Granada, Nicaragua is a must-visit spot in one of my favorite Central American countries. This picturesque lakeside town boasts charming cobblestone streets, friendly locals, brooding nearby volcanoes, and a beautiful yellow cathedral smack dab in the middle.

For any backpacker traveling through Nicaragua, you will find yourself in Granada at some point.

With tourism on the rise in recent years, a boatload of hostels have sprung up all across the city. Where does one even begin to look for the best hostels in Granada for backpackers?

Some hostels in Granada are CERTAINLY better than others.

That’s exactly why I wrote this super in-depth guide to the best hostels in Granada.

Once you have all the insider information regarding Granada hostels, booking your accommodation is easy and stress-free.

Crush your Nicaraguan travels with the help of this Granada hostel guide, and spend your time doing the things you love (and not worrying about hostels too much) whilst backpacking Nicaragua…

Quick Answer: The Best Hostels in Granada, Nicaragua

Best Hostels in Granada, Nicaragua
Hola and welcome to the best hostels in Granada guide!

The Broke Backpacker is supported by you. Clicking through our links may earn us a small affiliate commission, and that's what allows us to keep producing free content 🙂 Learn more.

The 11 Best Hostels in Granada, Nicaragua

Backpacking Nicaragua can be a real dream. But it can also be a horrible trip if you don’t have a nice accommodation. Don’t worry, we’re here to help! 

The main thing you want to look for in hostels are facilities, location and safety. Nicaragua is pretty safe, but that doesn’t mean that there are exceptions. Make sure you read the reviews before you book and look for lockers to store your luggage properly. 

man carrying stuff on horse cart in Granada Nicaragua

De Boca En Boca – Overall Best Hostel in Granada

De Boca En Boca best hostels in Granada, Nicaragua
De Boca En Boca ticks all the boxes that make a good hostel a great hostel. De Boca is the best hostel in Granada both for price, and the overall experience.

For the best hostel in Granada, De Boca En Boca is a great shout. It’s hostel-y, so also pretty affordable (who doesn’t like a bargain?), but it’s also well thought-out and heavy on the design-magazine-aesthetic. Tick and tick. Add hammocks for chilling, a make-your-own-breakfast station, tropical plants for extra aesthetics, friendly staff, and this stylish little place becomes a lot more than a youth hostel in Granada: it’s a tiny serving of personal paradise for however long you stay here.

Hostal Azul – Best Cheap Hostel in Granada #2

Hostal Azul best hostels in Granada, Nicaragua
Hostal Azul is another one of the best cheap hostels in Granada

It’s another budget hostel in Granada in the form of the always-very-clean Hostal Azul. The rooms are stylish and spacious with a cool minimalist feeling, there’s a chill little garden to hang around in, they do a free breakfast, they have a cafe/bar that serves up tasty Mexican food and drink, and away from this cool hostel itself the cathedral and popping main street of Calzada are not very far away at all. So combine a looked-after space and cool decor with a great location and Hostal Azul looks more and more like a top hostel in Granada. Plus it’s cheap.

Hostel Oasis Granada – Best Cheap Hostel in Granada #3

Hostel Oasis Granada best hostels in Granada, Nicaragua
Hostel Oasis Granada tops my list of best cheap hostels in Nicaragua.

Swimming pool! A daily happy hour from 5pm (that means free rum for an hour)! Filtered water! Yep, the perks at Hostel Oasis Granada are many. And that’s without mentioning the free all-you-can-eat breakfast – or the ‘light sleepers’ policy they have of quiet time after 11pm. So you probably won’t be partying here, but if you fancy a chilled place then this Granada backpackers hostel is a good choice. The kitchen is a little bit basic but other than that there are plenty of places to hang out and enjoy your stay in Granada. There’s a reason it’s called ‘Oasis’.

Is This the Best Backpack EVER???
Aether Backpack

We’ve tested countless backpacks over the years, but there’s one that has always been the best and remains the best buy for adventurers: the broke backpacker-approved Osprey Aether and Ariel series.

Want more deetz on why these packs are so damn perfect? Then read our comprehensive review for the inside scoop!

View on Osprey View on REI

Casa del Agua – Best Hostel for Couples in Granada

Casa del Agua best hostels in Granada, Nicaragua
Beautiful architecture and attention to detail makes this hostel stand out. That is why Casa del Agua is the best hostel for couples in Granada.

Casa del Agua. Well, it’s not exactly a budget hostel in Granada, and comes without ‘dorms’ as such, but couples will love it. It isn’t ultra cheap but it is ultra nice. It’s in an old colonial house for one, and is literally in the heart of the old colonial centre of Granada, features TWO courtyard pools, rooms that look over them, bright decoration… the list goes on. So for a great location and facilities, plus friendly vibe, this place wins. Their motto is “Casa del Agua is just like home, only better.” So… yeah!

Selina Granada – Best Hostel for Digital Nomads in Granada

Selina Granada best hostels in Granada, Nicaragua
With a spacious, well-lit, modern working space, Selina Granada earns the rank of best hostel for digital nomads in Granada.

A very slick, very design-y budget hostel in Granada, the stylish Selina Granada is, in a word, sick. Coolest hostel in Granada. 100%. Not only does it look amazing, it’s got everything you need for funding your travels as a digital nomad – namely a cool office-y coworking space that literally has us wondering why more hostels don’t do this. It is highly, highly cool. Add to this daily wellness activities, ping pong table, places to chill and meet fellow travellers (or network with fellow digital nomads), and you have yourself an easy contender for best hostel in Granada.

Surfing Donkey – Best Hostel for Solo Travellers in Granada

Surfing Donkey best hostels in Granada, Nicaragua
At the Surfing Donkey, there is an unending list of social activities making it the best hostel for solo travelers in Granada.

Despite its ToTaLlY wAcKy name Surfing Donkey is actually pretty cool. And even cooler if you’re on the lookout for people to meet and hang out with as a solo traveller. I mean, there’s a free cocktail on arrival so we guess that sorta sets the standard. But it’s not a mad party hostel. There’s a pool, giant Jenga, ping pong, and Zumba, salsa classes, yoga, city tours, a pub crawl, and a bar. There’s loads of stuff to do. And plenty of space to do all that stuff with other people. So if you wanna meet some fun people this is the top hostel in Granada for that. Plus it’s on the shores of Lake Nicaragua.

Hostal El Momento – Best Cheap Hostel in Granada

Hostal El Momento best hostels in Granada, Nicaragua
Comfy, bright, and free breakfast! This town is full of cheap hostels, but Hostal El Momento is the best cheap hostel in Granada.

While dorm prices in a Granada backpackers hostel remain sorta similar across the board, this one just about pips all the others to the post. Its private rooms are pretty much a bargain too. So for a budget hostel in Granada with a relaxed atmosphere, a decent (and free) breakfast, luggage storage if you plan on leaving then returning, a bar/restaurant, and a little kitchen, all wrapped up in a cute, cosy and colourful setting with chill common areas, then Hostal El Momento is where you should be directing yourself in Granada.

Encuentros – Best Party Hostel in Granada

Encuentros best hostels in Granada, Nicaragua
The picture might not show it, but on the right night Encuentros hostel is a hell of a good time and the best party hostel in Granada by far.

Located on the buzzingest main street of Granada, you say? We’re in. And not only is the enigmatically named Encuentros set on La Calle Calzada – where bars and clubs are open till midnight – but this recommended hostel in Granada is also up for a party itself. In fact, on Fridays, it hosts a party that’s also open to the public which goes till 2am. Which sounds fun. But wait, there’s more: Encuentros has a pool, rooftop terrace complete with jacuzzi, boasts 3 bars, and can also give you VIP access to many of the bars and clubs down the main street. Now that is cool.

La Siesta – Best Hostel with a Private Room in Granada

La Siesta best hostels in Granada, Nicaragua
Looking for peace and quiet? La Siesta is the best hostel with a private room in Granada, and of course the best for taking siestas as well!

Hey, the clue’s in the name: La Siesta. It’s a sleepy hostel in a quiet location that allows for a chilled environment – which is perfect for anyone wanting a bit of quiet time on their Nicaragua trip, or anyone with a natural aversion for overly loud and extra environments. We understand. So at this top hostel in Granada, you’ll find a little bit of solace, places to sit and socialise including a chill tropical garden, hammocks for actual siestas, private rooms (there’s also a 4-bed dorm) – and all at a budget-friendly price.

Travel with peace of mind. Travel WITH a security belt.
Active Roots Security Belt

Stash your cash safely with this money belt. It will keep your valuables safely concealed, no matter where you go.

It looks exactly like a normal belt except for a SECRET interior pocket perfectly designed to hide a wad of cash, a passport photocopy or anything else you may wish to hide. Never get caught with your pants down again! (Unless you want to…)

Hide Yo’ Money!

More Best Hostels in Granada, Nicaragua

El Caite Hostel

El Caite Hostel best hostels in Granada, Nicaragua
Nice location, budget-friendly, and all around a good spot for travelers to rest up.

Another Granada backpackers hostel with an ideal location, El Caite Hostel is where you’ll want to be if you plan on hitting up all the cultural hotspots of Granada: Fortaleza de la Pólvora is just a few minutes’ walk away, and the Central Park and other iconic landmarks and UNESCO sites aren’t far either. El Caite also has a relaxed atmosphere – if you’re not here to party you’ll be happy about the chilled vibe here. That said it’s still a sociable place to meet fellow travellers and make friends (if you want). The place looks cool, it’s got a pool, and, um, it’s great!

Hostel Paradiso

Hostel Paradiso best hostels in Granada, Nicaragua
Looking for a LAKESIDE view? Hostel Paradiso is the best hostel in Granada for lake views.

Located literally ON Lake Nicaragua, with its own slice of beach, this youth hostel in Granada is a good place to go if you like chilling on the sand with the prospect of messing around on the water to boot. Hostel Paradiso not only in name, huh? So with this focus on the lake, they’ve got kayaks for you to use free of charge, a floating dock, some water toys, volleyball, ping pong – and a bar right at the water’s edge. Which is cool AF. It’s not quite as cheap as other hostels but with its stunning natural setting, there’s not much in it if lakeside living sounds about right for you.

What to Pack for your Granada Hostel

Pants, socks, underwear, soap?! Take it from me, packing for a hostel stay is not always quite as straightforward as it seems. Working out what to bring and what to leave at home is an art I have perfected over many years.

Don’t Let Snorers Keep You Awake!
Don’t Let Snorers Keep You Awake!

Ear Plugs

Snoring dorm-mates can ruin your nights rest and seriously damage the hostel experience. This is why I always travel with a pack of decent ear plugs.

Keep your laundry organized and stink free
Keep your laundry organized and stink free

Hanging Laundry Bag

Trust us, this is an absolute game changer. Super compact, a hanging mesh laundry bag stops your dirty clothes from stinking, you don’t know how much you need one of these… so just get it, thank us later.

Stay Dry With a Micro Towel
Stay Dry With a Micro Towel

Sea To Summit Micro Towel

Hostel towels are scummy and take forever to dry. Microfibre towels dry quickly, are compact, lightweight, and can be used as a blanket or yoga mat if need be.

Make Some New Buddies…
Make Some New Buddies…

Monopoly Deal

Forget about Poker! Monopoly Deal is the single best travel card game that we have ever played. Works with 2-5 players and guarantees happy days.

Reduce Plastic – Bring a Water Bottle!
Reduce Plastic – Bring a Water Bottle!

Grayl Geopress Water Bottle

Always travel with a water bottle! They save you money and reduce your plastic footprint on our planet. The Grayl Geopress acts as a purifier AND temperature regulator. Boom!

Check out our definitive Hostel Packing list for our top packing tips!

Why you should travel to Granada

The time has come for the epic hostel journey to end: that’s a wrap on my best hostels in Granada list.

I know that now you are ready to book the right hostel for yourself based on your own individual needs as a backpacker.

Granada really does have a hostel for everyone, so I hope you found my guide to the best hostels in Granada informative for you.

And if you like it there and want to stick around, there are some fantastic eco-lodges across the lake in the Isletas de Granada that offer a budget and environmentally friendly stay.

Still feeling unsure? I know that so many choices can be overwhelming! If in doubt, I recommend just going with my top pick for the best overall hostel in Granada: De Boca En Boca HostelSee you down the road my friends…

De Boca En Boca best hostels in Granada, Nicaragua
De Boca En Boca is a no-brainer if your simply looking for the best hostel in Granada.

FAQ about Hostels in Granada

Here are some questions backpackers ask about hostels in Granada.

How much does a hostel cost in Granada?

The average price of hostels in Granada can range from $10 – $11+ per night. Of course, the private rooms are on the higher end of the scale than the dorm beds.

What are the best hostels in Granada for couples?

Casa del Agua is the top-rated hostel for couples in Granada. It has a great location and facilities, plus a friendly vibe.

What is the best hostel in Granada near the airport?

While there aren’t any hostels in Granada that are particularly close to the airport, some offer airport shuttles or will help you arrange transport. Check out De Boca En Boca, the best hostel in Granada both for price and the overall experience.

Travel Safety Tips for Granada

ALWAYS sort out your backpacker insurance before your trip. There’s plenty to choose from in that department, but a good place to start is Safety Wing.

They offer month-to-month payments, no lock-in contracts, and require absolutely no itineraries: that’s the exact kind of insurance long-term travellers and digital nomads need.

SafetyWing is cheap, easy, and admin-free: just sign up lickety-split so you can get back to it!

Click the button below to learn more about SafetyWing’s setup or read our insider review for the full tasty scoop.

More Epic Hostels in Nicaragua and Central America

Hopefully by now you’ve found the perfect hostel for your upcoming trip to Granada.

Planning an epic trip all across Nicaragua or even Central America itself?

Don’t worry – we’ve got you covered!

For more cool hostel guides around Central America, check out:

Over to you

By now I hope our epic guide to the best hostels in Granada has helped you choose the perfect hostel for your adventure!

If you think we’ve missed anything or have any further thoughts, hit us up in the comments!

Looking for more info on travelling to Granada and Nicaragua?

Made it this far?
You get 15% OFF to book a place to stay!
Offer valid exclusively for Broke Backpackers 😉