Wondering where to stay in Istanbul first time budget?
Finding affordable accommodation in Istanbul doesn’t mean giving up comfort. Istanbul is a large and diverse city with many unique neighborhoods, but not all of them are easy to explore on a budget.
This guide will help you discover the best budget neighborhoods that allow you to save money and be close to Istanbul’s highlights.
We’ve focused on areas with direct metro and tram connections, so you can get to top attractions like Hagia Sophia, the Blue Mosque, and the Grand Bazaar quickly and affordably.
Whether you’re looking for lively nightlife, local markets, or a bit of both, this article covers the best places to enjoy Istanbul on a budget.
The best areas to stay in Istanbul first time budget are Kadıköy (Asian side), Beyoglu (Taksim and Galata) and Fatih (Aksaray and Laleli).
Kadıköy is by far the cheapest option as most tourists tend to stay on the European side of the city.
But you can find plenty of affordable hotels, street food options and local shops here.
Kadıköy’s metro and ferry terminals make it easy to access the historic areas.
If you prefer to stay on the European side, you have two options: Beyoglu (Taksim and Galata) and Fatih (Aksaray and Laleli).
We’ve made sure that all of these areas are well connected to public transport so you can explore the city without too much hassle and on a budget.
You can also easily navigate to each recommended area by tapping the link. Or simply go straight to the overview of the best areas to stay in Istanbul first time budget at the bottom of this article.
Kadıköy, located on the Asian side of Istanbul, is a fantastic choice for budget travelers thanks to its affordable accommodations.
It is often cheaper than areas on the European side, especially near the historic center.
Although it is on the other side of the Bosphorus, Kadıköy is still very well connected to the city’s main attractions.
Frequent ferries offer a cheap, scenic trip to places like Eminönü and Sultanahmet, where you can explore sights like Hagia Sophia and the Blue Mosque.
Additionally, the Kadıköy Metro (M4) connects you to the Marmaray Line, providing quick access to other parts of the city, including the European side.
Kadıköy has a lively local atmosphere, full of markets, traditional restaurants, and some trendy cafes scattered throughout.
Popular spots like Kadıköy Market and the Moda waterfront area are perfect for a leisurely stroll, enjoying local food and soaking in the everyday atmosphere, without the tourist crowds.
As expected from a local-centric neighborhood, Kadıköy is a foodie’s paradise, where you can enjoy delicious meals without spending a fortune.
One of the biggest advantages of Kadıköy is its pedestrian streets and safe environment, making it easy to explore on foot and experience the Asian side of Istanbul at a slower pace.
Of course, the main disadvantage is that it’s not on the side where most of the major tourist sites are.
But remember, even if you’re staying in a budget area on the European side, you’ll still have to hop on the metro to reach popular attractions.
Another minor drawback is that English is less widely spoken here, but a quick translation app should do the trick.
For travelers looking to make the most of their budget without missing out on a unique local experience, Kadıköy is the ideal place.
One of the biggest advantages of staying in Beyoglu is its central location.
It is home to Taksim Square, a major transportation hub, and is just a short walk from popular spots like Istiklal Street, Galata Tower, and the area’s lively nightlife.
With so many attractions nearby, you’ll never be far from the action, and many of Istanbul’s tourist hotspots are just a short walk or metro ride away.
The M2 metro line runs through the district, connecting you to historic areas like Sultanahmet, while the T1 tram line offers easy access to places like the Grand Bazaar and the Spice Bazaar, all at affordable prices.
Beyoglu is a vibrant historic district full of things to see and do, without the high prices.
Wander the charming side streets, explore the local markets, or grab a coffee at one of the many inexpensive cafes.
Street food is also a highlight, from simit (Turkish bagels) to döner and lahmacun, offering tasty dishes that won’t break the bank.
This area combines old-world charm with modern energy.
From historic buildings and art galleries to cultural gems like the Pera Museum, Beyoglu is the perfect place to immerse yourself in Istanbul’s local culture.
Plus, with the famous Galata Bridge nearby, you can enjoy stunning views of the Golden Horn and get a taste of Istanbul’s unique vibe.
While Beyoglu has a good selection of budget hotels, hostels, and guesthouses, it can be tricky to find something that fits your budget, especially during peak season.
Especially on the west side of this district, you can find affordable hotels.
But on that side, you don’t have direct access to the metro.
On the east side of this district, you can find all the public transport connections and that’s where you can stay.
Booking in advance is a smart move to get a good deal.
That said, if you really want to stretch your budget, you might want to consider staying on the Asian side of Istanbul, where everything is usually cheaper.
However, most tourists tend to prefer the European side, as that’s where most of the city’s main attractions are located.
Fatih is home to some of Istanbul’s most iconic landmarks, including Hagia Sophia, the Blue Mosque, Topkapi Palace and the Grand Bazaar.
Many of these must-see sights are within walking distance, meaning you can save on transport costs while staying in the centre of the action.
This makes Fatih one of the most popular areas of the city.
The district is rich in history, with winding streets, traditional markets and mosques on almost every corner, perfect for experiencing the authentic, local side of Istanbul.
You can wander through charming alleys, visit historic attractions and explore bustling markets such as the Spice Bazaar and the Grand Bazaar, where you can pick up souvenirs without the inflated prices found in tourist traps.
Fatih is also well connected to the rest of Istanbul via the metro, trams and buses.
The T1 tram line runs through the district, connecting you to key areas such as Sultanahmet, Eminönü, and Beyoglu, making getting around the city affordable and convenient.
The M1 metro line also runs through Fatih, offering easy access to more areas of Istanbul.
Surprisingly, you’ll also find plenty of inexpensive local restaurants scattered throughout the area.
Many people choose to explore Fatih on foot, and when it’s time to head to another part of the city, you can use public transportation.
Compared to other districts, Fatih offers more affordable accommodation options on the outskirts, thanks to the metro lines.
However, hotel prices rise considerably in the central areas of the district.
That said, keep in mind that Fatih is an older, run-down area of Istanbul, and it’s not known for its vibrant nightlife compared to other areas.
It’s also often very busy during the day, with crowds of tourists and locals alike.
Still, if sightseeing is your main focus, Fatih is still the best option for staying close to Istanbul’s most famous attractions.