With the vast range of accommodation options and the many Penang hostels available, it can be overwhelming finding the right one for you. If you’re looking for the best budget accommodation in Penang, we’ve done the research for you. Here we have rounded up our pick of the best hostels in Penang.
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Whilst there are some superb upmarket hotels, beach resorts, and condo-style Airbnbs to choose from in Penang, for some travellers, especially backpackers, a hostel is what you’re looking for.
Perhaps it’s the community vibe at a hostel, knowing that you are likely to meet other travellers, or maybe you just need a cheap bed for a couple of nights, somewhere that feels safe as a base for exploring all the things to do in Penang? Or probably, it’s a bit of both.
This cosmopolitan island of Penang has been welcoming travellers for decades, so it probably comes as no surprise that there are some fantastic Penang hostels to choose from. Here we have rounded up our pick of the best ones. Each offers a different vibe, but all are clean and welcoming (our top two criteria for any Penang hostel).
When researching this article we were surprised how many Penang hostels closed down over the pandemic, never to reopen again. Yet some of these are still featured on booking sites. Here you will find the best Penang hostels that are currently open for business and honest feedback on what you can expect.
Map of the best hostels in Penang
Use the below map to help you work out the locations of our suggested Penang hostels. You will notice that all the hostels are located in George Town. There aren’t really any worthwhile Penang hostel options away from here. Your next best bet for budget accommodation away from George Town is to look at Airbnb listings.
1. Ez Social Hostel
★★☆☆☆
Click here to check prices and availability

Situated close to The Blue Mansion on the corner of Chulia Street (where you’ll find lots of bars and restaurants), Ez Hostel is a hostel aimed at the young backpacker crowd and very sociable.
Expect comfortable bunk beds with privacy curtain, sociable bar, co-working space, and a party vibe. There’s also a laundrette and café on site, and special nights are often organised for guests, such as trivia nights and BBQs.
A huge bonus is the free breakfast. Security lockers are available for storing your items safely.
This is a lively hostel and can be loud at night. If you’re a light sleeper, this Penang hostel probably isn’t for you.
I think the best hostel ever, I got to interact with so many people with so many social events happening in which people go together, I made so many great friends, such a friendly staff, the only downside is ac being turned off in day time, otherwise it’s wonderful 😍😍😍
Reviewer on hostelworld.com
2. House of Journey
★★☆☆☆
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Set in a 1850s heritage building in the heart of George Town, close to Love Lane (which is the best location for bars), House of Journey is another hostel aimed at the younger crowed. In fact, they actually have a recommended maximum age policy of 45 (we’re not sure how enforced this is, but does seem rather ageist).
A very sociable hostel with a bit of a grungy vibe, which arranges lots of different activities, such as trivia night, cooking class, a walking tour, and pub crawls. The common room, with walls graffitied in handwritten notes from past guests, features games and a TV.
There’s free WIFI in every room, hot rainfall showers, and free lockers to store valuables.
You can’t really ask for more. Before I came I did read the reviews here and I thought it’s maybe sketchy- it’s not! Best backpackers hostel you can ask for. Just book the damn dorm and have fun
Reviewer on hostelworld.com
3. TIDO Hostel
★★★☆☆
Click here to check prices and availability

If you’re looking for a clean and modern hostel in Penang, you can’t go wrong with TIDO Hostel Penang. You can book into a female or mixed dorm room, or a double room with shared bathroom.
Staff are polite and helpful, and it’s beautifully quiet. A very different style of Penang hostel to the previous two mentioned so far, and not as sociable.
The best hostel I have stayed so far! I like it that it’s quiet on the 5th floor. Can get some work done in private and eat peacefully. The staff is very polite and helpful. It’s very clean and toilets are just like hotels. The location is perfect…
Reviewer on booking.com
4. Sleep Box Penang
★★★★☆
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Sleep Box Penang is a modern and stylish hostel located on Chulia Street, so you’ll be staying right in the centre of George Town, with easy access to the nearby bars, restaurants and sights. With whitewashed walls and laminate flooring, the hostel feels new and well-cared for, although light-sleepers should factor in the adjacent night-club which some guests complain pumps out music into the small hours.
There aren’t any dorm rooms at Sleep Box, instead the hostel offers a variety of private rooms sleeping 2, 3, 4 or 5 guests. Each room has its own flat-screen TV, safe and air-conditioning but none have private bathrooms, instead you have access to the neat and tidy shared bathrooms. The other shared facilities onsite include washing machines, microwaves and fridges.
Very clean and comfortable! The staff was really nice too! Facilities were very good and the hotel is well located!
Reviewer on booking.com
5. The Frame Guesthouse
★★☆☆☆
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Much thought and care has gone into the design of this Penang hostel. Situated over three floors in Little India, this heritage building was once a framemaker shop. It has been lovingly restored with conscious effort to retain original features and character, including polished concrete floors, weathered walls and even exposed traces of removed electrical appliances.
The Frame Guesthouse offers female dorms, mixed dorms, private doubles and twins, as well as a dorm of 12 capsules for the ultimate private dorm experience.
It’s a quiet hostel, although guests have complained about being woken in the early hours by the nearby mosque as the walls are rather thin.
Really enjoyed my time here, really spacious with a cool coffee shop downstairs. Just be aware of the call to prayer at 5am, the hostel is next to a mosque so it’s very loud, other than that no complaints, definitely recommend!
Reviewer on hostelworld.com
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On Penang ebook£16.95
On Penang ebook
New for 2025, the On Penang ebook is the only travel guide you need for exploring the island of Penang. It is jam-packed with inspiration on what to do, where to eat, where to stay, and also includes a step-by-step self-guided walking tour of George Town (with photos).
This is a PDF download for use offline and on the go (and ad-free!). Save it to read on the plane to Malaysia, download to your phone to follow the self-guided walking tour, or print it off at home before you leave on your adventures and highlight all the bits you want to remember for your visit.
Before your go, check out these useful reads for your visit:
The best things to do in Penang
15 BEST restaurants in Penang
Top tips for visiting Penang
One day Penang itinerary
Best hotels in Penang
How to get around Penang
A brief history of Penang