, top value for money.
Hungary, Budapest
Hungary, Budapest

Jewish Quarter – Erzsebetvaros (7th district)

This is a really cool district in Budapest, especially if nightlife and various hangouts are your priority. It’s home to most of Budapest’s famous ruin pubs. The main attraction here is the Great Synagogue. Even if you decide to stay in another district, it’s worth stopping by here for a few hours.

It’s not far to walk to the city center from here if you enjoy walking. Alternatively, you can take the metro or tram.

There are plenty of budget apartments and hostels here, alongside comfortable yet affordable apartments and hotels.

Hotels and apartments I recommend:

  • Roombach Hotel Budapest Center – A budget-friendly 3-star tourist class hotel with friendly staff. Optimal location in terms of district/price/accommodation quality.
  • Vagabond Broadway – If you prefer apartments, this is the perfect choice for “reasonable comfort.” Parking is available for an additional fee.
  • Onefam Budapest – Budget hostel for backpackers and solo travelers who don’t need extra amenities. The advantage here is the price, good company, and central location.
Hungary, Budapest
BUDAPEST, HUNGARY – Jewish Quarter

Jozsefvaros or 8th district

This district is also known as the Palace Quarter for its abundance of beautiful 18th and 19th-century buildings. Nearby is the Central Market Hall — a must-visit attraction. There are many pedestrian streets here that are pleasant to stroll at any time of year.

The Palace Quarter can also be considered the city center. You can leisurely walk to St. Stephen’s Cathedral in 15-25 minutes, enjoying the beauty along the way.

There’s accommodation here for every budget, from hostels to business-class hotels.

Hotels and apartments I recommend:

  • Hotel Memories OldTown – The best 4-star boutique hotel in this district. Breakfast included, with a spa center on-site.
  • Museum View Apartment – Comfortable apartments at a reasonable price right opposite the Hungarian National Museum. Beautiful views from room windows.
  • Harmonia Palace – Apartments in a restored 19th-century historic building. There are several apartments of different sizes at varying prices.
Hungary, Budapest
Hungary, Budapest

Heroes’ Square and City Park (6th district)

This is the 6th district of Budapest, a short distance from the city center. It’s very easy to get here via the historic line of the Budapest metro. Just a few stops, 10-15 minutes, and you’re there.

We stayed here twice and didn’t even leave the district for one day because it’s home to the famous Széchenyi Baths, the impressive Heroes’ Square, a cozy city park, Vajdahunyad Castle, a pond, a zoo, the most interesting City Museum, and several decent cafes.

I recommend it to anyone prioritizing baths, a light budget, and avoiding tourist crowds. It’s a stone’s throw from the city center by metro; we even walked to feel the city, a 30-minute walk from Széchenyi Baths to St. Stephen’s Cathedral.

Hotels and apartments I recommend:

  • Alice Hotel – Essentially a historical urban villa. The best place I can recommend in this district. Pros include a good price, breakfast, and a terrace for relaxation.
  • Andrassy Garden Apartment in Center – Excellent, spacious, comfortable apartments at a reasonable price, just minutes from the metro.
  • Platanus Guesthouse – Cozy guesthouse, budget-friendly, quiet, beautiful interior, convenient location.
Hungary, Budapest
Hungary, Budapest

Conclusion:

If it’s your first time in Budapest, choose between the city center and the Palace Quarter. If you’re traveling further, Buda (Castle Hill or Gellert Hill) is an excellent option. For nightlife with ruin pubs and a modest budget, the Jewish Quarter is unbeatable.

If you prefer budget options, consider the Jewish Quarter, Heroes’ Square area, or Castle Hill.

In essence, you can stay in any of these districts. You can either walk to all the interesting places or hop on the metro a few stops. Leave trams and buses to seasoned tourists or for your second visit. That’s been our experience.

Hope this helps! Let me know if you have any more questions!

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