Where to Stay in Sydney: Best Areas, Hotels, and Neighborhoods
- Mar 12
- 7 min read
Sydney is a huge city, and choosing where to stay can make a big difference in your trip.
It’s not the same to stay in the CBD (city center), in Bondi Beach, or in a residential area like Hornsby, prices, atmosphere, and travel time around the city can change a lot.
In this guide, we’ll show you where to stay in Sydney depending on your budget and travel style, based on our own experience living in the city.
Quick Guide: Where to Stay in Sydney
🏠 Accommodation types – Airbnb, hostels, private rooms and hotels
🏙️ Sydney CBD – best for first-time visitors
🌊 Bondi Beach – lifestyle, surf and beach vibe
🌴 Manly Beach – relaxed alternative with great views
🚆 Bondi Junction – budget-friendly and well connected
💡 Travel tips – how to choose where to stay based on your trip
Types of accommodation in Sydney
Choosing where to stay in Sydney is key to enjoying the city, since it’s so large and each neighborhood offers a completely different experience.
Airbnb (Our Favorite Option)
From our experience, Airbnbs are usually the cheapest and most flexible option in Sydney, especially if you're traveling as a couple or in a group.
That said, the more affordable ones are often a bit farther from the center. But public transportation works so well that it’s not really a problem.
We stayed in this room in Hornsby, a residential area north of the city.
It was a private room inside a house with:
A spacious and comfortable bedroom
Private bathroom
Super friendly hosts
A train station just a few minutes away
From there, it took us about 1 hour and 30 minutes to reach the CBD, but we paid much less than we would have in central areas.
It’s a great option if you want to save money and don’t mind taking the train.
💡 Important to keep in mind: For us, this worked well because we already knew the city, so we didn’t mind the distance. But if it’s your first time in Sydney, it’s usually worth paying a bit more to stay closer to the main attractions you want to visit.
💡 Booking tip: Try to book your accommodation in advance. Prices in Sydney can increase a lot closer to your travel dates, especially in central areas.
Hostels
The hostel scene in Sydney is… a bit chaotic 😅
There are some very cheap options, but they’re often shared dorms with many people. If you're traveling on a backpacker budget but still want to stay in the best areas, this can be your best option.
They’re ideal if you:
Are traveling solo
Want to meet people
Don’t mind sharing rooms
Recommended hostels
If you want to wake up and see the ocean, this is the place. The location is incredible, literally just steps from the sand. The backpacker vibe is one of the best in the area and it’s perfect for meeting travelers from all over the world.
A strategic option if you prefer being closer to the city action. It’s located near the center and has very easy access to public transportation (trains and buses). It’s a comfortable, well-organized hostel with a good atmosphere to relax after a long day exploring.
Private Room (Short-Term Rentals)
A very common option in Sydney is renting a private room in a shared house.
This is usually found through:
Facebook groups
WhatsApp groups
It tends to be:
Cheaper than a hotel
More comfortable than a hostel
Ideal if you're staying for several weeks
This is actually the most common option for people who come to live or work in Sydney.
Hotels
If your budget allows it and you’re looking for maximum comfort, staying in a hotel in Sydney can be an amazing experience. But there are a couple of things to keep in mind:
Higher budget: Sydney is one of the most expensive cities in Australia. A standard double room in a central area usually starts around 250 AUD (€152) per night.
High season: Prices change a lot depending on the time of year. During holidays and summer, rates can increase significantly.
💡 Money-saving tip:Booking well in advance is the best way to avoid paying too much and to secure a room in the best areas.
Where to Stay in Sydney: Best Areas
Choosing the right neighborhood is key to making the most of your time in the city. These are the areas where we stayed or that we recommend the most.
🏙️ Sydney CBD (Central Business District)
Best for first-time visitors and easy access to everything
This is the heart of the city and, in our opinion, the perfect place to stay if it’s your first time in Sydney. Staying here means you can walk to many of the city’s most iconic spots and have everything close by.
It’s the ideal location if you want to be near:
The Opera House and Harbour Bridge: You’ll be just steps away from seeing them both during the day and at night.
Darling Harbour: A lively area perfect for evening walks.
Shopping and restaurants: The food and shopping scene here is massive.
Public transportation: You’ll have direct access to trains, buses, and ferries to reach any part of the city.
💡 Budget in the CBD
Since it’s the most in-demand area, prices are usually higher. An average hotel here costs around 280 AUD (€171) per night, while a quick coffee might cost around 5.50 AUD (€3.36).
You’re definitely paying for the location and convenience.
📍 Ideal if it’s your first time in Sydney.
Bondi Beach (Our Favorite Area)
Best for beach lifestyle, surf and social vibe
Not only is it our favorite neighborhood, but it’s also where we lived during our time in the city.
If you want to wake up with the smell of the ocean and an incredible atmosphere, this is the place.
In Bondi you’ll find:
Beach and surfing: The heart of the neighborhood, with waves for all levels and lots of outdoor life.
Amazing food scene: A huge variety of restaurants and cafés with delicious and healthy options.
A full breakfast with coffee usually costs around 25 AUD (€15.25).
Trendy shops: Independent design stores and surf brands everywhere.
Surf vibes: A relaxed and youthful atmosphere that makes you feel like you’re on vacation all the time.
💡 Accommodation tip
Because it’s such a desirable area, short-term rentals can be expensive. A private room in a shared house here usually costs around 450 AUD (€274.50) per week.
The only downside: it’s one of the most expensive areas in the city.
Manly Beach
Best for a quieter beach stay with great views
If you like the beach lifestyle but want something a bit calmer and less chaotic than the city center, Manly is a great option.
It’s very similar to Bondi in lifestyle, but with a much more relaxed pace.
In Manly you’ll find:
Beaches and nature: From the main surf beach to hidden spots like Shelly Beach, which is great for snorkeling.
Great atmosphere: The Corso, an open-air pedestrian street full of restaurants, shops, and street musicians.
Family-friendly and traveler vibes: It’s a safe area popular with both families and surfers looking for a quieter atmosphere.
💡 Logistics and budget
One of the best things about staying here is the ferry ride to the city: about 20 minutes with some of the best views in Sydney, for around 10.20 AUD (€6.22).
Accommodation prices for a decent hotel or Airbnb are usually around 220 AUD (€134) per night.
It’s usually a bit cheaper than Bondi.
Bondi Junction
Best for saving money while staying well connected to both the city and the beach
Located just a few minutes from Bondi Beach, this neighborhood is the perfect middle ground. It’s the commercial and transportation hub of Sydney’s eastern suburbs.
It’s a great option if you're looking for:
Something more affordable: Since it’s not directly on the beach, accommodation prices tend to be slightly lower. A room or studio might cost around 300–380 AUD (€183–€232) per week.
Great public transportation: One of Sydney’s largest train and bus stations is here. You can reach the CBD in about 10 minutes and the beach in about 5 minutes.
Still close to the coast: You can walk to the beach if you feel like it or take one of the many buses that pass every couple of minutes.
💡 Shopping tip
You’ll also find Westfield Bondi Junction, one of the largest shopping malls in the city, perfect for shopping or grabbing a quick meal at the food court for around 18 AUD (€11).
Travel tips – how to choose where to stay in Sydney
If you're not sure where to stay in Sydney, here are a few simple tips based on your travel style:
🏙️ First time in Sydney: Stay in the CBD → best location to explore everything easily
🌊 Beach lifestyle
Bondi Beach → more social, active and iconic.
Manly → more relaxed, local and scenic.
💰 Traveling on a budget : Staying outside the center can be much cheaper (Bondi Junction or northern suburbs), just make sure to check travel times.
🚆 Don’t worry about distance: Public transport works really well, so staying further away is totally manageable
At the end of the day, Sydney is so well connected that there’s no ‘wrong’ area, it just depends on the kind of trip you want.
Common mistakes when choosing where to stay in Sydney
These are a few mistakes we’ve seen (and experienced 😅) when choosing where to stay in Sydney
• Staying too far without checking travel times, Sydney is bigger than it looks.
• Thinking Bondi Beach is close to the city center, it’s not as quick as it seems.
• Not considering public transport access, this can make your trip much harder.
• Choosing only based on price, sometimes a cheaper stay means losing too much time moving around.
Our Experience Staying in Sydney
Sydney was our first home in Australia, and we chose to live in Bondi Beach because we had friends there and it made it easier to find accommodation.
We completely fell in love with that neighborhood: the people, the beach, the coastal walks, the cafés, the surf culture…
Watching Aussies go for a run or surf at 6 AM is something you never get tired of seeing 😂.
Even though it’s an expensive city, for us it’s one of the most complete cities in the world: beach + city + nature + endless things to do.
🇦🇺 Keep Exploring Sydney
This post is part of our complete Sydney guide, where we share everything you need to plan your trip — from how to get around to the best things to do in the city.
If you want to keep planning your trip, these guides might help:
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