My 5 best budget hotels in Madrid

budget hotels in madrid

Budget hotels in Madrid are not as hard to find as you might think. Below I recommend you the best hotels that deliver good, basic accommodation — sometimes with a few extra touches — to help keep your travel budget in control.

The offer is so wide that I found dozens of hotels offering clean, comfortable accommodation at reasonable prices.

But finding quality budget hotels in Madrid that are pleasing and won’t break the bank requires some searching.

Don’t worry, I have done the work for you and I managed to handpick a list of what I consider the best budget hotels in Madrid in terms of location, services and rates:

My favorite 5 budget hotels in Madrid

Woohoo Rooms Fuencarral: Its perfect location allows you to take advantage of being in one of city’s most popular shopping streets.

Surrounded by a wide variety of trendy stores and top restaurants, it is one of the best areas to stay in Madrid. The most interesting attractions such as Retiro park, and Prado or Thyssen museums, are within walking distance. Although it has no restaurant, bar, or gym, there is a wide range of vibrant cafes in the neighborhood.

The accommodation in a floor in a larger building and the access is done through the main building door. Rooms are modern, well lit, and well equipped. The concierge service is always helpful in providing great recommendations.

Hostal Lauria: This hotel right on Madrid’s bustling Gran Vía is a 7-minute walk from Puerta del Sol square and a 9-minute walk from Madrid’s Royal Palace.

The decor is simple but hip and the rooms are comfortable. The hotel personal are very friendly and always there in order to help you if need. The decor is simple but also new, modern, hip, happy, and arty. The place is spotlessly clean and beds are very comfortable.

The simple, contemporary-style rooms sleep up to 3 guests and feature free Wi-Fi, flat-screen TVs and safes. Some include a French balcony.

Sleep’n Atocha: Just steps from Museo Nacional Centro de Arte Reina Sofía, and located very close to Atocha train station, this hotel is a perfect base for exploring Madrid. Managed by a multilingual staff, this is a great option if you are looking for more privacy than you can get in a hostel, but a similar, friendly atmosphere.

The entrance and reception area of the hotel opens to the street through large picture windows. It offers a convenience store, a library and a lounge with a a sleek fireplace where you can grab a bite at the cafe or sip a cocktail.

Rooms maintain a functional, minimalist style. To take maximum advantage of the space, the bathrooms are open to the room, with wet areas enclosed. Those on the top floor have balconies with great views.

Hostal Don Alfonso: Located in the heart of central Madrid and a stones throw from Puerta del Sol and Plaza Mayor, you can visit most of the city’s highlights from here.

The guesthouse is located on the second floor of a building. They do not serve breakfast but being centrally located, there are a number of bars and coffee shops just a few feet away, including the popularly known Chocolatería San Ginés, which is around the corner if you fancy chocolate con churros for breakfast.

Rooms are small but perfectly functional and tastefully decorated in grey and white. Beds are comfortable and there is also air conditioning, TV, free Wi-Fi access, a safe and plenty of power points.

Hostal Alexis: Located next to Plaza Santa Ana and just 5 minutes away from Puerta del Sol, this lovely place is all about its amazing location. The staff also help make this a great place to stay in Madrid – they are helpful and friendly, making your trip to the capital an even better experience than it could have been.

Finding the hotel location is no problem, but finding it within the building may be as there are several hostales located in the building. The Hostal Alexis shares the third and fourth floor with another hostal. Unfortunately, there are no signs directing the traveler to the correct floor.

Hostal Alexis is new and clean, but a little compact. Rooms are nicely decorated, bright and cheery. All of them feature white and pink décor while having a safe, air-conditioned, and a private bathroom with a hairdryer.

Map of the 5 best budget hotels in Madrid

As always, you have all the information on a specific map of accommodation in Madrid. And remember, you can use this map at home and while you are traveling in Spain. I explain you how to do it in the Madrid Traveller maps page, where you also have links to all the other maps.

Find the best budget hotels in Madrid

If you could not find what you were looking for in my selection above, or you prefer to conduct your own research, use the following search box to look for other budget hotels in Madrid.

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