Where to Stay in Budapest - A Local’s Guide for First-Time Visitors
Budapest, the capital of Hungary (and also my home city!), is divided by the Danube River into two distinct areas: Buda and Pest. Between the two, you’ll find a blend of historic landmarks, architectural curiosities, markets, green spaces, and lively nightlife, making Budapest a city that really does offer something for everyone, especially visitors interested in modern urban life.
Buda, on the west bank of the river, offers a tranquil and historic atmosphere, and this area is known for its rolling hills, medieval streets, and vistas overlooking the city. You’ll find many famous sights on this side of the river, like Buda Castle, Fisherman's Bastion, and Matthias Church.
This part of the city is also quieter and more residential, offering plenty of places to relax, like in its parks, forests, hiking spots, and thermal baths, some of which date back to the 16th century after being left behind following the Ottoman occupation.
In contrast, the eastern bank, Pest, is the city's bustling urban hub. Home to the iconic Hungarian Parliament Building and grand boulevards like Andrássy Avenue, Pest is always busy and filled with energy. This area is known for its nightlife, diverse culinary scene, and cultural offerings.
Whether you’re looking to explore the trendy ruin pubs of the Jewish Quarter or visit the almost endless array of cultural venues, Pest offers up a truly varied urban experience.
I think these two contrasts, easily found just by crossing over from one side of the Danube River to the other, make it so that Buda and Pest together create a really unique and multifaceted cityscape that’s pretty special within Europe.
Now, which side and neighborhood is the right base for you will depend on what you’re looking for, so to help you decide, I’ve provided below a detailed overview of the 4 principal neighborhoods that I typically recommend to visitors, along with a few other options which are a bit less central but offer very different (typically more local) experiences.
Table of Contents
Budapest planning cheatsheet
Plan your itinerary with expert advice
- Book a Budapest travel consultation with a local expert
My favorite hotels in Budapest
- Matild Palace - 5-star luxury in the historic center. $250/night
- Hotel Moments - chic and stylish on Andrássy Avenue. $200/night
- Boutique Hotel Victoria - riverfront views in the Castle District. $150/night
- Casati Hotel - great value near the Opera House. $130/night
- Three Corners Downtown - modern and well-located for sightseeing. $120/night
Guided tours and activities
- Private guided tours with Attila (my favorite local guide)
- Castle District walking tour (small group)
- Evening Danube River Cruise
- City center bike tour (with e-bikes)
- Downtown Pest & the Jewish Quarter
How to get around
- Car rentals with DiscoverCars
- Train tickets from MÁV
- Bus and metro routes at BKK
- Taxis & rideshares with Uber and Bolt
- Airport transfers from Welcome Pickups
A quick overview of Budapest’s districts
A map of Budapest’s districts, with the Danube River cutting through the city. Photo: Droo, CC BY-SA 4.0, via Wikimedia Commons
Before we delve into my recommended neighborhoods, I just want to quickly explain how Budapest is organized.
The first thing you need to know is that this is usually characterized as a city split into two halves - Buda and Pest - which are separated by the mighty Danube River. I personally think that’s an oversimplification, as there are very distinct neighborhoods within each of those halves, but it’s still a useful reference point. So, you have Buda on the west banks of the Danube, and Pest on the east banks.
From there, the city is officially divided up into 23 numbered districts, similar to the Arrondissements of Paris, and each district has its own character, history, and style, Starting from the city center, the districts more or less spin out like a snail’s shell, beginning at I Kerület (“Kerulet” means district in Hungarian) and spiraling out more or less in clockwise order from there.
The most central districts all have portions that run along the Danube (whether they’re in Buda or Pest), and in general, the closer you stay to the river the more central you’ll be.
Districts I, II, and III are all found in Buda, and if you stay near the river in any of these, you’ll be within easy striking distance of many of the city’s main sights. Be aware though, that portions of districts 2 and 3 stretch very deep to the north and west - away from the river - and those areas are not very convenient for sightseeing.
Meanwhile, most of the busier downtown districts - V, VI, VII, VIII, IX, and XIII - are found in Pest, and this is where the majority of the “action” in the city happens.
Beyond their numeric designations, be aware that these districts also have their own names, which typically end with “város” (which means “town”) and sometimes begin with the name of an emperor from the Austro-Hungarian empire.
As you wander around town, you’ll often see the district number and the neighborhood name on the street signs, which makes knowing the general layout and names of the neighborhoods very helpful for getting your bearings while exploring.
You should also be aware that some districts have sub-neighborhoods, like the V District, which is split into Belváros and Lipótváros. Which sub-neighborhood of a district you stay in won’t really matter (they’re not that big), but it’s helpful to know if you’re looking on a booking/accommodation platform and see one of those names.
Ok, now that you understand how the city is divided up and the ways we name/identify the various neighborhoods or districts, let’s take a deeper look at some of the areas that I recommend you stay in during your visit to my city:
My 4 recommended neighborhoods
Budapest is a very compact city and it also has an excellent and comprehensive public transit system (buses, trams, subways), so as long as you choose somewhere relatively central, regardless of what district it’s in, you’ll always be able to get around pretty quickly and conveniently.
Of course, if it’s your first time here, it’s more pleasant to be able to walk to the main sights rather than relying on public transit, so I think it’s best to stay in the heart of the city, even if that inevitably means that you’ll be in an at least somewhat touristy area.
With that in mind, here are the 4 neighborhoods that I recommend for most visitors:
1. Belváros and Lipótváros (District V)
As central as it gets, this is the ideal base for any first-time visitor who wants to be within easy walking distance of the city’s iconic sights. It’s very touristy though, so just don’t expect to be “immersed in local life”.
2. Terézváros (District VI)
Centered along the city’s grandest street - Andrassy Avenue - this area is a cultural hub lined with gorgeous old buildings. Central but far less touristy, its very upscale and refined.
3. Erzsébetváros (District VII)
Perpetually busy, this is Budapest’s nightlife hub. It’s where you’ll find the famous ruin bars and its by far the liveliest atmosphere in the city. While centrally located, it’s probably most suitable for younger visitors.
4. Buda Castle District (District I)
Found across the river in Buda, this is a historic and architecturally gorgeous neighborhood that is far quieter than the 3 mentioned above. Parts are very touristy and it can be rather quiet at night, but is exceedingly atmospheric.
1. Belváros and Lipótváros (District V)
Belváros (Inner City) and Lipótváros (Leopold’s Town) are neighborhoods belonging to the downtown V District. You can’t get more central than this part of town, as almost everything in the city is within a 20-minute walk, making it an ideal base for exploring.
I recommend this as the perfect starting point for anyone visiting the city for the first time. It’s packed with attractions and centrally located, so you can wander around and stumble upon some of Budapest’s most iconic sights.
Although some parts are very touristy (I’m looking at you, Váci Street), there are a few hidden, quiet parts here I love going to regularly, like the area around the Károly Garden–a garden enclosed by intricate wrought iron fencing and gates that backs onto the Petőfi Literature Museum–and Egyetem Square, home to the ELTE University Law faculty and the baroque University Church.
While this part of town is home to some of the most significant attractions like St. Stephen’s Basilica, the Hungarian Parliament Building, and the Shoes on the Danube Bank memorial, there are also so many lesser-known buildings that are incredibly beautiful and easy to miss if you don’t look up. I’ve wandered these streets often, and even today, I still find some hidden details I’ve missed over the years.
You’ll find a lively mix of locals and tourists, giving the area a vibrant atmosphere. It’s a central hub for the city’s residents and visitors, bustling with cafes, restaurants, bars, and many historical landmarks.
It’s also a prime shopping destination where you can experience a blend of traditional Hungarian stores and modern boutiques. I love the little stationary boutique BomoArt, with handcrafted journals and notebooks, or Paloma, a design collective in a hidden courtyard.
And if you’re a foodie, I believe there is no better neighborhood in Budapest to satisfy your culinary cravings. You have a few Michelin-starred spots like Borkonyha Winekitchen and Salt, and it’s also home to some of my favorite lunch spots like Szimply or Cafe Kör.
When it comes to coffee, you’ll be spoiled for choice, as you not only have some classic cafes like Café Gerbeaud, which offers classic Hungarian pastries and coffee in a historic setting, but also third-wave coffee houses, like Espresso Embassy, Fekete, Mantra, and Kontakt.
I love to grab drinks in Csendes Társ, a charming terrace backing onto Károly Gardens with friends in the summer.
My recommended hotels
Three Corners Downtown Hotel - Less than a 5-minute walk from St. Stephen’s Basilica, the location of this 4-star hotel could not be better for sightseeing. Inside, the rooms are spacious and very modern, with design-forward themes that really brighten things up. A rather good buffet breakfast is included with each booking.
Nightly rates start from around $100.
Prestige Hotel Budapest - When you’re visiting the former capital of the Austro-Hungarian empire, it just makes sense to live like royalty for a few days, and this hotel most definitely offers that (but without breaking the bank!). Right next to the river and the Chain Bridge, the location is great and the entire hotel, from the common areas to guest rooms, is opulent, luxurious, and elegant.
Rooms from $130 per night.
Hotel President - The rooftop terrace from the Hotel President offers one of my favorite views in town, as it overlooks the green and yellow rooftop of the Hungarian Postal Savings Bank designed by Hungary’s answer to Gaudí, Ödön Lechner. It’s a stylish 4-star hotel known for its Art Deco-inspired interiors and modern comforts. It’s situated near the Hungarian Parliament Building and offers guests easy access to some of Budapest’s most notable sites.
Rooms are available from about $150 per night.
Matild Palace - This 5-star UNESCO designated hotel is housed in the beautifully restored art nouveau Matild Palace and oozes old world charm - you’ll legitimately gawk at the building when you arrive. The ornate interior holds up to the expectations, with refined touches everywhere. Rooms are spacious and elegantly decorated, but in a very cozy, inviting way. The Duchess, the hotel’s rooftop bar is one of my favorite in the city - the views at sunset are unbelievable.
Rates from around $275 per night.
Hotel Aria Budapest - I definitely felt the wow factor when I walked into the Aria Hotel Budapest for the first time, with its unique and quirky musical-themed decor that’s very design-forward but also luxurious. The rooftop High Note SkyBar provides breathtaking views of St. Stephen’s Basilica and the cityscape.
Nightly rates from about $400 per night.
You’ll also find more hotels in Belváros and Lipótváros here
Main sights
Danube Promenade
A visit to Belváros isn’t complete without a stroll along the Danube Promenade. This scenic walkway offers stunning views of the Buda Castle and the Chain Bridge, which are especially beautiful at sunset.
I find this the perfect spot to promenade on a hot summer’s night, especially when riverside bars like Pontoon pop up, or people tango in the square just outside the Vigadó concert hall.
Váci Street
Explore Váci Street, a bustling pedestrian street lined with shops, cafes, and restaurants. This is the perfect place to soak up the local atmosphere and shop, whether you’re looking for high-end boutiques or local souvenirs.
If you love architecture like I do, I highly recommend looking up, as you’ll spot some wonderful buildings you can easily miss.
Hungarian Parliament Building
Don’t miss the Hungarian Parliament Building, one of Budapest's most beautiful and iconic structures. Take a guided tour (definitely book in advance, though) to learn about its history and admire the stunning architecture and interiors.
Shoes on the Danube Bank
Visit the poignant Shoes on the Danube Bank memorial, which honors the memory of the Jews who were killed during World War II. The simple but powerful monument consists of iron shoes along the riverbank, a stark reminder of a dark chapter in history.
St. Stephen’s Basilica
No visit to the V District would be complete without a stop at St. Stephen’s Basilica. Climb to the top of the dome for breathtaking city views, and don’t miss the opportunity to see the Holy Right Hand, a revered relic in Hungarian Catholicism.
Károlyi Garden
For a break from sightseeing, head to the tranquil Károlyi Garden, one of my favorite spots to find peace in the inner city. This beautiful green space offers a peaceful escape with well-maintained flowerbeds and picturesque walkways.
It’s a great spot to relax, have a picnic (tip: the Central Market Hall is quite close by for supplies), or simply enjoy some quiet time.
2. Terézváros (District VI)
A stretch of Andrassy Avenue. Photo: Random photos 1989, CC BY-SA 4.0, via Wikimedia Commons
Terézváros (Theresa Town), also known as Budapest's VI District, is dominated by the majestic Andrássy Avenue—often compared to Paris’s Champs-Élysées—which begins just across the road from St Stephen’s Basilica and runs to Heroes’ Square.
With grandiose mansions, high-end boutiques, and cozy cafés, Terézváros offers a vibrant and refined experience. Halfway up, close to the Hungarian State Opera House, on Nagymező Street, you’ll find an abundance of theaters that lend the nickname “Budapest Broadway” to this part of town.
Oktogon is perhaps the busiest part of this district, and it’s from here, at this intersection, that Andrássy Avenue crosses with the Grand Boulevard. Moving out from there, the avenue becomes quieter and more residential, with grand apartment blocks and villas housing foreign embassies that pepper the avenue.
If you explore the side streets, you’ll find many apartment blocks, some in a crumbling state while others have been nicely renovated, and lots of gorgeous art nouveau or historicist buildings hidden away but in plain sight.
This part of town offers a cultural hub with easy access to some of Budapest’s finest artistic venues and historical landmarks, making it an ideal base for those who want to immerse themselves in the city's rich heritage while enjoying a touch of class.
My Recommended hotels here
Casati Hotel - Just off of Andrássy Avenue and within a few minutes’ walk of many of the city’s main sights, this is a lovely boutique hotel that’s won a few awards recently. Rooms are spacious and stylishly designed (but in a fun way), and despite being in a historic building, everything has been nicely updated.
Rates from around $115 per night.
Three Corners Avenue Hotel - This is a recently opened hotel in a lovely historic building just a block off Andrássy Avenue and basically right across the street from the Opera House (the location is really ideal). The rooms are what I would call “stately”, while still being modern, spacious, and comfortable. It’s excellent value.
Nightly rates from $120.
Hotel Oktogon Haggenmacher - Right next to the Oktogon metro stop, this is a well-located and affordable 4-star hotel in a beautiful historic building. The common areas are genuinely gorgeous - you’ll feel a little like royalty walking around them. The rooms themselves are very modern, if a bit small and somewhat spartan (very comfortable though). They do an excellent breakfast.
Nightly rates from $140 USD.
Hotel Moments Budapest - Also on Andrássy Avenue, this hotel is a serene escape with its stylish rooms and relaxed, friendly atmosphere. The hotel’s location is ideal for exploring the Opera House and other cultural highlights, and it features a cozy bistro and a tranquil garden.
It’s a luxurious yet relatively accessible option, with nightly rates starting at about $180.
Mystery Hotel Budapest - If you love wonder and surrealism, the Mystery Hotel Budapest is your place. Each room is meticulously themed, like the grand hall of the masonic temple where the restaurant and bar are found, with Egyptian-style frescoes and a chessboard floor.
Rooms typically start at around $200 per night.
W Budapest - W Budapest opened recently in the iconic Dreschler Palace, which once housed the former Ballet Insititute and lay abandoned for years till it reopened as this chic, contemporary hotel with cutting-edge design on the historic Andrássy Avenue (just across the street from the Hungarian State Opera).
Nightly rates from $350.
If those aren’t what you’re after, check out all hotels in Terézváros here
Main sights
Heroes' Square
Heroes’ Square, Budapest’s most iconic and expansive square, lies at the end of Andrássy Avenue on the edge of City Park. It’s bordered by the Museum of Fine Arts and the Hall of Art.
I recommend taking some time to explore and look at the details, like the former kings of Hungary dotting the colonnade or a hidden marker on the ground next to the Tomb of the Unknown Soldier marking the original location of the Széchenyi Thermal Baths before they were moved for the construction of the square.
Andrássy Avenue
Strolling down this prestigious boulevard, you’ll encounter an array of grand mansions, designer stores, and charming sidewalk cafés. Whether you're in the mood for high-end shopping, a leisurely coffee, or simply taking in the opulent architecture, Andrássy Avenue provides a quintessentially Budapest experience.
There are also a few excellent, underrated museums to check out, like the Hopp Ferenc Museum of Asian Art or the Mai Manó House of Photography in the area.
Around Bajza utca, I’d suggest going off the beaten path and exploring the surrounding streets, with romantic villas and striking palaces that you could spend days marveling at.
Opera House
The Hungarian State Opera House is renowned for its stunning architecture and superb acoustics, attending a performance here is an unforgettable experience that transports you to the height of 19th-century elegance.
It's an essential stop for anyone interested in the performing arts. However, if you can’t get a ticket for a show, you can always take a guided tour of the building during the day.
House of Terror Museum
This immersive museum commemorates the victims of the fascist and communist regimes in Hungary’s 20th-century history. It’s a poignant exhibition with numerous rooms decked out with art installations, videos with first-hand accounts of real people’s stories, and the original prisons used by the secret police in the basement.
Get away from the crowds and spend a morning or afternoon exploring some of Budapest's alternative neighborhoods with our favorite local guide, Attila!
3. Erzsébetváros (District VII)
Klauzál Square in District VII. Photo: Globetrotter19, CC BY-SA 3.0, via Wikimedia Commons
Erzsébetváros (Elizabeth Town) is also known as the Jewish Quarter and, more recently, the “Party Quarter,” one of the city's liveliest parts. It’s a neighborhood that never sleeps, and its rightfully renowned for its energetic nightlife, eclectic bars, thriving culinary scene – try Gettó Gulyás for Hungarian food and Bors Gasztrobár for street food – and Jewish history.
I recommend you check out the street art in the quarter if you’re visiting during the day, as several firewalls have been adorned with murals from local street artists, and by night, you’ll want to hit the bars in this quarter.
The district’s history is complex, though, as a thriving Jewish community once populated it, and even today, you can visit three beautiful synagogues in the area. In 1944, the fascist Arrow Cross Party turned it into the ghetto following Hitler’s orders, where Jews were enclosed, awaiting deportation. Although not much is here to commemorate this, keep an eye out for the memorial wall in a courtyard on Kiraly utca 15, which marks the former border of the enclosed ghetto.
Today, the area is full of youthful energy and it’s a magnet for those seeking a vibrant and immersive Budapest experience. Although its ruin bars are the main draw, you can find some curious countercultural hubs and bars like Kisüzem, Vittula, and Fekete Kutya.
Still, unless you’re here to party, I personally would not choose this area to sleep in.
My Recommended hotels here
Leonardo Boutique Hotel - This is a pleasant hotel in a more modern building, with comfortable rooms, many of which have balconies. The location is great for sightseeing as you’re walking distance to most places but are also right next to a transit hub, and across the street is an excellent shopping area (called the “Fashion Street”.
Nightly rates from around $80.
Roombach Hotel Budapest Center - Roombach Hotel Budapest Center offers a cozy and contemporary stay in the middle of the action. This boutique hotel features stylish rooms with modern amenities and a friendly atmosphere.
Nightly rates start at approximately $90.
Corinthia Budapest - Spanning three gorgeous 19th century buildings (adjoined by glass atriums), the Corinthia Budapest is a simply beautiful hotel with a history that reminds me of Wes Anderson’s The Grand Budapest Hotel (look up the hotel’s story if you’re; curious). The world-class spa is often the main draw for visitors (it’s fabulous), but the rooms are great too - large and well-furnished in a very welcoming way.
Its central location in Erzsébetváros provides easy access to the district’s attractions and nightlife, but the building is a bit outside the party nucleus, so it is much quieter at night.
Nightly rates start at approximately $160.
For more options, you can see everything available in the neighborhood here.
Main sights
Ruin Pubs
Erzsébetváros is the birthplace of Budapest’s iconic ruin pubs, where abandoned buildings have been transformed into eclectic bars and clubs. The most famous of them all is Szimpla Kert. This sprawling pub is a maze of quirky rooms filled with mismatched furniture and whimsical decorations. It always has something going on, from live music and parties to art classes and even a farmers’ market on the weekend.
Instant-Fogas, another favorite, offers multiple dance floors and bars under one roof, making it a great spot for bar hopping and dancing.
The Great Synagogue
The Great Synagogue on Dohány Street is the largest synagogue in Europe and the second largest in the world. This architectural masterpiece is a testament to the area’s rich Jewish heritage.
It includes the Hungarian Jewish Museum and a Holocaust memorial, making it a poignant destination for those interested in history and culture.
The Ghetto Wall
Hidden within the district, you’ll find a fragment of a reconstructed memorial wall commemorating the enclosed Budapest Ghetto during the 1940s. This historic site serves as a sad reminder of the past and a tribute to the resilience of the Jewish community.
Visiting the Ghetto Wall offers a moment of reflection amidst the otherwise vibrant atmosphere of Erzsébetváros.
4. Buda Castle District (District I)
Found across the river in Buda, this is a historic and architecturally gorgeous neighborhood that is far quieter than the 3 mentioned above. Parts are very touristy and it can be rather quiet at night, but is exceedingly atmospheric.
The Buda Castle District sits on a hill rising above the river on the Buda side of the river. It’s perhaps the most picturesque part of the city, with narrow, winding cobblestone streets lined with pastel-colored baroque houses and hidden medieval arches.
It’s also the part of the city I find has some of the best views, especially from the famous Fisherman’s Bastion. Unlike the Jewish Quarter, this part of the city is quiet, and at night you won’t find too many people up here, so if it’s nightlife you want, I don’t recommend this part of town.
However, if you’re happy to head out into the city for the day and want to come back somewhere peaceful in the evening, definitely book a hotel up here.
Despite how quiet it is at night (it really can feel pretty dead) you have plenty of excellent restaurants, all open in the evening, like Pierrot, Magyar 21, Pest-Buda, and Budavári Rétesvár (this one is a hole-in-the-wall famous for its strudels).
Even if you don’t stay here, you must visit, as this is an incredibly historic and scenic part of the city, with its famous palace complex, old streets, and great views.
There are also some curiosities for the more adventurous traveler: the hill atop which the district spreads is full of caves (this is why big tour buses are not allowed up to the top), and you can visit them with a guide or explore the Buda Labyrinth or the subterranean Hospital in the Rock.
My Recommended hotels here
Milford Suites - Just below Castle Hill, but also a quick walk into downtown Pest, the rooms here are like little apartments with kitchens and seating areas. They’re fairly basic, but comfortable. It’s ideal for families.
Rooms from $100 USD.
Boutique Hotel Victoria Budapest - Sitting at the foot of the hill leading up to Buda Castle and directly beside the Danube River, the main reason to stay is the incredible river views out of each room’s huge windows. Waking up and going to sleep looking out over the river and Pest is just incredible. Rooms are spacious and pleasant, breakfast is good, and there’s a sauna as well.
Nightly rates from $150.
Baltazár Budapest - Baltazár Budapest is a family-run boutique hotel that combines bohemian chic with luxury. Located just a short walk from Buda Castle and Fisherman’s Bastion, it features individually designed rooms with contemporary and vintage decor.
Nightly rates begin at about $175.
Hilton Budapest - The Hilton Budapest, situated right next to Fisherman’s Bastion, offers impressive views of the Danube and the city skyline, and the hotel combines modern amenities with historical surroundings, as it is built into a medieval Dominican monastery but has a distinctly 1970s architecture.
Nightly rates start at around $175.
Pest-Buda Hotel - I find this boutique hotel charming, with its stylish rooms featuring exposed brick walls and vintage furnishings. Try the on-site bistro, which serves traditional Hungarian cuisine with a modern twist. The hotel’s intimate setting and personalized service make it a perfect choice for couples and families.
Rates from approximately $200.
See here for all Castle District options on Booking.com
Main sights
Buda Castle
Dominating the skyline, Buda Castle is a palace complex that has been a symbol of Hungary for centuries.
You can wander through its courtyards and explore the palace from the inside in its museums, like the Budapest History Museum and the Hungarian National Gallery (except for St István Hall and the Medieval parts of the Budapest History Museum, much of the interior got a communist makeover, so don’t expect much when it comes to opulence).
The castle's terraces offer panoramic views of the Danube and Pest. I also love to explore the hidden gardens behind the southern part of the castle, which is surrounded by medieval turrets and walls; it’s very peaceful and picturesque.
Fisherman’s Bastion
This is one of my favorite lookout points in the city, but it gets super busy. The Fisherman’s Bastion is a fairy-tale-like structure with neo-Gothic and neo-Romanesque architecture, perched on Castle Hill, overlooking the Hungarian Parliament Building and the Danube.
I recommend coming here early in the morning before the crowds set in.
Matthias Church
You’ll find Matthias Church next to Fisherman’s Bastion, and it’s hard to miss with its gothic spires and intricate, colorful tiled roof. The interior is just as bright, with richly decorated frescoed walls.
The church has been a site of coronations and royal weddings throughout history, from Medieval times to the present, but it has been built up over the centuries. Entrance tickets are fairly expensive, but I think it’s worth going inside to see the intricate frescoes, stained glass windows, and all the curious details that mark the church’s curious history.
Learn about some of the city's best street art as you walk between some of Budapest's best ruin pubs on this hybrid pub/art crawl, led by lifelong Budapest resident and local guide - Attila!
Other neighborhoods worth considering
If you’re only staying in Budapest for a few days, staying close to the center is the ideal option for you, as you’ll be right next door to all the sights, restaurants, and bars you’re looking to fit in on your trip.
However, if you’d like to try something a little different and live more like a local, you might want to consider the following neighborhoods as a place to stay.
Újlipótváros (District XIII)
The waterfront in Újlipótváros. Photo: Globetrotter19, CC BY-SA 3.0, via Wikimedia Commons
Újlipótváros (New Leopold Town) is a residential neighborhood known for its Art Deco and Bauhaus architecture. It’s a vibrant area packed with cafes and restaurants. It’s close to Margaret Island and Lehel Market.
The area around Pozsonyi Street is the liveliest part of the district, with cute bakeries and coffee shops as well as excellent restaurants and bistros – try Sarki Fűszeres, a deli with excellent cheeses and cold cuts, grab some Middle Eastern food at Babka, or get some traditional Hungarian food at Kiskakkuk Vendéglő or the Pozsonyi Kisvendéglő –.
Szent István Park, with its rose garden, offers a lovely green spot to relax.
Palace District (District VIII)
A square/street leading up to the Ervin Szabo library in the Palace District. Photo: Perfectmiss at Hungarian Wikipedia, CC BY-SA 3.0, via Wikimedia Commons
This is one of my favorite parts of town. The Palace District is the part of the VIII District that lies inside the Grand Boulevard and is characterized by palatial apartment blocks dating back to the 19th century. It’s an artsy, bohemian quarter home to small art galleries, cafes, and design boutiques–check out Főfotó, a bar with a photography theme.
You’ll also find the Hungarian National Museum and the gorgeous Szabó Ervin Library–a former palace transformed into a library. Nearby, there’s the buzzing Mikszáth Kálmán Square, which resembles an Italian plaza.
Once home to the Hungarian aristocracy, this area now offers a charming blend of history, culture, and affordable accommodation options (for something unique, try to book into the artsy boutique hotel Brody House, but you might need to book way in advance).
This is an ideal neighborhood for those seeking to explore beyond the typical tourist paths while enjoying a tranquil and budget-friendly environment.
Ferencváros (District IX)
The Hungarian National Theater. Photo: Marc Ryckaert (MJJR), CC BY 3.0, via Wikimedia Commons
Ferencváros (Francis Town) is an up-and-coming district known for its artistic flair and budget-friendly options. It’s home to several universities, giving it a lively, youthful atmosphere.
The area is rich in cultural attractions and has a burgeoning cafe and bar scene; you’ll also find the Great Market Hall, National Theater and the Bálna (The Whale), a modern architectural marvel housing galleries, shops, bars and restaurants along the Danube in this area. One of my favorites here is Élesző, a ruin bar with over 20 Hungarian craft beers on tap.
The buzzing area around Radáy Street is excellent for eating out as you’ll find numerous restaurants and bars along here (you’ll find the Michelin-starred Costes here and some more budget-friendly spots).
Újbuda (District XI)
The lovely Kopaszi Dam area in Újbuda. Photo: Sztudva Gyöngyi, CC BY-SA 3.0, via Wikimedia Commons
Across the Danube in Buda, Újbuda (New Buda), especially the area around Bartók Béla Boulevard, is an exciting area with several independent galleries, third-wave coffee shops, and boutiques.
You’ll find plenty of great places to eat and drink; I love Kelet, Szatyor, Hadik, and the tiny Polish bookshop cafe, Gdansk. There are a couple of universities in the area, including the very scenic campus belonging to the Mű University, which has an Oxbridge feel.
The area also puts you down next to the Gellért Baths and Gellért Hill, but if you head further south along the river, there is also the beach area around Kopaszi Dam, which is a popular summer spot with its Danube beaches and riverside bars.
More Budapest travel info
For more advice on planning your trip to Budapest, have a look at some of our other guides and itineraries!
Attila Höffle
Hungary Expert based in Budapest
Szia - hi there! 👋
Hi, I'm Attila, and I've been a tour guide and travel consultant here in Hungary for the last 8 years. If you're looking for some local advice on your trip, I'd love to help!
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