We who live in Madrid are, of course, not the experts on places to stay. I’ve taken a place that I know plus other personal recommendations to make this list. I’ll leave the rest up to you in the comments.

• Hostal Angelines: small and family-run with just six rooms. Very close to Moncloa and the University, putting you in a residential neighborhood that’s close walking distance to the true center of the city. A single or double will set you back only 40 euros or 45 euros a night, respectively.
• Hostal María Luisa: similar to the one above with the main difference being that it’s in Chueca, i.e. a very happening place to be. Just a little more expensive than Angelines.
• Hostal Cruz Sol and Hostal Santa Cruz are both recommended by Gary from over at the Notes from Spain forum. They’re in the same building set on a plaza just steps from Plaza Mayor.

I’m going to leave you with a great travel Q&A on the subject from the New York Times that gives several more worthwhile recommendations.

What’s your favorite hostal in Madrid?

See all hostales mentioned above (along with those from the Times) in the map below:

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