Best Budget Hostels in Montenegro 2025 — Top Picks for Every Region
What is the best hostel in Montenegro?
Old Town Hostel Kotor for the best location (inside the medieval walls). Montenegro Hostel B&B in Budva for central beach access. Hostel Pupa in Herceg Novi for a relaxed atmosphere and the least crowded bay town. Hikers Den in Žabljak for the mountain community vibe.
Budget travel in Montenegro: what to know
Montenegro is a mid-range destination by Balkan standards. It is cheaper than Croatia or Slovenia for comparable quality, but more expensive than North Macedonia or Albania. At the budget end, you can sleep in a hostel dorm in Kotor or Budva for €12–25/night in peak season, eat at konoba (traditional restaurants) for €8–15 for a full meal, and have a genuinely good trip on €50–60/day total.
A few things that affect the budget calculation:
Tourist tax: 1 EUR per adult per night applies even in hostels. Budget travelers often don’t account for this; it is charged by the accommodation and added to your bill.
Shoulder season: May–June and September–October save 20–40% on accommodation compared to July–August. Hostel dorm beds that cost €22 in August are often €13–15 in June. If your schedule is flexible, this is the single best budget lever.
Food: Montenegro’s konoba network is excellent for budget travel. A serving of grilled lamb, local bread, and Nikšić beer costs €12–15. Pizza is everywhere (€6–9). The fish restaurants on the waterfront cost more — budget accordingly if eating fish daily.
Getting around: Montenegro has limited public bus connections between smaller towns. For budget travel, the Kotor–Budva–Herceg Novi coastal route is served by buses (€3–5 per leg). The mountain regions (Žabljak, Kolašin) are more car-dependent; a car share or organised group transfer from a hostel is the practical budget solution.
1. Old Town Hostel Kotor — best location in Montenegro
Location: Kotor Old Town, inside the medieval walls
Category: Hostel
Price range: €14–25/night dorm, €40–80 private room
Best for: Solo travellers, couples, budget travellers who want the full Kotor experience
There are very few hostels in the world where you wake up inside a medieval walled city with a 9th-century fortification visible from the window. Old Town Hostel Kotor is one of them. The building is old (everything inside the walls is), the facilities are clean and functional rather than sleek, and the location is the point: the main city square, Cathedral of Saint Tryphon, restaurants, and the city wall staircase to the fortress are all within 5–10 minutes’ walk.
Dorm rooms vary from 4 to 8 beds; mixed and female-only configurations available (confirm when booking). Shared bathrooms are adequate; hot water is reliable. The common room serves as an informal information exchange — the staff know the trails, the bus schedules, and the local recommendations that don’t make it onto Google.
What is particularly good: the rooftop terrace (some properties in the complex have this) with views over the tiled rooftops to the mountains. Worth the early alarm for sunrise.
Pros: inside the Old Town walls — genuinely unbeatable location, friendly staff with local knowledge, clean basics, city life immediately outside
Cons: noise from the city (bells, bars) can reach some rooms, no air conditioning in older rooms (fans provided), luggage has to be wheeled from the parking area to the gate
2. Montenegro Hostel B&B (Budva) — best for beach access
Location: Budva, near Old Town and Slovenska Plaža
Category: Hostel / Budget B&B
Price range: €15–25/night dorm, €45–85 private room
Best for: Beach-focused budget travellers, solo travellers wanting Budva’s social scene
The Montenegro Hostel B&B hybrid model sits between a proper party hostel and a small guesthouse — social enough to meet people easily, calm enough to sleep after midnight. The central Budva location means the beach (Slovenska Plaža) is 10 minutes’ walk, the Old Town is walkable, and the full range of Budva’s restaurants and nightlife is immediately accessible.
The “B&B” element means breakfast is typically included — coffee, toast, local cheese and jam. For budget travellers running a daily cost calculation, this is a meaningful saving on the morning meal. Dorm beds are social; book private rooms if you need to sleep early.
Parking is Budva’s universal problem — the hostel doesn’t have a car park (almost nothing central does), and the municipal car park near the Old Town is metered. Factor this in if arriving by car.
Pros: breakfast included, beach walkable, Old Town access, social atmosphere, central position
Cons: Budva is noisy in peak season — light sleepers should book private rooms; no pool or beach section
3. Hostel Pupa (Herceg Novi) — best for a relaxed atmosphere
Location: Herceg Novi Old Town
Category: Hostel
Price range: €12–22/night dorm, €35–75 private room
Best for: Travellers wanting a quieter introduction to Montenegro, those arriving from Dubrovnik
Herceg Novi is the underrated town of the Montenegrin coast — it sees a fraction of Kotor or Budva’s tourist volume, the Old Town staircase gardens (covered in bougainvillea) are genuinely beautiful, and the sea-level waterfront (Šetalište) is pleasant without being overrun.
Hostel Pupa reflects this: a small, friendly hostel in the Old Town area with clean dorms, good showers, and staff who are genuinely helpful about what to do in a town that doesn’t have an obvious tourist script. For travellers arriving by bus from Dubrovnik (60 km, €8–12 bus journey), Herceg Novi is the logical first Montenegro stop — and Pupa is the recommended budget base.
The ferry to Kamenari (crossing the bay entrance) is nearby — useful for moving on to Kotor (45 min by road) or Tivat.
Pros: quietest and least touristy of the main coastal towns, cheap dorm prices, good Old Town position, practical ferry/bus access
Cons: fewer beach and restaurant options than Kotor or Budva, limited nightlife, smaller town means fewer hostel-community events
4. Hikers Den (Žabljak) — best for mountain travellers
Location: Žabljak, Durmitor National Park
Category: Hostel
Price range: €12–22/night dorm, €35–70 private room
Best for: Hikers, trail runners, solo travellers, outdoor enthusiasts
Hikers Den is the hub of budget accommodation in Montenegro’s mountain region: a hostel that operates as an informal community centre for anyone walking the trails of Durmitor National Park or planning a Tara Canyon rafting trip. Dorm beds, private rooms, a common kitchen, free wifi, and a lounge that fills in the evening with trip reports and spontaneous route-planning.
The practical value of Hikers Den beyond a bed: the staff and regular guests are a better source of current trail conditions than any website. Organized group transfers to the Tara Canyon rafting put-in and to trailheads that are impractical to walk to from the town centre make it useful for solo travellers without a car.
For budget travellers, Žabljak itself is cheaper than the coast: food at local kafana is €7–12 for a meal, the National Park entry is €3–5/day, and the hiking is free beyond that.
Pros: outdoor community atmosphere, organized transfers to trails and rafting, cheapest mountain accommodation, best local knowledge
Cons: mountain town basics (Žabljak is remote), shared facilities, cold nights — even in summer — require warm clothing
Budget travel tips for Montenegro
Book ahead for peak season: July and August hostel dorm beds in Kotor and Budva genuinely fill. Kotor’s Old Town Hostel in particular has limited beds; book 4–6 weeks ahead for July.
Shoulder season savings: The difference between a €22 Kotor dorm bed in August and a €14 bed in June is significant over a week-long trip. The experience in June is arguably better — fewer cruise ships in the bay, quieter restaurants, same weather quality.
The local bus network: Buses in Montenegro are cheap (€3–7 per major leg) but slow and infrequent outside peak routes. The Kotor–Budva–Bar–Ulcinj coastal route is reliable. Žabljak has one bus to Podgorica per day. Plan accordingly.
Camping: Montenegro has a small number of official campsites, particularly around Žabljak and Ulcinj. Wild camping in national park zones is not permitted; ask locally about designated areas. Camping adds another budget option not covered in this hostel guide.
Supermarkets: Voli and Idea are the main Montenegrin supermarket chains. Present in all major towns. Self-catering from a hostel kitchen saves €10–15/day versus eating out for every meal.
Cash vs. card: Major establishments accept cards. Local konoba, smaller bus operators, and market stalls prefer cash. ATMs (Raiffeisen, NLB, Erste) are widely available in coastal towns; less so in smaller mountain villages.
Budget Montenegro: quick reference
| Hostel | Location | Dorm price | Best for |
|---|---|---|---|
| Old Town Hostel | Kotor Old Town | €14–25 | Best location |
| Montenegro Hostel B&B | Budva central | €15–25 | Beach + breakfast |
| Hostel Pupa | Herceg Novi | €12–22 | Relaxed intro to MNE |
| Hikers Den | Žabljak | €12–22 | Mountain / hiking |
Internal links
- Best Hotels in Kotor — if you want to upgrade from the hostel
- Best Hotels in Budva — mid-range and above options in Budva
- Best Mountain Lodges in Žabljak — step up from hostel in the mountains
- Kotor Old Town Walking Guide — what to do from your hostel base
- Tara River Rafting Guide — key Žabljak activity
- Best Beaches in Montenegro — where to go from any base
FAQ
What is the cheapest accommodation in Montenegro?
Hostel dorm beds: €12–25/night in peak season, €8–15 in shoulder. After dorms, budget private rooms in smaller guesthouses (pansion) around Kotor and Budva run €30–55/night in peak season. Note the tourist tax (1 EUR/night per adult) adds up across a longer stay.
Is Montenegro safe for solo travellers in hostels?
Yes. Montenegro has low crime rates by European standards. Petty theft in crowded tourist areas (Old Town Kotor, Budva beach strip) is the main risk — the same as any coastal Mediterranean destination. Standard precautions (don’t leave valuables unattended, use hostel lockers) apply.
Are there female-only dorms in Montenegro hostels?
Some hostels offer this; it varies by property and availability. Old Town Hostel Kotor and Montenegro Hostel Budva generally have the option — confirm when booking. In a smaller country with fewer hostels than major backpacker destinations, options are more limited than in Southeast Asia or Eastern Europe.
How do I get from Kotor to Budva by bus on a budget?
Regular buses run between Kotor and Budva (30–40 minutes, €3–4 one way). The main bus station in Kotor is near the Old Town entrance. In peak season, services run approximately every 30–60 minutes. No booking required — pay at the bus or the station kiosk.
Can I do Montenegro on €50/day?
Realistic breakdown: hostel dorm €18 + tourist tax €1 + 3 meals at local restaurants €20 + local bus or park entry €5–8 + coffee/snack €4. That’s €48–51/day. Achievable in May–June and September–October. In July–August, dorm prices rise and add another €5–8/day. The €50 daily budget is viable in shoulder season, tight in peak.
Is there a hostel at Skadar Lake?
There is no dedicated hostel at Skadar Lake. Virpazar’s Pelican Hotel has budget rooms (€35–60/night for a private room) and is the closest to hostel-accessible pricing. For ultra-budget Skadar Lake visits, a day trip from a Budva or Podgorica hostel is the most practical option. See Eco Lodges at Skadar Lake for the full accommodation picture.