Written by Undercover Phoenician| Last update: May 12, 2025
(First-Hand Travel Experience & Price Comparison)
Tired of trying to find cheap places to stay in Granada? This guide brings you the cheapest hostels in Granada, with real prices and real savings. No fluff, no BS—just the tools you need to stretch your budget further. We’re Hostelz, the only site where you can compare all hostels in Granada to see prices and availability from Hostelworld, Booking.com, and more—side by side.
Table of Content: The Perfect Guide to Hostels
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In the heart of Nicaragua, where colors paint the streets and history whispers from every corner, lies the captivating city of Granada. Steeped in colonial charm and surrounded by breathtaking natural beauty, it's a place where time stands still and adventure awaits.
And for socializing and sleeping, here are the most affordable and cheap hostels in Granada, Nicaragua.
Hostal Los Octavianos Deluxe, is the perfect spot for travelers seeking comfort and convenience. With a variety of rooms, including private options and dormitories, Hostal Los Octavianos Deluxe caters to all kinds of guests. Whether you’re looking for a cozy room with a fan or something cooler with air conditioning, they’ve got you covered.
Take a refreshing dip in the pool or kick back at the lively bar to relax after a day of adventure. Hostal Los Octavianos Deluxe’s location places you right in the middle of Granada, where you can easily dive into the city’s culture, history, and attractions. It’s a laid-back spot with everything you need for a memorable stay in this charming city. Ready to make the most of Granada? Hostal Los Octavianos Deluxe is where it all begins!
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Hostal Los Octavianos Deluxe
2 Hostal Mochilas
Quick Overview:
Rating: 8.1
0.32 km to city center
Breakfast not included
Prices
Dorm from $3.59 per night
Hostal Mochilas is one of the most affordable hostels in Granada offering guests a range of amenities. Guests can enjoy free WiFi, sun terrace with a swimming pool, garden and shared lounge. Barbecue facilities are also provided for everyone. With its shared kitchen, 24-hour front desk and currency exchange services, you would have nothing to worry about during your stay.
Mombacho, a popular mountain, is only 12 miles from the hostel while guests can also visit Mirador de Catarina which is 14 miles away.
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Located in the heart of Granada, Don Gato Hostal is the most affordable hostel in the area. With both shared and private bathrooms available, guests can enjoy single beds, cleaning service, tourist information, and transfer service. The hostel boasts a spacious feel and excellent atmosphere with a kitchen, common area, and board games for guests.
Free Wi-Fi is available throughout the property, and its convenient location is just a few meters away from the central park. Visit Don Gato Hostal to enjoy affordability and comfort on your travels.
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Right in the heart of Granada, just a short stroll from the Central Park and its iconic cathedral, Deakachimba Hostel offers a fun and relaxed base for travelers looking to dive into local life. With street bands filling the air with music and vendors serving up flavorful bites like El Vigoron, the energy around the hostel is contagious. Guests can explore colorful markets full of exotic fruits and handmade crafts just steps away.
Deakachimba Hostel has a cozy mix of private and shared rooms, with comfy bunk beds, individual reading lights, fans, and charging outlets at every bed. Mornings kick off with free coffee, and the open kitchen invites everyone to cook, connect, and share meals. There's also a bar, free Wi-Fi, laundry service, and helpful staff ready to set up tours to top spots like Masaya Volcano or Laguna de Apoyo. Deakachimba isn’t just a place to stay—it’s a place to feel at home in Granada.
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Cueva Nica offers a unique blend of affordability and cultural richness. Nestled in the heart of Granada, it allows budget travelers to immerse themselves in authentic Andalusian culture without burning a hole in their pocket. The ancient charm of Granada’s Albaicín district is within a stroll away, promising a delightful walk through labyrinthine alleys adorned with historic architecture and sprinkled with local cafes.
In terms of amenities, Cueva Nica doesn’t disappoint. It provides the essential comforts, ensuring a restful stay for backpackers traversing Spain’s enchanting landscapes. The communal areas foster a welcoming environment, where global wanderers can share stories, experiences, and cultivate new friendships. This creates a warm and social ambiance, enhancing the overall travel experience while making it easy for non-native English speakers to navigate conversations and connections.
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El Caite Hostel is a charming budget accommodation ideally located in Granada. Its name comes from the ancient Nahualt word for shoes or sandals, which were commonly used by indigenous people as they travelled throughout Central America. With private and shared rooms, El Caite Hostel welcomes all types of travellers seeking comfort in a relaxed atmosphere.
The property boasts an outdoor swimming pool, garden, terrace and bar, and offers free WiFi and an airport shuttle service for a fee. Guests can also enjoy a game of ping pong or darts.
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White Rabbit Hostel is the perfect hostel for budget travelers who want to party without breaking the bank. It is conveniently located in the heart of Granada, with easy access to amazing local events and attractions. In addition to providing a comfortable place to rest,
White Rabbit Hostel also offers a large outdoor pool, a fully equipped guest kitchen, and a water refill station, as well as free daily shuttles to the Treehouse Hostel and sunset shuttles to the Treehouse Rave every Friday night.
The hostel also hosts weekly live music and open mic nights. With fast Wi-Fi, a relaxed atmosphere, and a helpful staff, White Rabbit Hostel is the ultimate party destination for travelers on a budget.
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The Treehouse is a unique and affordable accommodation nestled in the lush jungle terrain on the side of Mombacho volcano. Take a zip-line ride through the jungle canopy before relaxing in one of our dorms, private rooms, or cozy tree houses with stunning jungle views. Free daily yoga, fitness sessions, and walking tours are available, as well as workshops and movie nights. On Fridays, join the Jungle Party from 4 pm to 3 am. Enjoy a meal or drinks at the bar and restaurant, or take our free shuttle to town. This is one of the most affordable hostels in Granada!
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Hostel De Boca en Boca is a colorful hostel located in the beating heart of Granada, just two blocks away from Central Park and next to gorgeous La Merced Church. It offers private and shared rooms, with or without bathrooms, all of which include breakfast. The hostel also provides free wifi, coffee all day long, laundry service, an open kitchen, a bar, hammocks and a little rooftop to chill after a hot day.
They can organize transportation to different destinations in Nicaragua and offer tours to Granada and its surroundings' main attractions.
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Coco Bay sits right on the shores of Laguna de Apoyo, offering budget travelers a top-notch spot to recharge. Dive into Central America's cleanest, warmest waters, or chill on the wide beach with free kayaks and water donuts. Mornings start with a breakfast of pancakes and bananas, and you can keep sipping on free coffee and tea until noon. Enjoy the nightly "Meet & Eat" dinners, perfect for making new friends while savoring local flavors. Rooms come with fans and plenty of outlets, and the 11pm quiet time ensures restful nights. With daily shuttles to Granada, tours to nearby markets and volcanoes, and private airport transfers, Coco Bay makes exploring Nicaragua affordable and hassle-free.
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For budget-conscious travelers seeking a memorable stay in Granada, Casa Bloom emerges as a top choice. This wallet-friendly gem is more than just a hostel; it's a lively hub where backpackers gather to share stories, forge friendships, and create unforgettable memories. The dormitory-style accommodations cater to a variety of preferences, making it easy for solo travelers and groups alike to find their ideal sleeping arrangements.
What makes Casa Bloom truly special is its commitment to creating a sense of community without skimping on comfort. With a range of free activities and communal events, guests can engage with fellow travelers and experience Granada's vibrant culture on a shoestring budget. The central location ensures easy access to the city's attractions, and the hostel's personalized recommendations for affordable eateries and hidden gems add an extra layer of value to every stay. Casa Bloom is more than just a place to rest; it's an invitation to dive into the heart of Granada's backpacking scene without breaking the bank.
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We've got your back when it comes to finding a great hostel location in Granada. We've gone ahead and mapped out all the hostels for you so you can get a good idea of where they're all at. This map will make your life so much easier!
How much are hostels in Granada?
Let's talk about hostel prices in Granada. This graph shows you typical, average prices for a bed in a dorm and for a private room. Simply mouse-over to see rates for each month.
Prices can vary a lot, especially on high-season, weekends, and special holidays such as New Years Eve.
Average Dorm Price per Month in Granada
Average Private Room Price per Month in Granada
When to book a hostel in Granada?
Let us have a closer look on some statistics and graphics.
The cheapest months to travel to Granada is September. Hostels in Granada cost $11 in September.
The most expensive month is July with $12.
Total number of hostels in Granada: 24
Total number of Party Hostels in Granada: 8
Total number of hostels in Granada with a +8.5 top-rating: 16
Most hostels are located in the neighborhoods of City Center.
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About the author: Undercover Phoenician
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