Where to Stay in Palma
Cheapest areas, hostel districts, and budget tips
Quick Answer
Stay in Plaça d'Espanya / Avinguda Jaume III
Provides access to more affordable hostels and hotels, with excellent transport links and budget-friendly dining options.
See full Palma neighbourhood guideTop 3 Areas to Stay in Palma
Most affordable areas with the best value accommodation
Plaça d'Espanya / Avinguda Jaume III
The bustling commercial and transport hub, offering wide avenues, shopping, and easy access to the rest of the city.
Our top picks in Plaça d'Espanya / Avinguda Jaume III
Santa Catalina
Trendy and bohemian, known for its vibrant market, diverse restaurants, and lively bars.
Our top picks in Santa Catalina
Old Town (Casco Antiguo)
Historic labyrinth of narrow streets, charming plazas, and centuries-old architecture.
Our top picks in Old Town (Casco Antiguo)
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Neighbourhood Comparison for Backpackers
| Neighbourhood | Budget | Vibe | Best For |
|---|---|---|---|
#1Plaça d'Espanya / Avinguda Jaume III | Budget | The bustling commercial and transport hub, offering wide avenues, shopping, and easy access to the rest of the city. | first-timersbudget |
Old Town (Casco Antiguo) | Luxury | Historic labyrinth of narrow streets, charming plazas, and centuries-old architecture. | first-timerscouples |
Santa Catalina | Mid-range | Trendy and bohemian, known for its vibrant market, diverse restaurants, and lively bars. | foodiesnightlife |
El Molinar / Portixol | Luxury | Chic waterfront area with a picturesque harbor, trendy restaurants, and a relaxed, upscale feel. | couplesluxury |
Find budget-friendly hostels in Palma
Affordable stays in the best backpacker areas
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Tips for Backpackers in Palma
Book Hostels with Kitchens
Self-catering saves significant money in Palma. A hostel with a good kitchen can cut your food budget by half.
Walk Where Possible
Many city centres are walkable. Save transport money for longer journeys and use your feet for neighbourhood exploring.
Find Free Activities
Free walking tours, museum free days, parks, and markets are everywhere. Ask hostel staff for the best free experiences.
Carry a Water Bottle
A refillable bottle saves money and plastic. Many cities have free water fountains; check the local tap water safety first.
Find free walking tours in Palma
Budget-friendly ways to explore
Best Neighborhoods for Backpackers
Ranked by relevance for backpackers visiting Palma
Plaça d'Espanya / Avinguda Jaume III
BudgetThe bustling commercial and transport hub, offering wide avenues, shopping, and easy access to the rest of the city.
- +Central transport hub with excellent connectivity
- +Wide range of shopping and dining options
- +More affordable accommodation choices available
- -Less charming and atmospheric than the Old Town
- -Can be busy and noisy due to traffic and crowds
Old Town (Casco Antiguo)
LuxuryHistoric labyrinth of narrow streets, charming plazas, and centuries-old architecture.
- +Incredibly picturesque and atmospheric
- +Abundant historical sites and cultural attractions
- +Excellent dining and shopping options
- -Can be very crowded, especially in peak season
- -Some streets can be noisy at night
Santa Catalina
Mid-rangeTrendy and bohemian, known for its vibrant market, diverse restaurants, and lively bars.
- +Excellent culinary scene with global influences
- +Lively evening atmosphere
- +Good mix of local and expat residents
- -Can be noisy on weekend nights
- -Accommodation can be pricier due to popularity
El Molinar / Portixol
LuxuryChic waterfront area with a picturesque harbor, trendy restaurants, and a relaxed, upscale feel.
- +Beautiful seaside promenade
- +Excellent seafood restaurants
- +Close proximity to a city beach
- -Can be expensive
- -Limited public transport within the immediate area
Daily Budget (Budget)
EUR 70/day
Hidden Gems in Palma
Lesser-known spots the locals love
Mercat de l'Olivar
FREEThis bustling indoor market is a feast for the senses, offering a vibrant array of fresh local produce, seafood, meats, and artisanal products. It's a fantastic place to grab a casual bite or soak in the authentic local atmosphere away from the main tourist crowds.
Sa Llotja
FREEWander through the narrow, atmospheric streets of the old fish market district, known for its beautiful Gothic architecture and lively evening scene. It's a charming area perfect for an evening stroll and discovering hidden tapas bars.
Bar Bosch
A historic Palma institution, Bar Bosch is famous for its delicious and generously portioned 'bocadillos' (sandwiches) made with fresh ingredients. It’s a no frills, authentic experience where locals gather for a hearty and affordable meal.
Our Top 5 Favourite Tours in Palma
Hand-picked guided experiences you can book in advance on GetYourGuide.
Palma Walking Tour: Highlights & Hidden Gems
Discover Palma on foot with a local guide who knows every backstreet and story. You will cover the must-see landmarks and stumble upon places most visitors never find.
View Tour Details
Palma Food Tour: Street Food & Local Favourites
Eat your way through Palma with a local foodie as your guide. From bustling markets to tucked-away restaurants, taste the dishes the city is truly known for.
View Tour Details
Best of Palma: Skip-the-Line Top Attractions
Skip the queues and get straight into Palma's top attractions with pre-booked access. An expert guide brings each site to life with stories and context you would not get on your own.
View Tour Details
Day Trip from Palma: Scenic Excursion
Escape Palma for the day and explore the stunning surroundings. Transport, guide, and itinerary are all sorted so you can relax and enjoy the scenery.
View Tour Details
Palma Cultural Experience: History & Traditions
Go beyond sightseeing and connect with Palma's living culture. From hands-on workshops to historic neighbourhood walks, this is the side of the city most travellers miss.
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1 area to be cautious about
Read our full safety guide for Palma
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