Whether you’re planning a quick city break, catching up with family, or just need a clean, comfy spot that won’t cost a fortune, Melbourne has plenty of solid options. There are loads of budget-friendly hotels that don’t cut corners on comfort, location, or a little bit of style.
We’ve handpicked 10 best cheap hotels in Melbourne, and this list isn’t random; we’ve done the research, talked to hotel staff, and even stayed at a few ourselves. So you can trust we’re only sharing places we know are worth your time (and your money).
Best Budget Hotels in Melbourne
1. The Victoria Hotel
If you want to stay right in the middle of Melbourne, The Victoria Hotel is a top pick. It’s been part of the city for ages and still offers great value. The rooms are clean and comfy, and the bathrooms have been nicely updated.
People love the buffet breakfast and the bar; it’s a great spot to grab a bite or a drink after exploring. You’re also super close to places like Federation Square, Bourke Street Mall, and Flinders Street Station.
Where it is: 215 Little Collins St, Melbourne VIC 3000
Why locals like it: Great location, classic hotel vibes, good food and drinks at the bar
2. Atlantis Hotel Melbourne
Atlantis Hotel is a great place to stay if you want something comfy and close to everything. It’s just a short walk from Southern Cross Station, so it’s easy to get around on trains or trams.
The hotel has an indoor pool and a gym if you feel like a swim or a quick workout. It’s clean, modern, and feels fancy, but without the big price. You’re also close to Marvel Stadium, Spencer Outlet Centre, and heaps of city cafes.
Where it is: 300 Spencer St, Melbourne VIC 3000
Why locals like it: Close to trains and trams, pool and gym, good for weekend stays
3. Quest Docklands
Quest Docklands is a great spot if you want more space to relax. The rooms are like little apartments; you get your own kitchen to cook in, a washing machine, and a comfy lounge area.
It’s right near Marvel Stadium, so it’s perfect if you’re going to a footy game or a concert. Families and couples love it for weekend stays or longer trips. You’re also close to Docklands Park, The District shopping centre, and plenty of restaurants.
Where it is: 750 Bourke St, Docklands VIC 3008
Why locals like it: Big rooms, great for families, easy walk to events and shops
4. Zagame’s House
Zagame’s House in Carlton is a fun place to stay if you like something different. The rooms look super cool with bright colours, comfy beds, and even little gadgets to play with.
It’s right on Lygon Street, which is famous for Italian food and cosy cafés. You’re also close to Melbourne University and can walk to the Melbourne Museum or Royal Exhibition Building. The hotel has a bar on the rooftop and a restaurant downstairs, so you don’t even have to leave if you don’t feel like it!
Where it is: 66 Lygon St, Carlton VIC 3053
Why locals like it: Trendy style, near Melbourne Uni, great spot for food and drinks
5. Meriton Suites Melbourne
Meriton Suites on Bourke Street is a great pick if you want something a bit fancy, but not too pricey. The rooms are big and feel like your own little apartment; you get a kitchen, a lounge, and even a washing machine.
There’s a pool, a gym, and a spa if you feel like relaxing. The views from the rooms are pretty amazing too. It’s perfect if you’ve got family visiting or just want to treat yourself to a city stay. You’re close to places like Emporium Melbourne, Queen Victoria Market, and all the tram stops.
Where it is: 140 King St, Melbourne VIC 3000
Why locals like it: Big rooms, nice views, spa and gym, great for a weekend treat
6. Crown Metropol
Crown Metropol in Southbank looks super fancy, but if you book at the right time, it can be pretty affordable. They sometimes have deals, especially if it’s not school holidays or a busy weekend.
You get access to the awesome infinity pool, and you’re right near the Crown Casino, Southbank restaurants, and the Yarra River. It’s a great spot for a night out, a birthday weekend, or just a fun little stay in the city.
Where it is: 8 Whiteman St, Southbank VIC 3006
Why locals like it: Fancy pool, close to heaps of food spots, feels like a luxury escape
7. Comfort Apartments Royal Gardens
If you want a peaceful place to stay, Comfort Apartments Royal Gardens is a top choice. It’s tucked away in Fitzroy, just off Nicholson Street, but still close to all the cool cafés and restaurants.
The area’s leafy and calm, and the apartments feel like a real home. You get a kitchen, living room, and plenty of space, great for families or longer stays. You’re also near the Melbourne Museum, Carlton Gardens, and Brunswick Street.
Where it is: 8 Royal Ln, Fitzroy VIC 3065
Why locals like it: Quiet area, lots of space, close to great food and parks
8. Oakwood Premier
Oakwood Premier in Southbank might cost a little more than other spots on this list, but it’s pretty flash. The rooms are super modern, with big windows showing off awesome city views.
You can stay in a studio or a one-bedroom apartment, with a kitchen and comfy living space. There’s also a gym and a fancy rooftop bar. You’re close to Southbank Promenade, Crown Casino, and Melbourne Convention Centre, so it’s great for both fun and work stays.
Where it is: 202 Normanby Rd, Southbank VIC 3006
Why locals like it: Fancy feel, rooftop bar, great city views
9.The Windsor Hotel
Hotel Windsor is one of Melbourne’s most famous old hotels. It’s got big ceilings, shiny chandeliers, and a fancy feel, but it’s not as pricey as you’d think if you book early.
It’s right across from Parliament House on Spring Street, close to Fitzroy Gardens and Bourke Street Mall. If you’re up for something special, you can even try their famous afternoon tea. It’s a lovely spot for a romantic weekend or a treat-yourself kind of stay.
Where it is: 111 Spring St, Melbourne VIC 3000
Why locals like it: Beautiful old building, great location, perfect for a special night away
10. Quay West Suites
Quay West Suites sits right by the Yarra River in Southbank, and it’s a great spot if you want something relaxing but still close to everything. The rooms feel like mini apartments, with your own kitchen, washing machine, and a balcony to enjoy the view.
You’re right near the Arts Centre Melbourne, Hamer Hall, and Federation Square. There’s also an indoor pool if you feel like a swim. If you book at the right time, it’s usually under $250 a night, which is pretty good for the location and all the extras.
Where it is: 26 Southgate Ave, Southbank VIC 3006
Why locals like it: Great views, kitchen in every room, close to arts and city fun
Conclusion:
Melbourne’s full of great places to stay that won’t empty your wallet. Whether you’re planning a weekend escape, heading to a show, or need a spot for visiting family, these hotels offer comfort, style, and top locations — all at a price that actually makes sense. We didn’t just Google them; we researched, visited, and even stayed at a few ourselves, so you know these picks are the real deal.
And while it’s great to get away sometimes, we know things can go wrong at home too — especially when water damage hits. That’s where Water Damage Restoration Melbourne comes in. We’re locals as well, and we specialise in fast, reliable clean-up and repairs after leaks, floods, or storm damage.
Call us today to get your home dry, safe, and back to normal without the stress.
Frequently Asked Questions
What is the best affordable hotel in Melbourne city centre?
If you’re after a good budget stay in the city centre, The Victoria Hotel is one of the best picks. It’s right in the Melbourne CBD, close to Bourke Street Mall and Flinders Street Station, and often has great deals if you book early.
Atlantis Hotel is also a solid choice; it’s near Southern Cross Station, has a pool and gym, and prices are usually pretty fair.
Both give you clean rooms, top locations, and good value for your money without feeling cheap.
What are the cheap hotels near Crown Casino in Melbourne?
If you want to stay near Crown Casino in Southbank, there are a few great options.
Crown Metropol is right next to the casino, and if you grab a good deal, it’s pretty affordable for what you get, including an awesome infinity pool.
Atlantis Hotel is also close, just across the river near Southern Cross Station, and it’s great value with a pool and gym.
Oakwood Premier is another good one, just a short walk away. It has stylish rooms, a rooftop bar, and amazing city views perfect for a fun night out.
What are the best cheap hotels in Melbourne for families?
If you’re travelling with kids or just need a bit more space, there are some great family-friendly options in Melbourne.
Meriton Suites in the CBD has big rooms with kitchens, a washing machine, and even a pool perfect for longer stays.
Quest Docklands is also a top pick, especially if you’re heading to a game at Marvel Stadium. The rooms feel like home and come with everything you need.
Comfort Apartments Royal Gardens in Fitzroy is quiet, roomy, and close to parks and cafés great for a relaxed family trip.
Which cheap hotels in Melbourne that feel fancy?
If you want something a bit fancy hotel without the big price, Zagame’s House in Carlton is a great pick. It’s modern, stylish, and full of personality.
The Windsor in the CBD gives you that old-school luxury feel with big rooms, chandeliers, and a famous afternoon tea, and it’s not as expensive as you’d think if you book early.
Quay West Suites in Southbank also offers big rooms, river views, and a pool, all with a touch of class that still fits a budget.
Is it better to stay in an apartment hotel than regular ones in Melbourne?
They can be better to stay in apartment hotel than the regular ones, especially if you’re staying a few nights or like to cook your own meals.
Quest Docklands, Meriton Suites, and Oakwood Premier all have kitchen areas, washing machines, and more space than a regular hotel room.
They feel more like home and are great for families, longer trips, or if you just want to save money on eating out.
