Planning a trip to Shanghai? Discover the top 12 budget hotels and hostels near The Bund and People's Square to save money without sacrificing comfort.Exploring a futuristic megacity like Shanghai doesn't mean you have to drain your bank account on accommodation. Whether you want to witness the historic charm of The Bund, shop along Nanjing Road, or get lost in the cultural alleyways of the French Concession, finding a cheap place to stay is entirely possible.To help you maximize your travel fund, this comprehensive guide reviews the top 12 budget hotels and hostels in Shanghai. These properties are selected for their incredible value, excellent facilities, and strategic locations close to metro stations, cheap local food, and convenience stores.1. Dayin International Youth Hostel (East Nanjing Road & The Bund)Address: No. 58 Minde Road, Huangpu District, ShanghaiApproximate Price: $16 – $30 USD per nightLocated directly in the beating heart of the city, this hostel is a dream come true for social backpackers. The property features modern, capsule-style dorm beds with privacy curtains, individual power outlets, reading lights, and a vibrant communal cafe and bar area. Self-service laundry and a 24-hour front desk make long stays seamless.The transit links here are phenomenal, sitting just a short walk from the East Nanjing Road Metro Station (Line 2 and Line 10). A 7-Eleven and a FamilyMart are located just across the street for late-night snack runs. For food, you are surrounded by local dumpling shops and noodle stalls hidden just behind the main tourist strip. It is the best budget location because you can easily walk to both The Bund and the main shopping boulevard without spending a single cent on subway fares.Click here to view the latest prices and detailed availability for Dayin International Youth Hostel on Agoda.2. Hi Cozy Youth Hostel (East Nanjing Road & The Bund)Address: Room 601, 6th Floor, No. 350 South Shanxi Road, Huangpu District, ShanghaiApproximate Price: $14 – $35 USD per nightHi Cozy delivers an intimate, homelike atmosphere with exceptional English-speaking customer service. The hostel offers exceptionally clean dorms and cozy private rooms, a well-equipped shared kitchen where you can cook your own meals, and a comfortable social lounge area designed for meeting fellow travelers.You can walk to the East Nanjing Road Metro Station in under five minutes, giving you a direct line to both international airports. A massive Lianhua Supermarket is nearby for purchasing cheap groceries, and the area is packed with traditional Shanghainese breakfast stalls selling fried buns (shengjian bao). It stands out as a prime budget location because it offers quiet, premium cleanliness at rock-bottom rates right in a high-end neighborhood.Click here to view the latest prices and detailed availability for Hi Cozy Youth Hostel on Agoda.3. Shanghai Desti Youth Hostel (Jing'an Temple)Address: No. 698 Xikang Road, Jing'an District, ShanghaiApproximate Price: $18 – $40 USD per nightDesti is legendary for its massive, energetic ground-floor social bar and lounge area. It caters perfectly to digital nomads and solo travelers with its high-speed Wi-Fi, spacious secure lockers, custom-built sturdy wooden bunk beds, and regular evening social events.The property sits a brief 5-minute walk from Changping Road Metro Station (Line 7), making transit around town incredibly simple. A local 7-Eleven sits directly adjacent to the entrance, and a well-stocked Century Mart supermarket is nearby. The surrounding Jing'an neighborhood is an absolute haven for trendy coffee shops, international bars, and affordable local Lanzhou beef noodle shops. Staying here gives you affordable access to one of Shanghai’s most affluent, upscale nightlife districts.Click here to view the latest prices and detailed availability for Shanghai Desti Youth Hostel on Agoda.4. WeFlow Hostel (Shanghai People's Square)Address: No. 288 Shanxi North Road, Jing'an District, ShanghaiApproximate Price: $18 – $35 USD per nightWeFlow offers a beautifully designed vintage aesthetic that mixes classic Shanghainese architecture with modern minimalist comforts. Guests love the spacious communal dining area, the dedicated quiet workspaces, the exceptional cleanliness of the shared bathrooms, and the highly secure keycard access systems.The hostel is exceptionally close to the Qufu Road Metro Station (Line 8 and Line 12) and is within walking distance of People's Square. It is located right next to the Jing'an Joy City mega-mall, which houses a colossal basement food court packed with budget-friendly international and local dining options, alongside a large supermarket. This location is a budget winner because it positions you right at the geographical crossroads of Shanghai, drastically lowering your daily commuting times.Click here to view the latest prices and detailed availability for WeFlow Hostel on Agoda.5. Shanghai Meego Youth HotelAddress: No. 495 Wanhangdu Road, Jing'an District, ShanghaiApproximate Price: $12 – $30 USD per nightMeego Youth Hotel provides an incredible hybrid experience, offering the low prices of a hostel alongside the quiet structure of a budget boutique hotel. Key amenities include a gorgeous rooftop terrace overlooking the neighborhood, self-service laundry facilities, a shared kitchenette, and incredibly reliable luggage storage.The property offers highly convenient access to the Hanzhong Road Metro Station, a major hub connecting lines 1, 12, and 13. Budget eateries, local wet markets, fruit stalls, and a FamilyMart surround the immediate block. This is highly regarded as one of the best value positions for anyone arriving via the Shanghai Railway Station, allowing you to drop your bags off immediately after a long train journey without any hassle.Click here to view the latest prices and detailed availability for Shanghai Meego Youth Hotel on Agoda.6. Duoyuan Youth Hostel (Shanghai Bund)Address: 3F, No. 339 Guangdong Road, Huangpu District, ShanghaiApproximate Price: $15 – $28 USD per nightDuoyuan is an ultra-reliable backpacker staple known for its high-occupancy social vibe and friendly environment. It features fully air-conditioned dorm rooms, private individual electronic lockers, privacy curtains on all beds, and a fully functional shared kitchen where budget travelers can prep snacks.Transportation is a breeze with the East Nanjing Road Metro Station sitting a short 360 meters away. A local Alldays convenience store and a 7-Eleven are just down the street. For authentic food, the historic Yunnan Road Food Street is nearby, offering cheap local delicacies like mutton hot pot and scallion oil noodles. It is an unbeatable budget location because it lets you step right outside the door and view the glittering financial skyscrapers of Lujiazui across the river.Click here to view the latest prices and detailed availability for Duoyuan Youth Hostel on Agoda.7. Shanghai Nullset Youth HostelAddress: No. 368 Jinling East Road, Huangpu District, ShanghaiApproximate Price: $15 – $32 USD per nightNullset provides a wonderful, laid-back sanctuary right inside the busy city center. The hostel stands out due to its highly helpful 24-hour reception desk, local tour booking assistance, beautifully maintained common rooms, and highly efficient express check-in and check-out services.The property is situated just 250 meters from the Yuyuan Garden Metro Station (Line 10). It sits directly across from a Lawson convenience store and a pharmacy. Food options are abundant, ranging from iconic local dumpling restaurants to affordable street vendor stalls selling fresh fruit and steamed buns. This is the ideal budget location because it bridges the gap between historical old Shanghai (Yu Garden) and modern downtown, allowing you to explore both entirely on foot.Click here to view the latest prices and detailed availability for Shanghai Nullset Youth Hostel on Agoda.8. Shanghai Blue Mountain Bund Youth HostelAddress: No. 350 South Shanxi Road, Huangpu District, ShanghaiApproximate Price: $16 – $35 USD per nightBlue Mountain is famous among international backpackers for its highly social atmosphere and great community features. The hostel boasts a lively rooftop bar with a pool table, an outdoor terrace, a massive book exchange library, and highly organized daily city walking tours.You are located a quick 3-minute stroll from East Nanjing Road Metro Station. The neighborhood features multiple 7-Eleven stores, small supermarkets, and cheap local diners serving up hearty bowls of wonton soup. It is the absolute best budget option for solo travelers looking to make friends instantly while staying within walking distance of Shanghai's primary sightseeing landmarks.Click here to view the latest prices and detailed availability for Shanghai Blue Mountain Bund Youth Hostel on Agoda.9. Jinjiang Inn Select (Shanghai Nanjing Road Pedestrian Street)Address: No. 258 Shaanxi South Road, Huangpu District, ShanghaiApproximate Price: $35 – $60 USD per nightIf you want a totally private hotel room rather than a hostel dorm bed, this trusted domestic hotel chain is your top choice. Jinjiang Inn Select offers pristine, private en-suite bathrooms, comfortable work desks, free bottled water, crisp linens, daily housekeeping, and professional 24-hour security.The hotel is located directly off the main Nanjing Road Pedestrian Street, steps from the People's Square Metro Hub (Lines 1, 2, and 8). A colossal Hema Fresh Supermarket is located nearby, alongside multi-story food halls offering affordable dining options. It is an exceptional budget hotel choice because it provides the predictable reliability, privacy, and cleanliness of a corporate hotel at a fraction of Western brand prices.Click here to view the latest prices and detailed availability for Jinjiang Inn Select on Agoda.10. Meego Qingwen Hotel Shanghai JinganAddress: No. 121 Qingwen Road, Jing'an District, ShanghaiApproximate Price: $25 – $50 USD per nightMeego Qingwen features a beautiful, modern boutique aesthetic geared heavily toward digital nomads and flashpackers. It offers spacious, quiet co-working lounges, incredibly fast Wi-Fi, modern private rooms, and clean, streamlined shared facilities that never feel crowded.The property is roughly a 15-minute walk to the historic Jing'an Temple Metro Station (Line 2 and Line 7). The neighborhood is highly authentic and local, filled with traditional wet markets, fresh fruit vendors, a FamilyMart, and dozens of small family-run eateries serving up cheap clay-pot rice dishes. It is an excellent budget location because it lets you experience a quiet, authentic residential Shanghainese neighborhood while keeping you a short distance away from the downtown core.Click here to view the latest prices and detailed availability for Meego Qingwen Hotel on Agoda.11. Dayin Youth Hostel (Tianzifang & Xintiandi)Address: Near Metro Line 9 Dapuqiao Station, Huangpu District, ShanghaiApproximate Price: $20 – $45 USD per nightThis trendy, highly rated youth hostel offers exceptional, fresh hygienic sheets, premium comfort mattresses, an on-site social bar, and an incredibly friendly, English-speaking front desk staff who are always happy to give local travel tips.The property sits directly next to the exit of the Dapuqiao Metro Station (Line 9). It is located right across from the SML Center, a massive shopping mall that houses a colossal basement food court and a large hypermarket. This makes grabbing affordable meals and travel essentials incredibly simple. It is the best budget location for artsy travelers who want to explore the historic Shikumen alleyways of Tianzifang and the chic French Concession without paying premium hotel rates.Click here to view the latest prices and detailed availability for Dayin Youth Hostel on Agoda.12. Seventh Heaven HotelAddress: No. 627 Nanjing East Road, Huangpu District, ShanghaiApproximate Price: $40 – $65 USD per nightSeventh Heaven Hotel is an absolute icon for budget-conscious families and couples who prefer traditional private hotel stays. The property features retro Shanghainese interior designs, large private bathrooms, a full-service tour desk, and large windows that offer views right over the city's main walking street.The hotel sits directly on the Nanjing Road Pedestrian Street, making it an easy stroll to the People's Square Metro Station. You are surrounded by 24-hour convenience stores, historic food emporiums, and endless shopping centers. It is widely considered the absolute best budget hotel location because you can look directly down at the neon lights of Shanghai's premier avenue right from your room window without paying luxury prices.Click here to view the latest prices and detailed availability for Seventh Heaven Hotel on Agoda.