Madrid offers budget travelers a wide range of cheap hotels, from €24/night two-star city centre rooms to hostels averaging €33 per night. This guide uses current data from Kayak, Agoda, and other aggregators to help you compare prices across districts, understand what you’ll get for your money, and decide where to book.
Last checked: 2026-06-24
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Price range for cheap hotels: from €24 to
Madrid offers budget travelers a wide range of cheap hotels, from €24/night two-star city centre rooms to hostels averaging €33 per night. This guide uses current data from Kayak, Agoda, and other aggregators to help you compare prices across districts, understand what you’ll get for your money, and decide where to book.
24 per night · Cheapest district: Pozuelo De Alarcon (avg $48/night) · Top booking platforms: Kayak, Skyscanner, Agoda, Booking.com · Example budget hotels: Hotel101 (Madrid offers budget travelers a wide range of cheap hotels, from €24/night two-star city centre rooms to hostels averaging €33 per night. This guide uses current data from Kayak, Agoda, and other aggregators to help you compare prices across districts, understand what you’ll get for your money, and decide where to book.
24), Welco Valdebebas (Madrid offers budget travelers a wide range of cheap hotels, from €24/night two-star city centre rooms to hostels averaging €33 per night. This guide uses current data from Kayak, Agoda, and other aggregators to help you compare prices across districts, understand what you’ll get for your money, and decide where to book.
21)How we researched this guide
Last checked: 2026-06-24.
Sources reviewed: hotel meta‑search platforms (Kayak, HotelsCombined, Agoda), official hotel websites (NH Hotels), travel budget calculators (Budget Your Trip), safety analysis (Spotahome), neighborhood guides (The Making of Madrid, Wheatless Wanderlust, The Savvy Backpacker), and community reviews (Tripadvisor, Reddit).
We did not conduct on‑site visits or staff interviews. Prices represent average listed rates and may fluctuate by season and booking date.
Snapshot: Madrid budget stays at a glance
- From €24 to $124 per night (Kayak)
- Pozuelo De Alarcon (avg $48/night) (Agoda)
- Kayak, Skyscanner, Agoda, Booking.com (HotelsCombined)
- Hotel101 ($124), Welco Valdebebas ($121) (Kayak)
| Fact | Detail |
|---|---|
| Average hotel price (all classes) | $343/night (Kayak) |
| Hostel dormitory range | €25–€45/night (The Savvy Backpacker) |
| Average hostel price | $56/night (HotelsCombined) |
| Cheapest district | Pozuelo De Alarcon (avg $48/night) (Agoda) |
| Price range for cheap hotels | €24 – $124/night (Kayak) |
| Typical 2‑star hotel | from €24/night (Kayak) |
| Typical 4‑star+ hotel | from €65/night (Kayak) |
| Average daily travel cost (Madrid) | €166/person (Budget Your Trip) |
| Average stay length | 2 nights (domestic 1.67) (RoadGenius) |
Where is the cheapest place to stay in Madrid?
Cheapest districts according to Agoda
Data from Agoda shows that Pozuelo De Alarcon averages just $48 per night, making it the most affordable area in the metro region. Other budget‑friendly districts include Moratalaz ($61) and Majadahonda ($62). These areas sit farther from the historic centre, but the metro and Cercanías commuter rail connect them in 25–40 minutes.
Budget‑friendly hostels and 2‑star hotels
According to HotelsCombined, a good deal for a hostel dorm is $34 or less, with the absolute cheapest listings around $21 per night. For a private room, Kayak lists 2‑star hotels from €24 per night, though many budget central options fall in the €70–€120 range.
| Area / District | Avg Nightly Rate (Agoda) | Nearest Airport Proximity | Hotel Star Options | Best For |
|---|---|---|---|---|
| Pozuelo De Alarcon | $48 | 30 min by car | 2–3 star | Quiet budget stays |
| Moratalaz | $61 | 25 min by car | 2–3 star | Cheap residential area |
| Majadahonda | $62 | 30 min by car | 2–3 star | Family budget |
| City Centre | from $124 | 20–35 min metro | 2–5 star | Convenience & nightlife |
| Near Airport (Barajas) | from ~$70 (off‑peak) | 5–10 min shuttle | 3–4 star | Early flights / IFEMA |
What this means: The absolute cheapest nightly rates are in outer suburbs, but once you factor in metro tickets (€1.50–€2 per ride) and time, a central budget hotel around €70–€90 often delivers better overall value for short stays.
Which part of Madrid is the best to stay in?
Best budget neighborhoods
A local guide from The Making of Madrid highlights La Latina, Barrio de las Letras, and Chamberí as attractive for visitors, with cheaper options generally found farther from the historic core. Lavapiés is described as more bohemian and diverse, with cheaper accommodation but mixed reviews on safety and cleanliness. On the northern edge of the centre, Argüelles and Tetuán often show median hotel prices in the €60–€90 range.
Areas to avoid according to local advice
According to Spotahome, central districts like Centro and parts of Lavapiés have higher crime rates and more petty theft. Salamanca and Retiro are among the safest, but hotel prices there are significantly higher.
City centre vs. near the airport
Staying near Madrid Barajas Airport (Barajas district) or the IFEMA trade‑fair area can save money mid‑week when no major conferences are running. Kayak data shows that airport‑area chain hotels (like the 3‑star NH Madrid Barajas Airport) often cost less than equivalent properties in the old town. However, the trade‑off is longer commute times to central attractions: roughly 20–25 minutes by metro from Barajas to Puerta del Sol.
The trade-off: Budget travelers trade convenience for price. Outer districts offer lower rates but add travel time; central cheap hotels may be noisier but keep you in the action.
How much does the average hotel cost in Madrid?
Average nightly rates by star rating
The overall average for a double hotel room in Madrid is about $343 per night, according to Kayak and HotelsCombined. But budget travelers rarely pay that. Kayak lists 2‑star hotels from €24/night, 3‑star properties from €36/night, and 4‑star+ from €65/night. Well‑reviewed 2‑ to 3‑star hotels in central Madrid typically cost €70–€120 per night when booked a few months ahead.
Price range for cheap hotels
For a private room in a budget hotel or hostel, expect to pay anywhere from €24 (2‑star, outer area) to $124 (central budget hotel like Hotel101). Ibis Budget hotels entry at about $56/night, offering predictable quality at lower cost than many central boutique options.
The bottom line: Madrid’s cheap hotel market spans a huge range. You can sleep for €24 or $124 and still be within budget. The key is matching location and amenities to your trip priorities.
How much money do I need for 2 weeks in Spain?
A 2‑week trip to Spain requires a daily budget that includes accommodation, food, and transport. According to Budget Your Trip, the average daily travel cost in Madrid is €166 per person, compared with €184 in Barcelona. Accommodation is the largest single expense, so booking a cheap hotel can significantly reduce your overall budget.
Based on community discussions on Reddit, hotel prices drop during peak summer heat (July–August) and rise again in cooler shoulder seasons like October–November. Booking a cheap hotel at €60/night would cost about €840 for 14 nights, leaving €1,490 for meals and activities at the €166/day average.
What this means: Your hotel choice directly dictates your 2‑week budget. A €60/night cheap hotel leaves the bulk of your daily €166 for food and fun, while a mid‑range hotel at €120/night squeezes the rest of your expenses.
Our pick for budget travelers
For budget solo travelers, cost‑conscious couples, and backpackers, we recommend booking a well‑rated hostel dorm (€25–€45) or a 2‑star hotel in Lavapiés or near Atocha station. These areas offer cheap nightly rates, metro access, and a lively atmosphere. If you prefer quiet and safety, consider Chamberí or Argüelles, where you can find 2‑star hotels from about €70/night. The best value is often found by booking 2–3 weeks in advance on platforms like Booking.com or Hostelworld.
If you are planning a trip to Spain, you might also be interested in our budget hotel guide for Rome for similar savings in the Italian capital.
Frequently Asked Questions
What is the absolute cheapest hotel in Madrid?
Based on Kayak listings, 2‑star hotels start from €24 per night. Hostel dorms can be as low as $21 per night according to HotelsCombined.
Are cheap hotels near Madrid airport available?
Yes. Barajas district has budget chain hotels like NH Madrid Barajas Airport (3‑star) with rates often under €80/night mid‑week. Check Kayak for current deals.
What is the best budget area for first‑time visitors?
Lavapiés and Argüelles offer cheap accommodation within 20–30 minutes of the historic centre. Lavapiés is more bohemian; Argüelles is quieter. Both have metro connections.
How much is a pint of beer in Madrid?
A typical caña (small beer) costs about €2.50–€3.50 in a neighbourhood bar, and a pint may be €4–€5. This adds about €10–€15 to a daily budget if you have two drinks.
Can I find 4‑star hotels for under €70/night?
Kayak shows 4‑star+ hotels from €65/night, though these are often located outside the city centre or during off‑peak periods. Book early.
Sources cited
- Kayak – Madrid Hotels
- HotelsCombined – Madrid Hotels
- HotelsCombined – Madrid Hostels
- Agoda – Madrid
- The Savvy Backpacker – Madrid Hostels
- The Making of Madrid – Neighborhood Guide
- Wheatless Wanderlust – Staying in Madrid
- Spotahome – Safest Neighborhoods
- Budget Your Trip – Madrid vs Barcelona
- Madrid Convention Bureau – Tourism Statistics
- RoadGenius – Madrid Tourism Statistics