Best Neighborhoods to Stay in Budapest: Complete Area Guide

Budapest is the capital of Hungary and offers a city that truly caters to a diverse array of interests. From ruin bars to vibrant summer music festivals; from frigid winters to soothing thermal spa baths – regardless of the season, Budapest presents an exceptional opportunity for exploration.

As one of the more economically accessible European capitals, Budapest offers something for every type of traveler as well as every financial plan. It has become a popular destination for budget backpackers traversing Eastern Europe by train, and is well-equipped to accommodate everyone, from the resourceful traveler to the indulgent luxury seeker.

The city can be distinctly divided into Buda and Pest, with the formidable Danube River acting as the natural separator between the two. Numerous bridges span the divide, allowing visitors to easily transition from one side of the city to the other. Interestingly, it is a Hungarian custom to kiss while passing beneath a bridge, or so suggests the lively guides during a recommended river cruise.

Whether you plan to travel to Budapest with a partner, friends, or family, there is an abundance of enjoyment to be found in Hungary’s capital.

Now, let us delve into the best areas to stay in Budapest.

Belváros

Belváros is the urban core of Budapest, home to a majority of the iconic sights and landmarks. This area is favored by weekenders and those on quick trips. As a more refined neighborhood, Belváros features some of the most stunning architecture in Budapest, which is quite a noteworthy claim given the architectural splendor found throughout the city.

In the Belváros neighborhood, one can experience some of the finest dining establishments and upscale hotels in the city. Despite being the historical nucleus of Budapest, Belváros maintains a relatively relaxed atmosphere. Even during the peak summer season, it remains pleasantly uncrowded.

The stroll between Széchenyi Chain Bridge and Elizabeth Bridge, along the picturesque Danube Promenade, allows visitors to absorb the views of the Buda side across the river. Along this pathway, numerous sculptures and thoughtfully placed benches are found.

Good For: Active Travelers, High-Budget Travelers, Aspiring Historians, Urban Adventurers, Couples, Culture Enthusiasts, Families, First-Time Visitors, Quick Stop Travelers,

Neighborhood Highlights: Széchenyi Chain Bridge, Elizabeth Bridge, Danube Promenade, Orthodox Cathedral of Our Lady, Petofi Museum of Literature, Endre Ady Memorial Museum Budapest, Belvárosi Nagyboldogasszony Főplébánia-templom Church, Vigadó Concert Hall, Lion Fountain, Count István Széchenyi Statue.

Hotel Recommendations:

• Hotel Erzébet City Center – Hotel Erzébet City Center provides excellent accommodations within Belváros. Although the décor may appear somewhat outdated, the hotel meets the needs of every traveler. Its location is virtually unparalleled, placed right in the heart of Belváros. All rooms are equipped with air conditioning.
• Bohem Art Hotel – Bohem Art Hotel is a contemporary and vibrant option in a prime location within Belváros. The spacious rooms feature large en-suite bathrooms. The hotel lounge and lobby area boasts a modern aesthetic, furnished with stylish furniture, contributing to its urban ambiance. The staff are exceptional and readily assist with travel arrangements.
• Budapest Marriott Hotel – Subtle yet sophisticated, Budapest Marriott Hotel stands out as one of the premier hotels in the city. Guests can revel in breathtaking city views from their rooms or enjoy people-watching at the al fresco café along the Danube Promenade. The hotel also features an in-house spa and a well-equipped fitness center.

Palace District

Unsurprisingly, the centerpiece of the Palace District is the magnificent palace itself. Esterhazy Palace is among the most stunning buildings in Budapest, exhibiting influences from Austrian architecture reminiscent of Vienna. Adjacent to the palace lies the impressive Hungarian National Museum and Museum Garden, featuring collections of archaeological artifacts unearthed from across Hungary, alongside culturally significant documents and relics.

The Palace District shares borders with Belváros and is conveniently located just a short distance from the Danube Promenade. Consequently, it serves as an excellent accommodation choice for first-time visitors and those on quick visits to Budapest.

Further, there are several smaller museums within the district. Away from the National Museum of Hungary, visitors can delve into the history of television and radio at Magyar Rádió Épülete. Additionally, the façade of Kéményseprő ház features a bronze statue of a chimney sweep, which is certainly an attraction worth admiring.

Good For: Active Travelers, Mid-Budget Travelers, Aspiring Historians, Urban Adventurers, Couples, Culture Enthusiasts, Families, First-Time Visitors, Quick Stop Travelers,

Neighborhood Highlights: Esterhazy Palace, National Museum of Hungary, Museum Garden, Magyar Rádió Épülete, Kéményseprő ház, Danube Promenade, Molnar Gallery, Altair Tea House

Hotel Recommendations:

• Hotel Museum Budapest – Located mere steps from the National Museum in the Palace District, Hotel Museum Budapest provides quality accommodations in the heart of the area, catering to all guest needs. The spacious rooms feature generous en-suite bathrooms.
• Hotel Palazzo Zichy – With its modern accommodations and high level of service, Hotel Palazzo Zichy is an outstanding option in the Palace District. The staff are very accommodating and dedicated to ensuring a pleasant stay. The cocktail bar offers an excellent drinks menu.
• The Three Corners Hotel Anna Superior – The Three Corners Hotel Anna Superior ranks among the most popular hotels in the Palace District. Guests benefit from unrestricted access, as the reception operates 24 hours a day. Each room features an en-suite bathroom with a walk-in shower and complimentary toiletries.

Lipótváros

Lipótváros is the neighborhood situated directly above the inner city, Belváros; hence, there may be some ambiguity regarding the boundaries between the two areas. Both neighborhoods share the renowned Danube Promenade.

Along Lipótváros’s section of the Danube Promenade, visitors can encounter various notable bronze statues. “Shoes on the Danube” is a poignant series of shoe sculptures memorializing those who lost their lives during WWII under the fascist regime.

Perhaps the most striking sight in Lipótváros is the Hungarian Parliament Building. One of Europe’s most celebrated parliament buildings, the Országház attracts significant tourist attention. Constructed in Gothic Revival style, its intricate interior is as breathtaking as its ornate exterior. Visitors can access the visitor’s center to learn about Hungary’s dynamic political history.

Lipótváros also ranks as one of Budapest’s wealthier, more affluent neighborhoods, well suited for visitors throughout the year.

Good For: Active Travelers, Art Enthusiasts, Architecture Aficionados, Mid-High Budget Travelers, Aspiring Historians, Urban Adventurers, Couples, Culture Enthusiasts, Families, First-Time Visitors, Quick Stop Travelers.

Neighborhood Highlights: Hungarian Parliament Building, Shoes on the Danube, Széchenyi Chain Bridge, Liberty Square, The Glass House, OSA Archives, Soviet War Memorial, Ronald Reagan Statue, The Fat Policeman Statue, St. Stephen’s Basilica, Statue of Imre Nagy, Count István Széchenyi Statue.

Hotel Recommendations:

• Prestige Hotel – Prestige Hotel stands out as a luxurious lodging option in the heart of Lipótváros. Guests can choose from opulent rooms or signature Prestige Suites. The breakfast provided at Prestige Hotel is exceptional, ensuring an excellent start to the day. The in-house restaurant boasts a Michelin star and has garnered rave reviews.
• Starlight Suiten Hotel – Starlight Suiten Hotel offers an outstanding choice for travelers in Lipótváros, particularly for those seeking more personal space in Budapest. Options range from classic suites at affordable prices to more luxurious deluxe suites. Both categories feature a lounge area and en-suite bathroom.
• Iberostar Grand Budapest – Featuring modern conveniences like iPod docks in every room, complimentary WiFi, and flat-screen TVs, Iberostar Grand Budapest is an excellent choice in Lipótváros. Guests are greeted with a complimentary drink upon arrival, and the in-house bar presents an enticing cocktail menu.

Józsefváros

Józsefváros, often referred to as District VIII, shares a few streets with the Palace District. Located to the south of the bustling, pricier areas of Lipótváros and Belváros, Józsefváros provides an excellent accommodation choice for those who wish to remain in the midst of activity without exceeding their budget.

As one of Budapest’s historic suburbs, Józsefváros showcases structures dating back to the 18^th Century. Travelers can explore a number of intriguing museums within Józsefváros. The Holocaust Memorial Centre is dedicated to the victims of the WWII Holocaust from Hungary, set within a renovated synagogue originally built in the 1920s.

The Natural History Museum is also located in Józsefváros, making it an engaging destination for families, featuring an extensive array of exhibits. The museum’s centerpiece is a genuine whale skeleton found in the main hall.

Good For: Active Travelers, Architecture Enthusiasts, Budget Travelers, Aspiring Historians, Urban Adventurers, Couples, Culture Enthusiasts, Families, First-Time Visitors, Quick Stop Travelers.

Neighborhood Highlights: Natural History Museum, Holocaust Memorial Centre, Orczy Garden, Flag Museum, Martsa Műterem és Művészkert, József Attila Memorial, Dandár Gyógyfürdő Spa, Erkel Theater, Kegyeleti Múzeum.

Hotel Recommendations:

• Bo18 Hotel Superior – Bo18 Hotel Superior is a boutique establishment in the center of Józsefváros. With an excellent spa featuring a Jacuzzi and sauna, Bo18 provides complimentary access to these amenities. Additionally, a tech space in the lobby is available for guests to use the hotel’s laptops, iPads, and PlayStation; plus, they serve an incredible breakfast buffet daily.
• Corvin Plaza Apartments & Suites – These bright, modern, and minimalist apartments are located in central Józsefváros, offering WiFi throughout the property and within each apartment. They are an ideal choice for families or groups of travelers, with two-bedroom apartments that can comfortably host up to six guests.
• Hotel City Inn – Hotel City Inn presents affordable accommodations just 500 meters from Corvin-negyed Metro Station. Each room is equipped with essential amenities, including coffee-making facilities, a private bathroom, and a wardrobe. Many guests appreciate the complimentary breakfast buffet served daily.

District VI

Located just behind Belváros, District VI features Budapest’s renowned Andrassy Avenue, often regarded as the Champs Elysees of the city. This area is adorned with lovely high-fashion boutiques, elegant Neo-Renaissance palaces, as well as hidden hostels, making District VI a little gem.

Whether you’re a budget traveler seeking a hostel at the heart of the action, a luxury seeker in pursuit of a spacious studio apartment, or an urbanite aiming to experience a vibrant aspect of Budapest, District VI is the ideal locale.

This district is also home to Budapest’s famous Ruin Bars. Venture off Andrassy Avenue to discover the city’s incredible nightlife scene. During warm summer evenings, Ruin Bars become popular gathering places for visitors, where sipping Pálinka with locals and dancing on tables is seen as a rite of passage in Budapest.

Good For: Active Travelers, Architecture Enthusiasts, Budget Travelers, Aspiring Historians, Urban Adventurers, Couples, Culture Enthusiasts, Foodies, Fun-Loving Travelers, Party Goers.

Neighborhood Highlights: Simple Kert Ruin Bar, Csendes Vintage Bar, Andrassy Avenue, Széchenyi thermal bath, Instant Nightclub, Budapest Puppet Theater, Zoltán Kodály Memorial Museum, Hungarian Electrotechnical Museum, Postal Museum, House of Terror, Vajdahunyad Castle, City Park.

Hotel Recommendations:

• Bo33 Hotel Family & Suites – For travelers wishing to experience local life in Budapest, Bo33 Hotel Family & Suites is an excellent option. The spacious suites are equipped with fully-stocked kitchens, lounge areas, and modern bathrooms. As the sister property to Bo18 in Józsefváros, Bo33 offers a similar boutique ambiance and excellent service.
• Royal Park Boutique Hotel – Just a 10-minute walk from Andrassy Avenue, Royal Park Boutique Hotel provides soundproofed accommodations that ensure guests enjoy restful nights, complete with comfortable beds. The rooms are decorated with contemporary furnishings and receive ample natural light. The breakfast buffet is quite impressive.
• Budapest Heart Bed & Breakfast – Offering an authentic and home-like atmosphere, the Budapest Heart Bed & Breakfast is conveniently located in District VI, specifically within the Erzséstváros neighborhood. Family rooms and deluxe queen studios are available, with all accommodations featuring coffee machines. Free parking is provided on-site, along with complimentary WiFi throughout the property.

Kelenföld

For those who leave the Hungarian capital declaring that ‘Pest is Best,’ it perhaps indicates that they have yet to explore the opposite side of the Danube. Crossing the river to the Buda side, Kelenföld offers an elegant neighborhood with splendid views of the Danube and provides a more authentic glimpse into daily life in Hungary. This area features estate-like homes constructed in the 1970s, presenting a modern contrast to the historical neighborhoods found across the river in Pest.

Barba Negra Music Club serves as a highlight of Kelenföld for those seeking nightlife. This outdoor music venue, although simple in design, boasts a lively atmosphere with live bands and DJs performing most nights, particularly during the summer months.

A hidden gem in Kelenföld is the Botanic Garden Buda, perfect for those searching for a breath of fresh air.

Good For: Architecture Enthusiasts, Budget Travelers, Urban Adventurers, Couples, Culture Enthusiasts, Foodies, Fun-Loving Travelers, Explorers, Party Goers.

Neighborhood Highlights: Barba Negra Music Club, Botanic Garden Buda, Kopaszi gát Park, Savoya Park Shopping Mall, Szent Gellért’s Church.

Hotel Recommendations:

• Danubius Hotel Flamenco – Danubius Hotel Flamenco is a reliable hotel option in Kelenföld, with a broad selection of room types and abundant availability. It serves as an ideal choice for last-minute trips to Budapest. The accommodations are uncomplicated yet generous, featuring comfortable beds and en-suite bathrooms.
• Anna Hotel – Anna Hotel is a marvelous lodging option set within a modern, strikingly-designed building in Kelenföld. The hotel offers an airport shuttle service that can be arranged through the friendly reception staff. Each room features its own private outdoor seating area.
• Aranyseo Vendégház Csorbai – Aranyseo Vendégház Csorbai is a locally-managed establishment situated in a traditional Hungarian home. The hotel boasts a refreshing outdoor pool during summer, which tends to freeze up in winter. Each room includes a private bathroom and shower. Additionally, a balcony is available with each room, offering views of the garden and a dining table.

Krisztinaváros & Taban

Krisztinaváros is the most favored neighborhood in Buda for visitors seeking accommodation. Positioned just west of Castle Hill, Krisztinaváros presents excellent views of Pest across the river and is well-connected to other areas of the city.

Budapest’s metro system is comprehensive, operating late into the night and is both budget-friendly and user-friendly. Notably, Budapest was in competition with London to establish the first underground train network in the world, with London narrowly prevailing.

This area offers a wealth of activities and sights. The adjacent neighborhood of Taban is also worth exploring, featuring Gellért Hill, the iconic Gerard of Csanád Monument, and the Citadella.

A free activity to consider in Krisztinaváros is statue spotting, featuring the Turul Statue, the Statue of the Independence War, and the Statue of Prince Eugene of Savoy, among others.

Good For: Active Travelers, High-Budget Travelers, Aspiring Historians, Urban Adventurers, Couples, Culture Enthusiasts, Families, First-Time Visitors, Quick Stop Travelers.

Neighborhood Highlights: Turul Statue, Statue of the Independence War, Statue of Prince Eugene of Savoy, Mace Tower, The House of Houdini, Budapest Castle Hill Funicular, Fisherman’s Bastion, Hospital in the Rock – Bunker, Matthias Church, Gellért Hill, Gerard of Csanád Monument, Citadella.

Hotel Recommendations:

• Mercure Budapest – Mercure Budapest is a modern luxury hotel situated in Krisztinaváros. Guests can select from two in-house restaurants or delight in authentic Hungarian eateries located nearby. Many rooms offer impressive views of the city, and all are equipped with en-suite bathrooms.
• Buda Castle Fashion Hotel – Buda Castle Fashion Hotel delivers boutique accommodations at the heart of Krisztinaváros, conveniently located just 200 meters from Matthias Church. This hotel features top-notch amenities, including a laptop-size safe, minibar, and flat-screen TV, along with reliable WiFi throughout the property.
• Hilton Budapest – Hilton Budapest stands out as a magnificent accommodation option in Krisztinaváros, located adjacent to Fisherman’s Bastion and Matthias Church. The hotel provides all desired amenities, inclusive of an in-house restaurant, fitness center, and a lounge bar. Additionally, private parking and airport shuttle services are available upon requests.