The best budget hotels in Sydney, from capsule pods to ‘try before you buy’ rooms

Advice

It’s true that beauty comes at a price – the cost of living in Sydney exceeds that of New York and London. Housing prices are so high it makes you want to drink your cares away, but a cocktail at an inner-city bar will set you back 20 Australian Dollars. However, there is a way to live it up in the harbour city without sending yourself broke. It costs exactly nothing to enjoy Sydney’s best assets: the beaches are free, and there is no better way to soak up the city’s culture than by swimming and exploring the coast. Sydney’s budget hotels are often full of character and warmth and many are perfectly placed bases from which to discover the city.

Hotel Harry

Sydney, New South Wales, Australia

7
Telegraph expert rating

Religious iconography, tequila bottles, church candles and Mexican beer posters mingle with century-old drinking house features, turning this long-suffering Aussie pub into an exciting new boutique hotel with a Latin-themed Bar Publico. The 20 standard rooms are on the small side but are clean, comfortable and furnished with darkwood retro furniture. The fit-out is modern and the aesthetic industrial-cool, without compromising the charm. At Harpoon Harry, the kitchen is home to a Barbacoa smoker that brings forth tender, slow-cooked meats imbued with the flavours of the American South.


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From


£
66

per night

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The Kirketon Hotel

Sydney, New South Wales, Australia

7
Telegraph expert rating

Moody décor and excellent in-house dining make this boutique hotel of 40 rooms a stylish option in the centrally-located Sydney suburb of Darlinghurst. Placed in the epicentre of Sydney’s nightlife district, it is also walking distance to Sydney’s best sights. Black velvet armchairs, red carpet and charcoal grey walls make this hotel feel like a hotbed of glamour and intrigue. Hidden behind the black velvet curtains in the lobby is arguably Sydney’s best bar, the award winning Eau de Vie. It’s not a spot in which to linger during the day, but one you’re happy to come back to at night.


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£
55

per night

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Vibe Hotel Rushcutters Bay

Sydney, New South Wales, Australia

7
Telegraph expert rating

You’ll see the beauty of Sydney Harbour through the leaves of the fig trees as you sip your morning coffee at this perfectly placed chain hotel –situated halfway between the beaches and the city, overlooking one of Sydney’s best-loved parks. The bar and restaurant serve locally sourced fare, and atop it all is a rooftop pool with panoramic views. The lobby is an elegant and welcoming entry point with a nice amount of space. Beyond, in the bar and restaurant, is where the design really shines, with a large central marble bar, drop pendant lighting, parquetry style flooring and lots of plants.


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From


£
75

per night

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The Urban Newtown

Newtown, Sydney, Australia

7
Telegraph expert rating

The Urban is self-described as “post-apocalyptic” in style. Chains hang from the soaring ceiling, some holding battered guitars, another suspending a well-worn drum kit. It’s wild. A table at reception is replete with alcoholic beverages and snacks for guests to help themselves as they check in. All the rooms come equipped with kitchenettes that include a stovetop, microwave, fridge and minibar (which is free if you book directly). The food and drink offering is confined to the dear little display at reception: muffins, fresh fruit, croissants, tea and coffee, but you’re not far from some fantastic food – the edgy inner-city suburb of Newtown is known for its eclectic eateries.


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£
63

per night

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The Collectionist

Sydney, New South Wales, Australia

7
Telegraph expert rating

Guests are invited to ‘try before they buy’ by browsing individually designed rooms until they find the right fit – a novel approach which is about as far from the cookie-cutter mold of chain hotels as you can get. The tiny terrazzo-tiled lobby is an alcove stocked with kombucha, locally brewed beers and neon tube-lighting spelling the words ‘I hope this looks good online’. No other facilities, but staff members are helpful in escorting guests as they wander from room to room and will text a personalised code to your phone to grant you access once you’ve made your selection. Each room has a kitchenette stocked with artisan teas, and some have outdoor terraces.


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£
56

per night

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The Capsule Hotel

Sydney, New South Wales, Australia

6
Telegraph expert rating

Step into the future and squeeze into one of the 70 capsules that have transformed a crumbling pub into a buzzing depot for people keen to experience a new way to travel. The hotel – cheaper than an Airbnb and more stylish than a backpackers hostel – is located within an iconic Art Deco building in the heart of the CBD, but while the capsules themselves are futuristic, the designers have referenced the building’s original features, making the pods look like 1930s bank vaults. A communal space is full of (fake) plants, and 20-somethings on their laptops and there are two bars: Bar Century on level one, forever famous for being the spot in town for cheap drinks, and a sports bar on level two.


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From


£
25

per night

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Sydney Harbour Bed and Breakfast

Sydney, New South Wales, Australia

8
Telegraph expert rating

In a heritage-listed building in The Rocks, Sydney’s oldest district, this charming bed and breakfast is an intimate property offering homely service and is ideally placed for access to Sydney’s most famous sights. Inside, the original dark floorboards creak with history and the period features are all intact; picture rails, fireplaces, all the original fittings. Of the 11 rooms, all are different and range in size from an intimate one-bedroomed suite to two self-contained cottages. The sitting room is a sweet, small space and by far the highlight is the oversized courtyard where breakfast and high tea are served every day.


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From


£
68

per night

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57 Hotel

Sydney, New South Wales, Australia

7
Telegraph expert rating

Drawing inspiration from the halcyon days of Studio 54, this inexpensive hotel mixes budget with a touch of glamour and considerate, personal touches. It is situated in an uber-convenient part of town, close to shopping, the best secret spots to eat and drink and transport to all major tourist attractions. Rooms are made for a comfortable night’s sleep and a get-up-and-go attitude, not a lazy morning of lingering. They’re equipped with iPads that are full of helpful information regarding public transport, local bars and restaurants. The rooms include a complimentary pass to Bayswater Fitness which operates 24/7.


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£
59

per night

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ibis Sydney Darling Harbour

Sydney, New South Wales, Australia

6
Telegraph expert rating

This budget-friendly chain hotel in Darling Harbour offers fine views, an in-house bar and bistro, and is footsteps from Sydney’s thriving tourist precinct, convention centre and main attractions – and if you’re not expecting anything fancy in the way of styling you won’t be disappointed. Hanging chairs on the outdoor terrace are a nice addition and the views out to Darling Harbour make up for the lack of character indoors. The floor-to-ceiling windows at IBar and Ibistro bring in beautiful, natural light and while the décor is dated, it’s cheap and cheerful.


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£
73

per night

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The Ultimo

Sydney, New South Wales, Australia

7
Telegraph expert rating

An astrology hotel in Sydney’s busy Chinatown (and not a crystal ball in sight). Centrally located and moderately priced, it’s an ideal base from which to explore the city. If you didn’t know that the hotel carried an astrology theme nothing in the styling would give it away, apart from Illustrations on the wall behind reception which depict the 12 sun signs. Guests who choose a Star Chart Package provide their name plus their date, time and place of birth and are given a personalised star chart, moon calendar, pair of slippers, cookie and welcome note on arrival. An Off the Chart package contains the above plus an hour-long, one-on-one consultation with resident astrologer Damien Rocks.


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From


£
74

per night

Rates provided by
Booking.com

Prices cited on Boooking.com are subject to change in high season and during popular holidays and events.

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