Wondering where to stay in Dubai on a budget? Those who haven’t travelled to Dubai before might be wondering if it’s even possible to find an affordable hotel room in an extravagant city like Dubai, where it seems that luxury doesn’t have any limits. But, surprisingly, Dubai offers all sorts of accommodations as well as activities that suits those with a strict(er) budget. In this article, we cover everything you should know about the best areas in Dubai on a budget. In each recommended area, we’ve come up with solid, recommendable hotels, not hostels, that suit those travelling with a smaller wallet and we tend to prove that Dubai is an amazing place for everyone. At the bottom of this article, you can find a map with all the recommended areas including the city’s highlights which helps you make the right decision when it comes to the best areas to stay in Dubai on a budget. With that being said, let’s jump to the results.
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Where to stay in Dubai on a budget
Looking for the best area to stay in Dubai on a budget? Keep reading!
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In short:
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What are the best areas to stay in Dubai on a budget?


The best areas to stay in Dubai on a budget are Al Fahidi & Deira, Al Barsha and a part of Jumeirah Beach. The more popular areas for tourists like Downtown Dubai, Dubai Marina and Jumeirah Beach Residence are good options if you’re able to find an affordable hotel, which is quite the challenge. The first recommended areas are located nearby these popular areas and do offer affordable hotels. If you’re planning to stay in a hostel, however, then all of the recommended areas are sufficient. In the next paragraphs, we will dive deeper into each recommended area. 
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Where to stay in Dubai on a budget?

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1. Al Fahidi & Deira


While there are affordable hostels to be found in Downtown Dubai, the most popular and touristic area of Dubai, the majority of hotels are expensive. But, if you’re staying a little bit north of Downtown Dubai, there are neighbourhoods that are suitable for those travelling on a stricter budget. One of these areas, Al Fahidi and Deira, which we tend to combine as one area as Al Fahidi is just a small neighbourhood. When staying in one of these two areas, you have the benefits of a central location and good access to the two metro lines. Some of the most visited city’s highlights are located nearby, which is ideal when you’re going out for sightseeing. 

Al Fahidi is the oldest neighbourhood of Dubai and although it’s modernized, you still find the authentic mud-brick houses and an atmosphere which is hard to replicate. So, not only are you staying in a budget-friendly area, the neighbourhood is authentic and rich in culture too. 

Deira is a much larger part of Dubai than Al Fahidi and is home to some of the most popular Souks (markets). Overall, you have plenty of city highlights and entertainment venues nearby. The downside of Deira is that it’s near the airport so you might have some noise pollution and the biggest downside of both is that you don’t have direct access to a beach. Especially when you tend to stay for a longer period than just a few days in Dubai, having access to the beach is a welcome feature. If your purpose of visiting Dubai is mainly sightseeing, then definitely check out both Al Fahidi & Deira as an area to stay in Dubai on a budget.
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2. Al Barsha


When visiting Dubai, one of the first decisions you have to make is whether you want to stay near Dubai Marina (near the palm island) or near Downtown Dubai (where you can find the Burj Khalifa). The distance between these parts of Dubai is significant, namely twenty-five kilometres. For sightseeing, stay near Downtown Dubai, for a holiday full of relaxation, stay near Dubai Marina. But both are popular and thus expensive areas. 

So, when you’re travelling on a budget in Dubai, you have to make some compromises. Al Barsha is a neighbourhood near Dubai Marina but does not have direct access to the beach. Because of that, hotels are more affordable, while you’re still located near Dubai’s nightlife epicentre and many beautiful beaches. If your purpose of visiting Dubai is not solely sightseeing, then definitely check out Al Barsha as an area to stay in Dubai on a budget.
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3. Jumeirah Beach


While it’s difficult to find an affordable hotel near the coastline of Dubai, between Jumeirah Beach and Downtown Dubai is a smaller area where you can find an abundance of hotels including those in the more affordable range. No, you don’t have direct access to the beach but, you are staying in an excellent area with Dubai’s main attractions nearby. The hotels here are not as spacious as Al Barsha but you’re close to the epicentre of Dubai, yet a bit far from the main entertainment areas, which are located near The Palm. So, similar to Al Fahidi & Deira, this area is ideal when you’re visiting Dubai on a budget for sightseeing purposes. 
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Areas you should avoid to stay in Dubai on a budget


Take this slightly with a grain of salt as you are able to find affordable hotels here and there in these popular areas, however, in general, they are considered to offer upscale to expensive rooms. And if you’re planning to stay in a hostel, then you’re able to stay super cheap in these popular areas. The areas that you should avoid are Dubai Marina & Jumeirah Beach Residence - Nightlife, Downtown Dubai and a part of Bur Dubai. Jumeirah Palm, which is one of the man-made islands that’s full of luxury resorts, is absolutely not budget-friendly to stay at. You should, however, definitely visit this impressive area for sightseeing purposes.  
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Amazing hostels in the most popular areas of Dubai


If you’re planning to stay in Dubai in a hostel, have a look at some of the best hostels visually listed below. 
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Map of the best areas to stay in Dubai on a budget

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Where to stay in Dubai on a budget map
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There you have it, all our recommendations to your question about the best areas to stay in Dubai on a budget. We hope you enjoyed it and hopefully, you can make a good decision and have the time of your life in this amazing, modern city!
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