The Best Hostels in Sydney, Australia

Located in the beachside suburb of Manly, a 20-minute drive north of central Sydney, this dudetastic hostel sits just back from the 3km (1.8mi) stretch of sand that hosted the world’s first international surf competition in 1964. For every night reserved, guests receive a complimentary, 1.5-hour surf lesson at the Manly Surf School, as well as an hour’s free yoga and breakfast every morning, free snorkel and bike hire, and (if booking direct) an hour’s free booze at the in-house bar every evening. Sleeps are in dorms or private rooms with one, two or three beds.

Rated Sydney’s Most Popular Hostel in 2019, Wake Up! Sydney, in the heart of the CBD, earned the coveted accolade for all the extras that come with a stay here. Each day presents a new itinerary led by local tour guides, including trips to Bondi Beach, local maker’s markets and city pub crawls, though there’s plenty on-site to keep travellers occupied, too. Side Bar, a late-night hotspot, sits in the basement of the hostel and treats Wake Up’s guests to free pizza on Mondays and free drinks on Wednesdays. The eight-storey heritage building can house 540 travellers in everything from shared dorms to doubles with ensuite toilets.

With clean, cosy and stylish monochromatic interiors and modern shared amenities, the Pod is a great value for money for all travellers and features 10 rooms, from six-person family dorms to double rooms with shared bathrooms. Those travelling with children will enjoy the smoke-free nature of the property and the quiet atmosphere.

The YHA brand is Australia’s most trusted, and the Sydney Central YHA is perhaps the best example of why. It has an unbeatable Central location, top-drawer facilities and clean dormitories decorated with hand-painted graphics. Though popular year-round, the Sydney Central YHA experiences its busiest time over the New Year period. The rooftop pool, sauna and barbecue area create the perfect place to meet other travellers, plus if you’re visiting over New Year’s Eve, it has an excellent vantage point from where to watch Sydney’s midnight fireworks spectacle.

Those looking to experience Sydney like a Sydneysider should head east to Wake Up! Bondi Beach. The emerging hostel brand’s Bondi post boasts the same reliable facilities as its CBD counterpart; however, instead of city views, travellers will wake up to the sounds of rolling waves or enjoy a sunrise over the Pacific from the rooftop. A focus on fitness reflects the active culture that Bondi is known for and takes shape through rooftop yoga, surf lessons and a guided walk of the coastline from Bondi to Bronte.

A stay at the futuristic Capsule Hotel in the Chinatown area of the CBD is about as close as it gets to life aboard a spaceship. Since it’s practically an Apollo 11 movie set, the spot is particularly popular with families and those travelling with young children. Don’t be deterred by the size of the capsules; while the sleeping quarters are compact, the accommodation’s common areas are spacious enough to make up for it. The bathrooms were all renovated in 2019, making them impossibly stylish with brass detailing and statement tiling.

Those looking to experience Sydney’s laid-back surf culture will gravitate towards the world-famous Bondi Beach, but the Eastern Suburbs has a few lesser-known surf spots that promise stretches of sand all to yourself. Located in the suburb of Coogee, Mad Monkey Coogee Beach makes it possible to roll out of bed straight into the waves that lap at the sand just minutes away. Travelling for business or working remotely? The adjoining bar and co-working space with speedy wifi make working in the summer heat feel bearable.

The Inner West suburb of Glebe is within walking distance of both Sydney’s CBD and trendy Newtown, the city’s melting pot for arts and culture. The University of Sydney is right around the corner from this budget hostel, which means there are plenty of opportunities to mingle with like-minded residents at an array of nearby pubs and bars. Spread across two Victorian-style buildings, The Village Glebe’s facilities are comfortable and clean. Of all hostels on this list, this one is perfect for a long-term stay, due to its desirable location and affordable price point.

Looking to experience Australia’s epic wildlife, pristine beaches and unforgettable bushwalks? Sydney, Pittwater Eco-YHA is only accessible via a short ferry ride and presents a unique opportunity to see the real Australia. Located on the hillside of the Ku-ring-gai Chase National Park, about an hour’s drive north of the CBD, this budget hostel is ideal for anyone who wants to escape the city for a few days and swap museums and bars for walks and water sports. It’s almost guaranteed you’ll spot a kangaroo or 20, although wildlife-watching in Australia never comes without a few spiders, too. Be brave – this wilderness is worth it.