Budapest is one of my favourite cities in Europe, and it’s a place I can’t stop going back to. Whether it’s your first or tenth visit, picking the right area to stay makes all the difference.
Planning a last minute trip to Budapest? 🇭🇺
Here are my top tips to Budapest:
🛌 Places to Stay (I've stayed there myself):
1. Anantara New York Palace (luxury hotel with a world famous breakfast café)
2. Continental Hotel Budapest (4-star hotel with a nice rooftop pool)
3. H2 Hotel Budapest (affordable hotel close to everything in the city centre)
🇭🇺 Top Activities & Tours:
1. Szechenyi Baths (the most famous thermal baths in Budapest, well worth a visit)
2. Unlimited Prossecco Cruise (sightseeing boat tour on the river Danube, as seen on TikTok)
3. Budapest Card is a great option to get 'free' public transport and access to a lot of attractions
For a first visit, I would start with District V on the Pest side: it is convenient for sightseeing, restaurants and public transport. Choose the Jewish Quarter if nightlife is the priority, or the Castle District if you prefer historic surroundings and do not mind hills.
Not all districts are ideal for visitors, so I’ve focused on those closest to the city centre, where you’ll find the best sights, dining, and things to do.
Contents
Best areas in Budapest
If you’re in a hurry or just want a quick rundown, here are the best areas to stay in Budapest:
- District V – Belváros – Lipótváros, best area to stay for most tourists ⭐️
- District I – Várkerület/Budvar, a historic and peaceful district
- District VI – Terézváros, a shopping mecca full of art and culture
- District VII – Erzsébetváros – The Jewish Quarter best area for nightlife
- District XIII – Ujlipotváros, a family-friendly and quiet area
Click the link above to check out the best-rated hotels in the areas mentioned.
The guide on where to stay in Budapest continues below with in-depth information about each area.
Check out my video where I’m showing 3 of the best areas to stay in Budapest:
Let’s dive into the guide – where to stay in Budapest?
1. Belváros – Lipótváros – best area to stay for most tourists ⭐️
Let’s start with District V, also called Belváros – Lipótváros. If it’s your first trip to Budapest, this is the spot to be.
Located on the Pest side of the Danube, it’s the city’s vibrant heart, packed with history, stunning architecture, and endless energy.
See the best hotels in the area here.
You’ll be surrounded by iconic landmarks and exciting things to do.
The Hungarian Parliament Building is just around the corner, and the views from St. Stephen’s Basilica are unbeatable.
Beyond sightseeing, District V has a fantastic food and drink scene.
From cosy bistros serving Hungarian favourites to bars with excellent local wines, there’s something for every palate.
Personally, I enjoy relaxing by the Danube, watching the boats go by.
This area blends convenience, history, and top attractions, making it a favourite for visitors. Váci Street offers everything from big-name shops to unique local boutiques if shopping’s on your list.
Plus, getting around is easy, with trams, buses, and the metro close by. And even with its central buzz, you’ll find peaceful parks and squares to take a break when you need one.
Hotel Erzsébet City Center – the best place to stay on a budget
This is a perfect hotel if you want to stay close to everything – see the hotel here.
Suppose you’re only on a short trip to Budapest. In that case, you won’t be able to see it all – but it gets easier if you stay here as you’ll be close to places such as:
- A metro station
- The large market hall
- Gellért Hill across the river. The Gellért Baths are closed for renovation; the operator expects reopening in 2028.
- The chain bridge
- Buda Castle
The hotel is a 3-star hotel and may have a different luxury than so many other places, but if you choose to stay here, it is not really because you have planned to spend your time in the hotel.
See more photos and book online here.
If you want to live in the centre and experience lots of luxury, the area also offers that.
The next hotel is also located in the central area but has a lot more to offer – a good choice for those who want a luxury hotel in the city centre of Budapest.
Best place to stay for luxury in the city centre – The Kempinski Hotel Corvinus
The Kempinski Hotel is luxurious and elegant – there is even access to the swimming pool and spa department.
If you are not careful, you can easily forget that there is a fantastic city outside the hotel that you must also experience.
See more photos and book online.
Cheap hotel within walking distance of ‘everything’
H2 Hotel Budapest is an excellent choice for your stay if you’re seeking a hotel with a perfect location at an affordable price.
This hotel is within walking distance of the city’s most famous attractions, including the Danube River, the Hungarian Parliament building, and the Váci Street, known for its shopping and dining options.
It’s also right around the corner from the beautiful St Stephens Basilica.
By choosing H2 Hotel Budapest, you’re positioned perfectly to explore Budapest’s rich history and vibrant culture, all while enjoying the comforts of well-priced and well-located accommodations.
By the way, I highly recommend the QUÍ Restaurant & Bar 2, minutes from the hotel – it’s a brilliant Asian restaurant I always go to in Budapest.
Get more Budapest Travel Tips in my video:
2. Várkerület/Budvar – a historical centre
Let’s talk about Várkerület, also known as District 1.
Situated on the Buda side of the river (the left side if you’re looking at a map), it’s the city’s oldest district and one of the most historic areas in Budapest.
With its cobblestone streets, pastel-coloured buildings and sweeping views of the Danube, it’s easy to see why it’s a UNESCO World Heritage Site.
See the best hotels in District 1 here.
What makes Várkerület unique? It’s home to the iconic Buda Castle – a royal palace housing the National Gallery and the Budapest History Museum.
Nearby, you’ll find the enchanting Fisherman’s Bastion, its fairy-tale towers, and Matthias Church, known for its colourful tiled roof and intricate interior.
But there’s more to Várkerület than just its historical sites.
It’s a bustling neighbourhood with charming cafes, exquisite restaurants, and unique boutiques. The district is also known for its vibrant cultural scene with numerous galleries, theatres, and summer festivals.
Despite its central location, Várkerület retains a calm and peaceful atmosphere, making it a perfect retreat after a day of sightseeing.
The Castle Hill sights have panoramic views across the Danube, but check each hotel’s position carefully: District I also includes streets down by the river.
A hotel beside Fisherman’s Bastion suits castle sightseeing; a riverside address can be more convenient for crossing to Pest. Factor in uphill walks or a bus journey when comparing the two.
Whether you’re a history buff or foodie or enjoy wandering picturesque streets, Várkerület is a fantastic base for your Budapest adventure.
Monastery Boutique – 4 star hotel at a reasonable price
Hotels in Budapest are reasonably priced and it’s easy to find a cheap place to stay.
So I’m going to recommend a nice hotel, suitable for both families and those who travel alone and want a bit of luxury.
See more photos and book online here.
Stay right by the Buda Castle
If you want to stay near the Buda Castle complex, I’ve just the place for you.
Just a stone’s throw away from this historic site, the Hilton Budapest offers a luxurious retreat with stunning Danube and castle views.
The rooms are tastefully decorated, ensuring comfort and elegance.
You’ll enjoy top-notch amenities, including a fitness center for your daily workouts and exquisite dining options.
Staying at Hilton Budapest, you experience the perfect blend of luxury and a prime location.
Stay by the river with a view of the Hungarian Parliament
Park Plaza Budapest is a stunning hotel near the iconic Buda Castle and the picturesque Danube River.
The hotel offers luxurious rooms, many of which provide breathtaking views of the Hungarian Parliament across the river.
Guests frequently praise the hotel’s exceptional service, comfortable rooms, and convenient location, perfect for exploring Budapest’s rich history.
3. Terézváros – the best place to stay for shopping
Let’s head to Terézváros, also known as District VI.
This district is a lively blend of history, culture, and modern city living – it has a little bit of everything and does it all in style.
Terézváros is home to the magnificent Andrássy Avenue, a UNESCO World Heritage site brimming with stunning Neo-Renaissance mansions and townhouses.
See the best hotels in the area here.
You’ll find the Hungarian State Opera House along this grand boulevard, a must-visit for its exquisite architecture and world-class performances.
Culture vultures, you’re in for a treat here. Terézváros is dubbed the ‘Broadway of Budapest‘ thanks to its impressive collection of theatres and galleries.
And if you’re a fan of literature, the district’s many bookshops and literary cafes will make you feel right at home.
When it’s time to refuel, you have a smorgasbord of options, from upscale restaurants to quirky hole-in-the-wall eateries serving the best Hungarian cuisine.
And for those who enjoy a good night out, the district’s vibrant nightlife offers everything from laid-back pubs to buzzing clubs.
But it’s not all go, go, go – Terézváros also boasts beautiful parks and green spaces, perfect for a lazy afternoon stroll or picnic.
Plus, getting around is a breeze with the metro line 1 (the first subway line in continental Europe) and numerous bus and tram lines.
In essence, Terézváros offers a mix of cultural riches, bustling city life, and tranquil spots to unwind, making it a top-notch pick for your stay in Budapest.
Charming place to stay in Budapest – Callas House
If you would like to stay somewhere where the design fits in with the urban style and where the details are on point, then this is a great place to stay in Budapest.
Callas House is beside the Opera, so it suits a stay focused on Andrássy Avenue and the city centre. If you want an airport pick-up, confirm the arrangement and price with the hotel before travelling; compare it with the options in my Budapest airport guide.
Book the hotel or see more photos here.
Luxury hotel in the perfect location
In this part of town, I think Hotel Oktogon Haggenmacher is a fantastic choice. Located right on Andrássy Avenue, it’s close to many attractions and public transport.
The hotel blends historic charm with modern design, offering comfortable rooms and a well-regarded breakfast.
Guests often praise the attentive staff and the hotel’s cleanliness. Some mention that standard rooms can be a bit snug, but the overall experience is highly rated.
Cheap hotel suitable for couples
12 Revay Hotel is a charming and cosy 3-star hotel, perfect for budget-conscious travellers. It offers affordable accommodation without compromising comfort, making it especially popular with couples.
Located conveniently near the main city centre and the Jewish Quarter, it provides easy access to Budapest’s top attractions.
Guests appreciate the clean, comfortable rooms and the friendly, helpful staff. The hotel’s prime location means you are just a short walk from many restaurants, bars, and cultural sites.
Despite its affordability, 12 Revay Hotel is an excellent place for a pleasant and convenient stay in Budapest.
4. Erzsébetváros, the Jewish Quarter – best place to stay for nightlife
Let’s jump right into Erzsébetváros, also known as District VII. If you’re a young traveller or a night owl on the hunt for an energetic buzz and vibrant nightlife, this district has your name written all over it.
Erzsébetváros is best known as the home of Budapest’s ‘ruin bars’.
These unique hangouts, set in abandoned buildings and decorated with eclectic furnishings, offer a nightlife experience.
See the best hotels in the area here.
The granddaddy of them all is Szimpla Kert, a massive multi-level bar institution in its own right.
But there’s more to Erzsébetváros than just its party scene.
The historic Jewish Quarter includes the Dohány Street Synagogue. The Holocaust Memorial Centre is a separate visit in District IX, rather than a sight within this neighbourhood.
By day, you’ll find a host of trendy cafes, boutiques, and local markets to explore. The district’s street art scene is booming, so keep your eyes peeled for colourful murals as you wander the streets.
Klauzál Square offers a break from the surrounding bar streets. For a quieter room, check recent reviews for street noise and ask about a courtyard-facing option; a hotel directly above a late-night bar can be a poor fit for an early-start sightseeing trip.
If you’re after a lively district with rich history, booming nightlife and trendy vibes, Erzsébetváros is your perfect match.
Continental Hotel – rooftop pool hotel in Budapest (my favourite hotel)
The Continental Hotel is my favourite hotel in Budapest. You can conveniently jump into the hotel’s indoor or outdoor pool if you need a refreshing dip to get rid of the worst hangover from Szimpla Kert.
I booked into this hotel during the Sziget Festival in Budapest in 2022 and was extremely satisfied.
Apart from the fantastic rooftop pool, overall, it is a good hotel with an excellent breakfast and plenty of space to relax in the sun on the hotel’s rooftop.
The hotel’s gym is also the best hotel gym I’ve seen, so you can also work up a sweat on your trip to Budapest 😉
See more photos and get the best rate online here.
I went back to Budapest for Sziget Festival again in 2023 where I stayed at one of the most luxurious hotels in town: the Anantara New York Palace Budapest.
Staying at Anantara New York Palace Budapest was a nice experience, primarily because of the breakfast buffet.
The hotel itself is brilliant and I’ve got nothing to complain about, but it is “just” a normal 5-star hotel.
The highlight of my stay was, without a doubt, the breakfast at the renowned New York Café, often described as the most beautiful café in the world.
It’s located within the hotel, so you can just walk across the lobby and directly into the café.
The breakfast was excellent when I stayed, and the setting is a large part of this hotel’s appeal.
Check whether breakfast is included in the rate you select. Room-only and breakfast-inclusive offers can make the total cost quite different.
5. Ujlipotváros – best area to stay for families
Ujlipotváros is a top choice for families journeying to Budapest for numerous reasons.
The district is especially family-friendly due to its abundant offerings that cater to both adults and children.
Margit Sziget is next to Ujlipotváros on the Danube, a serene oasis amidst the urban landscape.
Children can engage in various outdoor activities while adults relish the tranquillity. It’s an ideal spot for a family day out, offering a chance to reconnect with nature in the city centre.
See the best hotels in the area here.
Dining options in the area are abundant, with a wide range of family-friendly restaurants and cafes. These eateries cater to diverse palates, ensuring that everyone from toddlers to grandparents can find something they like.
Another aspect that makes Ujlipotváros a fitting choice for families is the presence of the Westend shopping centre.
With over 400 shops, this one-stop destination takes the stress out of shopping. You can find everything from children’s clothing to toys, making it an easy solution for any family’s retail needs.
In essence, the appeal of Ujlipotváros for families lies in its ability to balance recreation, dining, and shopping in one vibrant neighbourhood.
This blend of convenience and variety makes it an ideal base for families exploring Budapest.
Danubius Hotel Helia – a 4-star child-friendly hotel
When the children need a break from the city, sightseeing and long walks, it’s great that they can also enjoy themselves indoors.
Danubius Hotel Helia suits a stay where spa time matters as much as sightseeing. Its position north of the central sights means you should budget for public transport rather than expect everything to be on the doorstep.
The spa includes different pool types, including thermal facilities, rather than four interchangeable family swimming pools. Confirm which pools your children can use and whether any maintenance affects your dates before booking for a swimming holiday.
See more photos and book online here.
Cheap hotel near the Parliament Building
If you’re looking for a great place to stay in Budapest that’s close to everything but not too expensive, NH Budapest City ticks many boxes.
It’s in the Ujlipotváros district, close to the Parliament Building and the Danube, so it’s easy to get to key sights.
The rooms are modern and spacious, with super comfortable beds and free Wi-Fi. People often talk about the friendly service and the impressive breakfast buffet.
There’s also a fitness centre and sauna if you need a break from exploring. It’s a reliable choice for comfort and convenience.
Budapest offers plenty of great places to stay, and now you have a solid overview of the most popular areas to help you choose.
If you know of other great spots or hotels in the city or have any questions about exploring Hungary’s capital, feel free to share them in the comments.
FAQ:
What areas in Budapest should I avoid?
For a short first visit, avoid choosing a hotel purely because it is cheap without checking the journey to the places you want to see. District V, the inner part of District VI and the central Jewish Quarter are useful starting points.
Within the Jewish Quarter, check recent reviews for late-night noise. In Buda, check whether the hotel is uphill or beside the river. District numbers alone are not a reliable guide to a hotel’s surroundings.
Where should I stay in Budapest for the first time?
The Jewish Quarter, also known as Erzsébetváros, is an excellent choice for first-time visitors to Budapest seeking lively nightlife. It has historic landmarks and vibrant after-dark venues like unique ruin bars and trendy clubs.
Conversely, if you’re looking for a quieter stay with easy access to attractions, consider Belváros – Lipótváros. Located in the city centre, this district is near iconic sites like the Hungarian Parliament Building and St. Stephen’s Basilica, providing a calm yet convenient base for exploration.
Is it better to stay in Buda or Pest?
I would choose Pest for most first visits because it makes restaurants, nightlife and several major sights easier to combine. District V is a practical starting point.
Buda suits travellers who want to stay around the Castle District or enjoy a riverside setting. Castle Hill attracts plenty of visitors during the day, and some hotels require uphill walks, so check the precise address rather than assuming all of Buda is quiet.
Travel ressources & websites I use all the time 👇
• Booking.com has the best offers on hotels and unique places to stay
• GetYourGuide is the best place to book tours & activities with free cancellation
• Welcome Pickups is the best & safest place to pre-book airport transfers
Psst 👀 Have you subscribed to my Youtube channel and my Instagram where I provide more useful travel tips?
Should we stay at airbnb or hotel ? In Budapest and vienna .
Please suggest, we are two couples traveling.
Hi Manav
That would depend on several things, but in general, I prefer to stay in hotels in the main cities in Europe. The Airbnbs have gotten way too expensive and you get more bang for your buck at hotels, in my opinion.
Thanks for a well balanced and informative article. I’m Visiting Budapest in April for the first time and can’t wait 🥰
Hi Ola
Thanks a lot – have a nice trip.
Hi Kristoffer,
Thank you for such detailed information. I will be visiting in April for the first time and looking forward to it. Would you advise arranging a hotel shuttle or taking a taxi to the hotel for very late arrivals (12midnight/1am). Also, are taxis readily available at the airport or do we have to book in advance.
Hi Carrie
Thanks!
The last 3 times I’ve been to Budapest, I’ve just pre-booked a taxi as it’s so cheap and it just works. I’ve got a whole guide on airport transport here actually: https://destinationwellknown.com/budapest-airport/
There’s a link to the company I use for airport transfers.