As far as first impressions go, Luang Prabang was a corker of a start to backpacking through Laos. After two crazy months in Thailand, I wanted nothing more than to kick it back by the river. The money I would pay to go back and have my first sip of Beerlao on the Mekong again…
Beer aside, Luang Prabang has a lot going for it.
It encapsulates everything the country has to offer – nature, culture and a chilled out vibe that is dangerous to continually extending your hostel stay. It has a sleepy, small-town feel with enough access to modern conveniences that it doesn’t feel too off the beaten path. The Old Town has a bit off a buzz but if you want to tap into your adventurous side, epic waterfalls and dirt roads to burn through await.
This city is small but mighty. There’s not tons of neighbourhoods to choose from, but choosing where to stay in Luang Prabang can properly determine what your trip looks like. I’ll give you everything you need to know (and a lil extra too) so you can dive into the fun stuff ASAP.

Image: Nic Hilditch-Short
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Old Town
Old Town is the historic heart of Luang Prabang and one of the most popular areas to visit, eat, and stay. This is where you’ll find intricately decorated temples, colonial-era buildings, lively markets, and some of the best food in town. It’s central, atmospheric, and very convenient. It’s also not the cheapest patch of ground in town, so if pennies matter more than postcard views, this isn’t where the bargain beds live.

Mekong Riverfront
The Mekong Riverfront is one of Luang Prabang’s best neighborhoods for incredible views. It’s located along the Mekong River, so wherever you go, you can enjoy the water.

Nam Khan Riverfront
The Nam Khan Riverfront draws travellers who like their evenings social and their accommodation affordable. Bars, western cafés, hostels, and budget hotels cluster along the river, making this the most obvious choice for nightlife. It’s compact and easy to navigate on foot or by bike, with straightforward access to the main sights around town.
Luang Prabang is small, calm, and quietly confident in what it offers. Despite its popularity on Laos’ backpacking trail, the town has kept its local feel intact, balancing daily life with a steady flow of visitors. Its UNESCO World Heritage status shows in the preserved streets, the French colonial influences from the 19th and 20th centuries, and the spiritual traditions woven into everyday routines.
Each morning, monks move through the streets collecting alms, a ritual that remains a defining part of daily life. Backpackers come for the sleepy town vibe, the mix of local and international food, and the sense of history that runs through the streets. Accommodation options are plentiful across town, covering everything from dirt-cheap dorms to calm riverside hideouts.
With only a handful of neighbourhoods, Luang Prabang stays easy to understand and easy to settle into. Whether the focus is quiet surroundings, lower costs, or a livelier evening scene, there’s an area that fits without needing to overthink it.
The Best Areas to Stay in Luang Prabang
Let’s take a look at the charms of the different neighborhoods. Remember that Luang Prabang is a fairly small town, so there aren’t as many neighborhoods as you would find in large cities. But for being so small, these areas have a lot to do and see there.
1. Old Town – Where to Stay for the First Time in Luang Prabang
Old Town is the historic heart of Luang Prabang and one of the easiest places in town to base yourself. It’s popular for a reason. Most of the eating, wandering, and sightseeing happens here, which means less planning and more just getting on with it. The history isn’t packaged up neatly for tourists either. Monks move through the streets each morning, and old wooden houses still line the roads like they always have.
The area is packed with architecturally important temples, showcasing its UNESCO World Heritage status. Landmarks like Wat Xieng Thong sit close to places such as the UXO Laos Visitor’s Center, making Old Town a practical choice if easy access matters more than ticking off transport logistics.
Food and shopping are hard to avoid here. The Night Market runs straight through Old Town, bringing with it craft stalls, souvenirs, and a dense cluster of restaurants and small shops. Western food is easy to find, and local Laotian dishes are just as common, so eating well rarely requires effort.
This part of the city works best for travellers who like to get around on foot and take things as they come. It suits families, solo travellers, and groups equally well, mainly because everything sits close together and the pace stays relaxed. If you want to stay somewhere that lets Luang Prabang unfold naturally around you, Old Town does that without trying to impress.
- Best For: Sightseeing, food, first-time visitors
- The Vibe: Historic, walkable, and lively
- Proximity to Airport: Close, around 15 minutes
- Transport Level: Low, walking covers most things
- Budget: Mid-range to higher
- Crowds: High during the day

Image: Nic Hilditch-Short
Top Things to Do in Old Town
- Eat your way through the Old Town and its Night Market
- Spend some time at the UXO visitors centre and learn more about Luang Prabang and its history.
- Take a day to explore the local temples like Wat Xieng Thong and Wat Phon Phao.
- Get up early and stake out a great place to watch the monks go buy asking for alms in the morning.
Best Hotel: Queen’s Hotel
Located in the best area in Luang Prabang to stay in, this budget hotel is a great choice for any traveler. It’s within 300m of the night market and offers all the amenities as well as a garden so you can sit out with a drink and enjoy the Laos evenings.
Best Hostel: Vongprachan Backpackers Hostel
When you’re deciding where to stay in Luang Prabang on a budget, this comfortable hostel is a great choice. It offers convenient access to all the best attractions as well as comfortable rooms with all the amenities you’ll need for your stay.
Best Airbnb: Villa Sayada
When you’re staying in one of Luang Prabang’s best neighborhoods, you can’t get better than this. It’s a private bed and breakfast right in the center of all the action and yet removed enough to ensure you have a peaceful visit.
2. The Mekong Riverfront – Where to Stay in Luang Prabang on a Budget
The Mekong Riverfront is one of the more grounded parts of Luang Prabang, and it makes a lot of sense for travellers keeping an eye on their spending. Set right along the Mekong, this area delivers river views as part of daily life rather than as a premium upgrade. Wherever you wander, the water is never far away.
Step back from the river and the neighbourhood quickly turns residential. Narrow streets weave through everyday local life. Wandering around and getting lost is a big thing to do in this neighbourhood in itself. This part of town is stacked with budget hostels and simple guesthouses, so don’t be surprised if you find yourself sticking around longer than planned.
What makes this area so appealing is how chilled out it is. Go for a stroll, lose half a day in a cafe and plan as little as possible. Laos is all about slowing down and here is the perfect example of it.
- Best For: Budget travellers, longer stays
- The Vibe: Local, laid-back, scenic
- Proximity to Airport: Around 20 minutes
- Transport Level: Low to moderate
- Budget: Budget-friendly
- Crowds: Low to moderate

Image: Nic Hilditch-Short
Top Things to Do in The Mekong Riverfront
- Grab a seat at one of the many riverfront restaurants and watch the sun go down while you eat a delicious meal.
- Visit the impressive gold temple, Wat Xieng Thong, one of the most important of Lao monasteries.
- Spend a few hours wandering, exploring, and people watching.
- Walk into Old Town to enjoy the historic buildings and ambience.
- Heading on a sunset cruise is a quintessential experience for life on the Mekong. An epic sunset here will be one to remember.
Best Hotel: Lakangthong2
This hostel is within walking distance of everything you’ll want to see in town so it’s a great choice when you’re deciding where to stay in Luang Prabang for your first time there. It’s a short walk to the Night Market and offers comfortable rooms with private bathrooms, so it’s great for travelers who like a little more privacy.
Best Hostel: Luangprabang Sunset Hostel
This place feels more like a hotel pretending to be a hostel. Everything is clean, spacious, and well looked after, with modern bathrooms that actually have separate showers, which is still weirdly rare for hostels in Laos. The top bunks actually have stairs rather than ladders for my fellow top bunk haters. There’s also a relaxed outdoor area, plus free access to the pool and pool table, making it the perfect place to make new travel pals.
Best Airbnb: Jumbo Guesthouse on the Mekong
This is absolutely one of the best places to stay in Luang Prabang if you want privacy and stunning views. It’s ideal for every type of traveler, whether you’re trying to decide where to stay in Luang Prabang for your first time or are traveling with friends.
3. Nam Khan Riverfront – Coolest Place to Stay in Luang Prabang
This area is lined with hostels, budget hotels, and guesthouses, many of them clustered close to bars and cafés that cater to travellers. Western food is easy to find, coffee is taken seriously, and evenings tend to drift toward low-key drinking rather than big nights out.
Most bars and restaurants in Luang Prabang close by 11 at the very latest so it’s no Khao San Road. It’s social without being rowdy, which suits travellers who like to sing a couple of Beerlao but still value their sleep.
There’s no riverfront road in this area, so the views aren’t quite as good. Saying that, the river itself plays a big role in how the area feels. Mornings are calm, afternoons stretch out lazily, and evenings revolve around riverside seating and sunset views. It’s an easy place to walk or cycle from, with Old Town close enough to reach without effort while still feeling slightly removed from the busiest parts of the city.
The Nam Khan Riverfront works well for budget travellers, social backpackers, and anyone who prefers a relaxed base that still has a bit of life to it. It’s not the most polished part of Luang Prabang, but I’d say thats where its charm lies.
- Best For: Backpackers, social travellers
- The Vibe: Social, relaxed, accessible for travellers
- Proximity to Airport: Around 20 minutes
- Transport Level: Low
- Budget: Budget to mid-range
- Crowds: Moderate in the evenings

Top Things to Do in Nam Khan Riverfront
- Head down to one of the bars for a few drinks and a chat with new friends before the bars all close at around 11pm.
- Go shopping for textiles and gifts and support local artisans.
- Hike up Mount Phousi and stop at the Traditional Arts and Ethnology Centre to learn about Laos’ traditional culture.
- Take a yoga class and find your Zen next to the river.
Best Hotel: La Casa Hostel
If you’re searching for a cosy, friendly place to stay, La Casa Hostel is the perfect spot! It’s just a short walk from the Night Market and Mount Phousy, so you’re right in the heart of the action. The staff here are super welcoming and always ready to help. The beds are comfy, the rooms are clean, and there’s an EPIC garden where you can chill and meet other travellers.
Best Hostel: Funny Riverside Backpackers
This is a solid hostel that gets the balance right between relaxed and social. Stay in one of the most popular hostels in the area without breaking the bank. Located in one of the best places in Luang Prabang it’s ideal for solo travellers on a budget. There’s an outdoor pool and a shared common area that naturally draws people together, making it easy to socialise and connect with other travellers while still having space to switch off when needed.
Best Airbnb: Villa Sayada
If you’re looking for a budget-friendly stay in a great location this place is perfect. Located in the heart of the old town you’re within walking distance from everything you need. The rooms are simple with a large double bed, bathroom, balcony and living area, for the price you can’t go wrong.
Don’t Forget Travel Insurance for Luang Prabang
Unfortunately, things can go wrong when you least expect it. This is why good travel insurance is essential before you head on your trip to Luang Prabang.
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.
FAQs About Finding a Place to Stay in Luang Prabang
Here’s what people usually ask us about the areas of Luang Prabang and where to stay.
Which Part of Luang Prabang Should You Choose?
Luang Prabang is a smaller city, but it’s a firm favourite amongst backpackers on the Banana Pancake trail. It feels completely far removed from other, more hectic spots you might find yourself passing through. In short: this is THE place to chill TF out.
In terms of areas, the Old Town suits travellers who want everything walkable and central whilst the Mekong Riverfront works best for budget stays with space and views. If you’re looking for a social atmosphere without being surrounded by the most crowded, tourist-heavy streets of Old Town, Nam Khan Riverfront might suit you down to a T.
No matter where you choose, you’ll soon be swept up with the slow pace living that I love so much about Luang Prabang. So bring yourself, a good book and some pocket money for some beers, and get ready to spend a couple of days in a hammock watching the world go by down the river.
- Check out our ultimate guide backpacking around Laos.
- Figured out where you wanna stay? Now it’s time to pick the perfect hostel in Luang Prabang.
- Swing by our super epic backpacking packing list to prep for your trip.
- Our in-depth Southeast Asia backpacking guide will help you plan the rest of your adventure.













