Where to Stay in Budapest: Best Areas & Hotels (2025)
Want to know where to stay in Budapest?
I was born and raised in Budapest, and I am probably biased, but I always found it is one of the best cities in Europe. Budapest is beautiful and it offers so many cool activities for a holiday!
When deciding where to stay in Budapest, you should consider your preferences, whether you want to stay in an area close to bars and pubs, or if you are looking for a more relaxed, peaceful holiday.
Some of the best areas to stay in Budapest are District 5, 6, 7 on the Pest side and District 1 in Buda. These areas are safe for travellers, located centrally, close to famous landmarks, and have many restaurants, bars and things to do.
For first-time visitors in Budapest the best place to stay is District 5 which is the most central, downtown area in the city. It has everything from restaurants, cafes, and is in close walking distance to the most famous attractions.
For families or travellers looking for a more peaceful environment, the Buda Castle Hill area in District 1 is the best choice. It central, has beautiful landmarks but the evenings are more peaceful than the busy Pest downtown.
As for hotels in Budapest, there are many options for every budget, including hostels, mid-range, and luxury hotels!
So, here are the best areas and hotels to stay in Budapest!
Where to Stay in Budapest: Buda or Pest?
The River Danube flows through Budapest and splits the city into two parts: Buda and Pest.
It is a forever debate among Budapest residents on which part is better: Buda or Pest? Ultimately, it depends on your preferences!
Buda is the more upscale part, and it has the Castle District, where the Buda Castle and Fisherman’s Bastion are located. It is a quieter, beautiful part of the city, but known less for its nightlife.
The downtown area of Pest is full of famous attractions, restaurants, bars, and things to do. The downtown of Pest is a great choice if you want to stay close to historic landmarks and also enjoy everything the city has to offer.
The public transport in Budapest is extensive, well-connected and safe, so whether you stay in Buda or Pest, you can easily get from one side to the other.
Where to Stay in Budapest: Map
Best Districts to Stay in Budapest
The best districts to stay in Budapest are District 5 (Downtown/Belváros), District 6 (Terézváros), and District 7 (Erzsébetváros) on the Pest side, and District 1 (Buda Castle Hill) on the Buda side.
Areas to Avoid in Budapest
Budapest is generally a safe city and most areas are safe to stay.
The only place to avoid is the part of District 8 that is further out from the city center, e.g. around Diószegi Sámuel Street and Kálvária Square.
Parts of District 8 that are close to the city center (Palace District) are great and safe place to stay, just don’t book a hotel which is far out from the city center.
District 8 has undergone development in the past years, and it is much safer than it used to be, but it is still not recommended to stay in parts that are far from the city center.
Best Areas to Stay in Budapest (+ Hotels)
District 5: Belváros (Downtown) & Lipótváros
- Best for: first-time visitors, walking distance to main attractions, next to River Danube, option to walk across to Buda
District 5 in Budapest is simply the best place to stay in Budapest! It is located right in the city center, next to the River Danube, and there are many famous attractions in the area.
District 5 is safe and it is a great area to stay to be in close walking distance of many historic attractions. It is right next to the River Danube which a great place for walks and to see the sunset.
The most famous places in Budapest’s District 5 are the Parliament, Shoes on the Danube, St. Stephen’s Basilica, Erzsébet Square (with the Ferris Wheel), Deák Ferenc shopping street, and the Vörösmarty Square (hosts events on holidays, such as Christmas markets).
From District 5, you can also walk across to Buda and visit places such as the Buda Castle or Fisherman’s Bastion. Don’t worry, in case you get tired, the public transport in Budapest is safe and reliable.
You can also find many restaurants, cafes and bars in District 5, so overall, this district has all the amenities to make it a perfect stay in Budapest!
District 6: Terézváros
- Best for: mix of both lively city center and a more quiet, residential area.
District 6 is called Terézváros and it is also a great option when looking for places to stay in Budapest.
District 6 can be divided into two parts: one which is in the city center and has a lot of bars and restaurants, and another part which is more residential.
The area in District 6 in the city center is up to Teréz körüt (boulevard), which is pretty central and has many bars and restaurants. It has famous places like the State Opera, House of Terror, and Nagymező utca (street), which is known for its many bars.
The other part of District 6 is from Teréz Boulevard to Heroes Square, and it is a more residential area. It is still very close to the city center and you can take the Metro Line 1 (yellow line) to get you to the city center.
If you stay in the more residential area of District 6, it is great if you are looking for a quieter place to stay. It is also close to the Heroes Square, City Park and the Széchenyi Thermal Bath.
The residential area of District 6 is great for families looking for a relaxed stay, but still close to the city center. While the inner part of District 6 is great if you want to be close to the bars.
District 1: Buda Castle District
- Best for: travellers looking for a relaxed stay, away from nightlife
District 1 is the wealthier, upscale part of Budapest, and is known for historic places such as the Buda Castle and Fisherman’s Bastion.
While the tourist attractions can get busy during the day, in general, it is a more quiet area in the evenings. You can still find many restaurants and some pubs in the area, but it is not the place for a night of pub crawl.
Nevertheless, District 1 is a beautiful place to stay in Budapest. It is a great choice for families, travellers who have been to Budapest before, and travellers who are looking for a more relaxed holiday.
District 1 is still central, and you can even walk across to Pest if you are up for a walk. It is located right next to the River Danube and it is great to walk along the river.
You also get one of the most beautiful views of the Parliament from the Buda side. Go to Batthyány Square, from where you have the best views of the Parliament – great views both day and evening!
Best Hotels in Budapest District 1
✅ Best Budget Hotel: Academy Pension: Book here!
✅ Best Mid-Range Hotel: Maison Bistro and Hotel: Book here!
✅ Best High-End Hotel: Hilton Budapest: Book here!
District 7: Erzsébetváros
- Best for: nightlife, restaurants
District 7 is called Erzsébetváros and it is a great place for nightlife and restaurants! District 7 can be split into two parts which have slightly different amenities.
The part of District 7 which is closer to the city center is the Jewish Quarter and nearby areas. It is a fun place to be with many ruin bars, cafes, restaurants and vintage shops. You can also find the Great Synagogue here, which is the biggest synagogue in Europe.
The other part of District 7 which is a bit further out from the city center is a bit more residential. There are still many restaurants and bars in the area but the further out you go, the more residential it gets.
When choosing where to stay in District 7, it is up to whether you want to be close to nightlife or in a more relaxing place.
The part of District 7 which is furthest from the city center is close to the City Park and the Széchenyi Thermal Bath, that are great places to relax and recharge.
Other Areas to Stay in Budapest
District 13: Újlipótváros
Újlipótváros in District 13 is a cool place to stay if you are looking for a place in a more relaxed, less touristy part of Budapest. It is right next to the River Danube, close to the Margaret Island and the Parliament.
It is more residential but still has many nice restaurants. The great thing is that it is not too far from the city center and can be reached quickly and easily by public transport or taxis.
Újlipótváros is a good option if you want to stay in a place which is more a local area, not full of tourists, but still has many amenities for a nice stay in Budapest.
District 8: Palace District
Budapest is safe but District 8 is generally considered as the least safe neighbourhood in the city. Nevertheless, the district has undergone a lot of development in recent years and the areas near the city center are safe.
The Palace District (Palotanegyed in Hungarian) of District 8 is in the city center of Budapest and has always been a safe and good place to stay.
The Palace District is centrally located and is in walking distance to places such as the Central Market Hall, Jewish Quarter (including the Great Synagogue, and ruin bars), or you can even walk across to Buda.
The public transport in Budapest is well-connected and taking the trams, metro or bus is a good option to get around faster.
The places in District 8 that are far from the city center (such as around Kálvária Square, and Diószegi Sámuel Street) are the areas best to avoid as those are still considered unsafe.
FAQs: Where to Stay in Budapest: Best Areas & Hotels
Which is the best part of Budapest to stay in?
The best part of Budapest to stay in is the District 5 as it the most centrally located, have lots of amenities, and is in walking distance of the most famous landmarks in Budapest.
In addition, the Districts 1, 6, and 7 are also safe and great neighbourhoods to stay in Budapest.
What are the best areas to stay in Budapest for tourists?
The best areas to stay in Budapest for tourists are right in the city center, such as District 1, 5,6, and 7. Each district offers slightly different amenities, so it depends on your preferences which one to choose.
For nightlife, District 5, 6 and 7 are best, while for a more relaxing, peaceful holiday, you can consider District 1.
Where to avoid staying in Budapest?
Budapest is a safe city and most areas are safe to stay. The only place to avoid is the part of District 8 that is further out from the city center, e.g. around Diószegi Sámuel Street and Kálvária Square.
Where to stay in Budapest for first time visitors?
For first-time visitors to Budapest the best place to stay is District 5 which the most central, downtown area in the city.
It has everything from restaurants, cafes, and is in close walking distance to the most famous attractions.
Where to stay in Budapest for nightlife?
The best place to stay in Budapest for nightlife is District 5, and the inner city parts of Districts 6 and 7.
These areas have many pubs, bars, ruin bars and restaurants which make staying in these areas a great night out.
Where to stay in Budapest for the Christmas Markets?
Two of the biggest Christmas Markets in Budapest are organized at the Vörösmarty Square and St. Stephen’s Basilica which are located in District 5, in the city center of Budapest.
Thus, when looking for accommodation near the Christmas Markets in Budapest, consider an accommodation in District 5 which is the closest to the markets.
What is the best place to stay Budapest for a stag do?
The best place to stay in Budapest for a stag do is the inner city part of District 7, including the area in and around the Jewish Quarter.
The inner city part of District 7 has many bars, clubs and restaurants, so it is a great place for stag dos and night outs in general. Some of the famous ruin bars are also located here, such as Szimpla Kert and Instant.
District 7 is also centrally located, so you can reach other cool areas in the city pretty fast, such as District 5 or 6.
Where to stay in Budapest near the airport?
For hotels at the Budapest Airport, I recommend the Ibis Styles or TRIBES hotels. They are right by the airport, maximum 5 minutes’ walk away, and offer comfortable rooms.
If you have a long layover, I recommend staying at the Hotel Stáció. It has a swimming pool, spa, massage, jacuzzi and sauna – the best airport hotel to rejuvenate!
Conclusion
In conclusion, some of the best areas to stay in Budapest are District 5, 6, 7 on the Pest side and District 1 in Buda. These areas are safe for travellers, located centrally, close to famous landmarks, and have many restaurants, bars and things to do.
For first-time visitors to Budapest the best place to stay is District 5 which the most central, downtown area in the city. It has everything from restaurants, cafes, and is in close walking distance to the most famous attractions.
For families or travellers looking for a more relaxing holiday, the Buda Castle Hill area in District 1 is the best choice. It still central, has beautiful landmarks but the evenings are more peaceful than the busy Pest downtown.
When deciding where to stay in Budapest, you should consider your preferences, whether you want to stay in an area close to bars and pubs, or if you are looking for a more relaxed, peaceful holiday.
To make a hotel booking, online hotel booking sites work well in Budapest, and I recommend Booking.com as one of the best sites for booking accommodation.
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Hungary Quick Guide
How to get from the Budapest Airport to City Center?
The 3 easiest way to get from the Budapest Airport to the city center is by taking the airport shuttle bus, taxi, or pre-booking a private transfer.
For more information, check out how to get from the Budapest Airport to city center here.
Should I get a Hungarian SIM card?
If you don’t get free roaming in Budapest, then the best thing to do is to get an Airalo eSIM for Hungary.
They have packages for 7, 15 or 30 days and the prices are affordable.
Are there any useful mobile apps I can use in Hungary?
Yes! There are a couple of mobile apps that come handy when travelling in Hungary, including apps for booking taxis, using public transport, ordering food, or translating.
Check out my list of the most useful apps in Budapest for travellers.
What is the currency in Budapest? Can I pay by cash or card?
The official currency in Hungary is the Hungarian Forint (HUF).
You can use both cash and cards in Budapest. Card payments are widely accepted all over Budapest and it is only the small shops or street vendors that take only cash payments.
Is the public transport good in Budapest?
Yes! The public transport in Budapest is well-connected and affordable.
The main modes of transport in Budapest are the metro, buses, HÉV trains, trolley buses and there are even public boats!
If you want to save some time or comfort, taking a taxi is a good option. When booking a taxi in Budapest, you can either hail a regular taxi or book one through a taxi app (Uber or Bolt).
Can I drink tap water in Budapest?
Yes, it is safe to drink tap water in Budapest (and all across Hungary).
The tap water goes through a strict water treatment process in Hungary which makes it safe to drink for everyone.
Do they speak English in Budapest?
Yes, people speak good English in Budapest, especially the younger generation.
The older population may not speak English that well, so if you have to ask for information, the best is to approach someone who is younger.
In most tourist places, hotels, restaurants and bars, the staff has a good level of English, so you will get by easily.
Hungary Trip Planning
✈️ Book Flights to Hungary:
Find the best flight deals on Skyscanner or Kiwi.com!
🏠 Book Hotels for Hungary:
Booking.com: best budget, mid-range and luxury hotels.
Hostelworld.com: best for cheapest hostels!
(P.S: The best areas in Budapest are District 5 and 6, right in the city center)
🥘 Book Activities for Hungary:
Book the best activities, tours and day trips on GetYourGuide and Viator. There is everything from river cruises, thermal baths and walking tours to food tours and pub crawls!
🎒 Get Travel Insurance for Hungary: Be on the safe side and get a SafetyWing Travel Insurance – one of the most affordable international travel insurances!
💳 Get Your Travel Cards: Wise and Revolut have travel cards that you can top up with multiple currencies. They have great exchange rates and you can easily use them for payments in shops and restaurants worldwide.
✅ Check out my complete list of travel resources to plan your trip!
