The Blue Mountains, just two hours by train from Sydney, are the perfect escape from the busy streets of the city. It’s a place I head to whenever I need a break from the suits of Sydney and the budgie smugglers of Bondi! The refreshingly cool air of the mountains, the quiet bubbling creeks and the sound of the wind whistling through the gum trees just calls me back time and time again.

Home to majestic, soaring orange sandstone cliffs covered in a blanket of lush, native green forest, the Blue Mountains of Australia offer a different side to the country. Sure, we’re all familiar with the sails of the Sydney Opera House, the white sands of The Whitsunday’s and the burning red of the Outback. But exploring the rolling mountains of New South Wales offers a different vibe.

Dotted around the cliffs, waterfalls and treelined trails you’ll find a number of charming villages and towns. Each of these offers something different, from proximity to some of the most impressive viewpoints and hikes to being within walking distance of a train station or having some of the best restaurants in the region.

But the Blue Mountains area is HUGE and covers more than 11,400 square kilometres. So choosing where to stay in the Blue Mountains is super important. The best area to stay in completely depends on you and your travel style and plans for the region.

Whether you want to trek through the wilderness, eat incredible food or visit the iconic tourist attraction of Scenic World, you’ll want to base yourself in the area that caters to your itinerary.

That’s where I come in! I’ve created this guide to help you to decide where in the Blue Mountains is best for you. I’ve compiled the top areas to stay and the best things to do in each. No matter your travel style or budget, I’ve got you covered.

Let’s get right to it – here are the best neighborhoods to stay in Blue Mountains, New South Wales, Australia.

Where is the Best Place to Stay in Blue Mountains

If you’re backpacking in Australia and looking for a real adventure and unique experience, then checking out the Blue Mountains will be the right spot for you!

Looking for a specific place to stay? These are my highest recommendations for places to stay in Blue Mountains.

where to stay in the Blue Mountains
Have you even been to the Blue Mountains if you’ve not taken a selfie?
Photo: Nic Hilditch-Short

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Hotel Mountain Heritage Blue Mountains | Best Hotel in Blue Mountains

where to stay in the Blue Mountains

The Hotel Mountain Heritage is my pick for the best hotel in the Blue Mountains because of its great location, bespoke rooms and historic surroundings.

Set in lively Katoomba, this hotel offers cosy rooms with modern features. Guests can enjoy a range of facilities, including a beauty centre, swimming pool, a terrace and a bar.

Blue Mountains YHA | Best Hostel in Blue Mountains

This is one of the best hostels in Blue Mountains. It is ideally located in Katoomba and caters to all types of travellers because it offers a range of dormitories and private rooms.

It provides guests with a clean and cosy room and access to a great kitchen, and it is located at the heart of the adventure capital of NSW. There are also pool tables, games and lots of movies to enjoy.

The place with stunning views | Best Airbnb in Blue Mountains

where to stay in the Blue Mountains

Start every morning in awe as you bask over the rolling valleys of the Blue Mountains. Combine that with a prime location a short walk from the city centre and you’ll see why this is my pick for first-timers.

The property features a fully equipped brand-new kitchen, Smart TV with Netflix and reverse cycle air conditioning to keep you warm in the winter and cool in the summer.

Blue Mountains Neighborhood Guide – Places to Stay in Blue Mountains

FIRST TIME IN BLUE MOUNTAINS
A person sitting on a cliff looking out in the Blue Mountains in New South Wales, Australia
FIRST TIME IN BLUE MOUNTAINS

Katoomba

Katoomba is, without a doubt one of the best places to stay in Blue Mountains. The largest and most visited town in the region, Katoomba is home to a great variety of restaurants and cafes, as well as bars, shops and bistros.

ON A BUDGET
The three sisters rock formation in the Blue Mountains in New South Wales, Australia
ON A BUDGET

Katoomba

Katoomba also gets our vote for the best neighbourhood in Blue Mountains to stay in if you’re on a budget. Tucked throughout this mountain town is a great selection of backpacker hostels, budget hotels, and guesthouses that will suit travellers of all styles, ages and budgets.

NIGHTLIFE
Looking out over Wentworth Falls in the Blue Mountains in New South Wales, Australia
NIGHTLIFE

Leura

Nestled right next to Katoomba is the town of Leura. This small and picturesque village is best known for its unique boutiques, casual cafes and world-class restaurants.

COOLEST PLACE TO STAY
The three sisters rock formation in the Blue Mountains in New South Wales, Australia
COOLEST PLACE TO STAY

Wentworth Falls

Wentworth Falls is a small village located west of Leura. It sits in close proximity to nature and the incredible Blue Mountains National Park, while also treating visitors to a variety of great restaurants and charming bars.

FOR FAMILIES
A person looking out over the Blue Mountains in New South Wales, Australia
FOR FAMILIES

Mount Victoria

Mount Victoria is the westernmost town in the Blue Mountains. It is the highest point in the region and boasts many lovely walks and climbs, as well as stunning panoramic views.

The Blue Mountains are one of the most famous and stunning mountain ranges in Australia. Although not particularly tall, this UNESCO World Heritage Area is renowned for its breathtaking scenery, cultural attractions, and relaxed way of life.

The mountain range covers an incredible area of nearly 12,000 square kilometres. It’s home to a handful of towns and cities that each offer something unique to visitors. To help you make the most of your trip, this guide will highlight the “can’t miss” attractions and activities in the best areas to stay in Blue Mountains.

Katoomba is the largest and most visited city in the Blue Mountains. It’s home to a number of noteworthy attractions, like Echo Point and the thrilling Scenic World, and is known for its relaxed and creative atmosphere. You’ll find a vast array of restaurants and cafes, as well as some of the best Blue Mountains accommodation optioins.

where to stay in the Blue Mountains
The Blue Mountains offer endless incredible vistas
Photo: Nic Hilditch-Short

Set west of Katoomba is Leura. A quaint and charming town, Leura has delicious food and funky bars. Here you can enjoy a day in nature followed by a good night out. It’s a great base for the Blue Mountains.

Continue heading west from here and you’ll arrive in Wentworth Falls. One of the coolest places to stay in Blue Mountains, Wentworth Falls seamlessly combines stunning nature and outdoor adventures with incredible restaurants and cosy cafes.

And finally, set to the north of Katoomba is Mount Victoria. This is my pick for where to stay in Blue Mountains with kids because it allows for easy access to unforgettable nature without taking away too many of those creature comforts. Here you’ll find museums and shops, as well as views, hikes and beyond.

Still not sure where to stay in Blue Mountains? Don’t worry because I’ve got you covered.

Blue Mountains’ 5 Best Neighborhoods to Stay in

Now, let’s take a look, in more detail, at the best places to stay in Blue Mountains. It’s one of the best places to stay in Australia if you want to explore the Aussie countryside. There are a few different areas I’ve considered when coming up with this list that I think offer the best opportunity to explore the best of the Blue Mountains.

#1 Katoomba – Where to Stay in Blue Mountains for Your First Time

where to stay in the Blue Mountains
Living on the edge!
Image: Nic Hilditch-Short

Katoomba is, without a doubt one of the best places to stay in Blue Mountains. The largest and most visited town in the region, Katoomba is home to a great variety of restaurants and cafes, as well as bars, shops and bistros. Because there is so much to see and do, Katoomba is my recommendation for where to stay in Blue Mountains for your first time.

This charming mountain town is also well known for its laid-back, relaxed and creative atmosphere. The area has been home to large artist and hippie populations for decades and this is evident in the design and décor throughout the city. So, when taking a stroll along the main street be sure to look up to take in the incredible art deco architecture.

Hotel Mountain Heritage Blue Mountains | Best Hotel in Blue Mountains

where to stay in the Blue Mountains

The Hotel Mountain Heritage is my pick for the best hotel in the Blue Mountains because of its great location, bespoke rooms and historic surroundings.

Set in lively Katoomba, this boutique hotel offers cosy rooms with modern features. Guests can enjoy a range of facilities, including a beauty centre, swimming pool, a terrace and a bar.

Palais Royale | Best Hotel in Blue Mountains

where to stay in the Blue Mountains

Because of its great location, large rooms, and comfortable beds, this is one of my favourite hotels in Katoomba. Set in a heritage building it offers a historic experience in the mountains.

This hotel provides guests with a variety of excellent features, including a sauna, a jacuzzi and free wifi. They also offer a delicious and satisfying breakfast each morning.

Blue Mountains YHA | Best Hostel in Katoomba

This is one of the best hostels in the Blue Mountains. It is ideally located in Katoomba and caters to all types of travellers because it offers a range of dormitories and private rooms.

It provides guests with a clean and cosy room and access to a great kitchen, and it is located at the heart of the adventure capital of NSW. There are also pool tables, games and lots of movies to enjoy.

The place with stunning views | Best Airbnb in Blue Mountains

where to stay in the Blue Mountains

Start every morning in awe as you bask over the rolling valleys of the Blue Mountains. Combine that with a prime location a short walk from the city centre and you’ll see why this is my pick for first-timers.

The property features a fully equipped brand-new kitchen, Smart TV with Netflix and reverse cycle air conditioning to keep you warm in the winter and cool in the summer.

Things to See and Do in Katoomba

  1. Catch a flick at The Edge Cinema.
  2. Dine on fancy Australian grub and cocktails at Avalon.
  3. Enjoy a range of beers, ciders and wines at the atmospheric Old City Bank Bar.
  4. Get your adrenaline pumping by canyoning, abseiling and rock climbing in the Blue Mountains.
  5. Lace-up your boots and head out for a bushwalk to the Ruined Castle or nearby Mt Solitary.
  6. Sip a cappuccino at the Common Ground café.
  7. Take in the incredible views from Echo Point Lookout.
  8. Ride the world’s steepest incline railway while enjoying panoramic views of the region at Scenic World.
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#2 Katoomba – Where to Stay in Blue Mountains on a Budget

where to stay in the Blue Mountains
The famous Three Sisters rock formation
Photo: Nic Hilditch-Short

Katoomba also gets my vote for the best neighborhood in Blue Mountains to stay in if you’re on a budget. Tucked throughout this mountain town is a great selection of backpacker hostels, budget hotels, and guesthouses that will suit travellers of all styles, ages and budgets.

Keen to get back to nature? Katoomba is the best area to stay in Blue Mountains for bushwalking. From here, you can head off in all directions exploring the trails and paths that lead to scenic lookouts and secret waterfalls. You’ll also have easy access to the impressive Scenic World and there’s heaps of luxury hotels here too.

Hotel Blue Katoomba | Best Hotel in Katoomba

where to stay in the Blue Mountains

Located at the heart of Katoomba, this three-star boutique hotel is close to the area’s most popular tourist attractions. It is close to Scenic World and is a convenient base for exploring Leura and nearby Mount Vic.

This hotel in Katoomba has spacious guest rooms with private bathrooms, flat screen TVs and other essential amenities.

Carrington Hotel | Best Hotel in Katoomba

where to stay in the Blue Mountains

The Carrington Hotel offers four-star luxury at a fraction of the price. Guests can enjoy elegant rooms outfitted with cable/satellite channels as well as a refrigerator and coffee/tea supplies.

This property also boasts an in-house spa, and a restaurant, as well as a library, coffee bar, and lounge to relax in. If you’re looking for a top hotel in Katoomba, Carrington Hotel is a great option.

Blue Mountains YHA | Best Hostel in Katoomba

This is one of the best hostels in the Blue Mountains. It is ideally located in Katoomba and caters to all types of travellers because the Blue Mountains YHA offers a range of dormitories and private rooms.

It provides guests with a clean and cosy room and access to a great kitchen, and it is located within walking distance from Scenic World. There are also pool tables, games and lots of movies to enjoy.

Live the Aussie dream with your own Bush Cabin! | Best Airbnb in Katoomba

where to stay in the Blue Mountains

Enjoy one of New South Wales’s most stunning bush regions like a true blue Aussie. Staying in a cabin is the perfect way to be at one with nature in the Blue Mountains.

With privacy, a natural setting, and modern fittings, this eco-lodge in the Blue Mountains place gives a lot of bang for your buck.

Things to See and Do in Katoomba

  1. Marvel at the views of the Three Sisters rock formations.
  2. Climb the 888 steps of the Giant Stairway through the jungle.
  3. Experience the breathtaking views at Cahill’s Lookout.
  4. Catch a glimpse of the Katoomba Falls.
  5. Take a Street Art Walk through Katoomba.
  6. Visit the Eagle Hawk Lookout for incredible views without all the tourists.
  7. Feast on a kebab at Gazi Chargrill.
  8. Have some top-notch asia food, cakes and tea at Miss Lilian Tea House

#3 Leura – Where to Stay in Blue Mountains for Nightlife

where to stay in the Blue Mountains
This waterfall regularly freezes over in winter.
Photo: Nic Hilditch-Short

Nestled right next to Katoomba is the town of Leura. This small and picturesque village is best known for its unique boutiques, casual cafes, country gardens and world-class restaurants.

The town is one of the best places in Blue Mountains to stay for outdoor adventurers because it sits surrounded by natural wonders. From your base in Leura, you can enjoy bare sandstone landscapes, take in spectacular views and explore dense eucalyptus forest.

But if it’s nightlife you’re looking for, this is the best neighborhood to stay in Blue Mountains. Tucked throughout this small village and in nearby Katoomba are a good selection of bars and restaurants where you can enjoy a delicious meal, drink a few pints, and enjoy an unforgettable night out in Blue Mountains.

Leisure Inn Spires | Best Hotel in Leura

where to stay in the Blue Mountains

The Leisure Inn Spires is my top recommendation for where to stay in Blue Mountains for nightlife. This four-star hotel is in an excellent location allowing for easy access to popular restaurants, bars and attractions.

This modern property is comprised of spacious apartments that are loaded with contemporary features.

No14 | Best Guesthouse in Leura

where to stay in the Blue Mountains

This warm and friendly guesthouse is located in nearby Katoomba. It offers shared and private rooms that are ideal for travellers of all styles and budgets.

Guests of this house can enjoy recently renovated bathrooms, a brand new kitchen, and a tranquil atmosphere. This hostel also offers easy access to restaurants, shops and the Blue Mountains’ natural wonders.

Banksia bungalow | Best Airbnb in Leura

This brand new cottage in the woods includes it’s own personal gazeebo as well as a secluded picnic spot with table and chairs which is often visited by local birdlife.

Inside the property you’ll find a bathroom, kitchenette, TV and dedicated workspace. Your hosts are also close by if you need any tips on the local area.

Things to See and Do in Leura

  1. Enjoy the views from the Sublime Point Lookout.
  2. Wander to the lovely and tranquil Leura Cascades.
  3. Snap the perfect pic for the ‘gram at Gordon Falls Lookout.
  4. Get off the beaten path and visit the Fortress Rock.
  5. Don’t miss the Alexandra Hotel Leura, a good old-fashioned pub with a modern twist.
  6. Feast on delicious homemade pizzas at Station Bar + Woodfired Pizza.
  7. Choose from a wide variety of local and international beers at the Harp and Fiddle.
  8. Sample rare and vintage beers, wines and spirits at the Leura Cellars.
  9. Eat tasty local dishes at Leura Gourmet.
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#4 Wentworth Falls – Coolest Place to Stay in Blue Mountains

where to stay in the Blue Mountains
This is the view you come to the Blue Mountains for
Photo: Nic Hilditch-Short

Wentworth Falls is a small village located west of Leura. It sits in close proximity to nature and the incredible Blue Mountains National Park, one of Australia’s best-known national parks, while also treating visitors to a variety of great restaurants and charming bars. Because it manages to seamlessly combine the town with nature, Wentworth Falls is one of the coolest places to stay in Blue Mountains.

If you love to eat, this is the best neighborhood to stay in Blue Mountains because it is packed with mouthwatering options. Whether you’re craving typical Australian, intriguing Indian, or fresh and delicious vegetarian, Wentworth Falls is packed with tantalizing and tasty options for you!

Grand View Hotel | Best Hotel in Wentworth Falls

where to stay in the Blue Mountains

Thanks to its clean rooms, comfortable beds and delicious foods, this is one of my favourite hotels in Blue Mountains. It’s located 160 metres from Wentworth Falls Railway Station.

It offers a range of facilities to guests, including a games room, a garden and a children’s play area. There’s also plenty to see and do within walking distance.

Falls Mountain Retreat Blue Mountains | Best Self Catering Accommodation in Wentworth Falls

where to stay in the Blue Mountains

If you’re looking for a great place to stay where you’re in the heart of the Blue Mountains with great self-catered fascilities, then the Falls Mountain Retreat Blue Mountains is perfect.

The self-contained studios and apartments are hidden away in peaceful gardens close to both Wentworth Falls, Leura and Katoomba. Each room even has a 2-person hydrotherapy massage hot tub

Adorable treetop cabin | Best Airbnb in Wentworth Falls

Poking out from the eucalyptus groves and offering views of the valleys if you peek between the branches. You can even see the lights of Sydney is the far distance on a clear night.

This property might be lacking in space, but it more than makes up for it with spaes of character, charm and coziness. There’s also a well-stocked kitchen with a fridge, microwave, coffee maker, kettle and indoor grill.

Things to See and Do in Wentworth Falls

  1. See Wentworth Falls, a majestic three-tiered waterfall that measures 187m tall.
  2. Enjoy a romantic date on the shores of Wentworth Falls Lake.
  3. Tackle the cliffside walk of The National Pass, my favourite in the Blueys.
  4. Take in some of the most incredible scenes on the Charles Darwin Walk.
  5. Feast on great food and excellent views at The Conservation Hut.
  6. View the majesty of the mountains from The Jamison Lookout, Fletchers Lookout, Rocket Point Lookout and Princes Rock Lookout.
  7. Excite your senses by sampling a variety of sweet and savoury pies at Mountain High Pies.
  8. Dine on fresh and delicious vegetarian and vegan food at Fed.

#5 Mount Victoria – Where to Stay in Blue Mountains for families

where to stay in the Blue Mountains
There are heaps of awesome hikes around here
Photo: Nic Hilditch-Short

Mount Victoria is the westernmost town in the Blue Mountains. It is the highest point in the region and boasts many lovely walks and climbs, as well as stunning panoramic views.

This town is my pick for where to stay in Blue Mountains with kids because there’s a great variety of things to do. This small village boasts everything from outdoor adventures and nature expeditions to toy stores, heritage museums, cafes and shops. Whatever you’re into, you’ll find something entertaining and exciting to do in charming Mount Victoria.

Closeburn House | Best Hotel in Mount Victoria

where to stay in the Blue Mountains

This charming property is conveniently located in Mount Victoria. It is close to Mount Piddington and there are plenty of shops, eateries and bistros nearby.

This hotel has eight rooms that are outfitted with modern and essential amenities. There is also a garden, terrace and onsite bar. In the morning they also offer a great Aussie brekkie so you’ll be ready for the day of hiking ahead.

Cedar Lodge Cabins | Best Cabins in Mount Victoria

where to stay in the Blue Mountains

The Cedar Lodge Cabins are my pick for where to stay in Blue Mountains for families because of its comfortable and spacious rooms.

This property boasts a shopping mall, laundry facilities and a games room. It also allows for easy access to the area’s most popular tourist attractions and landmarks.

Mount Victoria Studio Suite | Best Airbnb in Mount Victoria

Poking out from the eucalyptus groves and offering views of the valleys if you peek between the branches. You can even see the lights of Sydney is the far distance on a clear night.

This property might be lacking in space, but it more than makes up for it with spaes of character, charm and coziness. There’s also a well-stocked kitchen with a fridge, microwave, coffee maker, kettle and indoor grill.

Things to See and Do in Mount Victoria

  1. Delve deep into history at the Mount Victoria & District Historical Society Museum.
  2. Enjoy a night at the movies at the iconic Mount Vic Flicks.
  3. Browse a collection of antiques and toys at Trains, Planes & Automobiles.
  4. Shop for quirky gifts and souvenirs at Mount Vic and Me.
  5. Climb to the Mount York Lookout and enjoy the breathtaking views.
  6. Take in the sounds and scenery of the mountains as you hike to Sunset Rock Lookout.
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FAQ about Finding a Place to Stay in Blue Mountains

Here’s what people usually ask about the areas of Blue Mountains and where to stay.

Is it worth staying in the Blue Mountains?

Of course, it’s one of my favourite places in Australia. It offers the opportunity to explore the Aussie countryside, a part of the country those who stick to the cities miss out on… and shouldn’t! It’s stunning and a totally different experience to what many expect of Australia.

How many days do you need to explore the Blue Mountains?

You’ll need at least 2 days to explore the different areas of the Blue Mountains and take in the main hikes, trails, waterfalls and viewpoints. Though, to really get to experience the region, you’ll need a few extra days.

Where can I base myself in the Blue Mountains?

There are several different tows, but Katoomba, Leura and Wentworth Falls are the most convenient for public transport, amenities and access to the main trails and viewpoints of the Blue Mountains. Personally, I stay in Katoomba when I am visiting.

Can you do the Blue Mountains in a day?

With the good public transport links from Sydney, it’s certainly possible to see the Three Sisters and a few other spots on a day trip. However, it really does not do The Blue Mountains justice and you’ll miss out on taking in the trails that require more time to visit.

What To Pack For Blue Mountains

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.

Product
Description
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.

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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 my definitive Hotel Packing list for even more top packing tips!

where to stay in the Blue Mountains
I love the Blue Mountains as an escape from Sydney
Photo: Nic Hilditch-Short

Don’t Forget Travel Insurance for The Blue Mountains

When embarking on a journey to Australia, I highly advise you to consider obtaining travel insurance. As incredible as The Blue Mountains can be, unexpected accidents can always happen.

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.

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Final Thoughts on Where to Stay in Blue Mountains

Australia’s Blue Mountains are an excellent travel destination that boasts outdoor adventures, scenic views, and a whole host of cute and charming towns to explore. Whether you want to get your heart pumping, snap that perfect pic for the gram, or indulge in exquisite local cuisine, the Blue Mountains has exactly what you’re looking for – and so much more!

In this guide, I’ve looked at the best areas to stay in Blue Mountains. If you’re still not sure which Blue Mountains neighborhood is right for you, here is a quick recap of my favourites.

Blue Mountains Backpacker Hostel is my favourite hostel in Blue Mountains because of its range of room options, great amenities and excellent location.

My pick for the best hotel in Blue Mountains is Hotel Mountain Heritage Blue Mountains because it has cosy rooms, modern features and a fantastic selection of facilities.

Wherever you stay you’ll have an awesome time in the Blue Mountains. I’ve visited several times and always look forward to a return trip to this majestic place. I always love taking a break from the busy streets of Sydney by heading up here and hiking in the cool weather on quiet trails far from the sweltering heat of the city.

Looking for more info on travelling to Blue Mountains and Australia?

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