Great Places To Stay In Sydney, Australia: 12 Of The Best Hotels and Accommodation

So you’re going on holiday to Sydney? You’re about to visit one of the most incredible cities in the world. It’s so beautiful and honestly one of my favourite places. Not only do you have world famous views of the Sydney Opera House and Harbour Bridge down at Circular Quay, but Sydney’s suburbs make it a city of many personalities – from beachside fun at Bondi to the quirky and independent Newtown.

But, where should you stay in Sydney? Well, there’s no bad place to stay in Sydney, but your location can make a huge difference depending on the amount of time you have in the city, what you like to have immediate access to, and what you want out of your holiday. I’m lucky enough to have stayed in most of the areas below and I’m here to tell you my own experience of staying in some of Sydney’s best hotels, as well as some that are well researched and thoroughly on my wishlist for future holidays in Sydney. 

My Quick Answer For Where To Stay In Sydney: The Best Area and Hotels in Sydney

After my recent stay in Sydney, I’d recommend staying in the CBD around the Town Hall area of Sydney. This location is ideal for access to Gadigal Metro Station, Town Hall and Museum Train Station, Town Hall Light Rail Station, as well as buses to Coogee and Bondi Beach. Staying in this area of the CBD also means that you’re near Sydney’s main shopping district and within walking distance of the QVB, Myers and Westfield Shopping Centre. You can also walk around 6 blocks to Darling Harbour where, if you’re lucky, you can catch free firework shows over the weekend.

My recommendation for this area would be The Porter House Hotel, Sydney – MGallery Collection. This hotel was the perfect combination of laid-back luxury while still feeling small enough to be personal. With stylish amenities, and in a building that combines modern elegance with heritage, it’s a great central location if you’re planning on seeing all the best things that Sydney has to offer.

My Top Tips For Staying In Sydney, Australia

Stay In Sydney’s CBD

I’d stay in the CBD over and over again thanks to its proximity to transport, and easy walking distance to Circular Quay and Darling Harbour. It’s also in a part of the Sydney’s CBD that doesn’t feel like it’s shut down over the weekend either, which is great if you like to be somewhere slightly lively. 

Make The Most Of Sydney’s Public Transport

Sydney is a nightmare to drive around thanks to many one way streets, so I’d really avoid hiring a car unless you’re road-tripping up the East Coast. When you’re staying in the city, it’s worth making the most out of public transport with a choice of trams, trains, buses, and ferries that can get you to any corner of Sydney you wish to explore.

I’ve used buses to get to Coogee, Bondi Beach, Newtown, Brookvale and right up the coast to Palm Beach. Ferries can transport you to Manly, Luna Park, Darling Harbour, Rose Bay and lots of other places around Sydney’s iconic coastline. Trains and trams also make it super easy to get to and from the airport, (it only take around 20 minutes by train), up and down the main drag of Sydney right from Central down to Circular Quay, across to North Sydney and further afield to even the Blue Mountains.

Ask For A High Level Floor Hotel Room

I understand why this doesn’t appeal to some people – you can be waiting longer for a lift and it takes longer to get to and from your hotel room. However, Sydney is a city of great views and it would be a shame to miss out. We were lucky enough to get a high level floor hotel room at The Porter House Hotel, Sydney – MGallery Collection and were treated to views of Hyde Park.

Book Ahead For Key Activities

If climbing the Sydney Harbour Bridge or seeing the inside scenes of the Sydney Opera House is on your Sydney bucket list, book ahead to make sure you don’t miss out. This also goes for booking into restaurants you want to eat at – and there are some really good places to eat in Sydney!

Get Your Caffeine Fix

Australia is known for serving up good coffee, so if you like a cup of the good stuff, make sure to hunt down some of the great coffee shops you can find in and around Sydney. Some of my favourites are Single O, A.P. Bakery, and The Grounds Of The City. The good news is, Aussie coffee shops are usually open at the crack of dawn so if you have an early start to get all your sightseeing done, there’ll be somewhere to grab a coffee to wake you up!

Here’s Where To Stay In Sydney: The Best Areas and Hotels

Sydney’s CBD – Perfect For First-Time Visitors To Sydney & Sightseeing

Sydney’s CBD does cover a fairly large area of the city and goes from Circular Quay to Central Station and from the Royal Botanic Garden across to Darling Harbour and Pyrmont. However, for me the CBD of Sydney is the main business district, I’m thinking between Wynyard and Museum Station. Here you’ll find the shopping district, pedestrianised areas, and big office buildings housing many of Sydney’s big businesses.

I really like staying in this area on my most recent visit to Sydney. We were staying in Sydney for 7 nights, so had the luxury of being able to take our trip a little slower. We could enjoy walks across to Darling Harbour, to and from Circular Quay and The Rocks, and across to Surry Hills for brunch and coffee. However, when we did need to use public transport to get out and about, or go further afield, trains, trams, and buses were within 1 or 2 blocks of our hotel.

The Porter House Hotel Sydney, MGallery Collection

When looking at places to stay in Sydney, we saved many to our favourites list but we kept coming back to the Porter House Hotel Sydney – MGallery Collection again and again. Firstly, the location was spot on, with easy access to transport and easy walking distance to major sights such as Sydney Opera House, Hyde Park, the Royal Botanic Garden Sydney, and the Australian Museum. Secondly, the whole aesthetic of the hotel is gorgeous, with beautiful curved windows in many of the rooms and built alongside a 1876 heritage-listed building.

We arrived to a warm welcome late on a Sunday night after a 24-hour journey from the UK and I don’t think we could’ve been more pleased with our choice. Our room was huge, with what felt like it’s own little corridor leading past vast wardrobes into the main sleeping area, a big shower, and homely amenities including the ability to open and close the bedroom curtains via a flick of a switch from beside the bed – perfect for any lazy mornings you might want to enjoy.

On site, there’s a heated outdoor rooftop swimming pool, Lee Ho Fuk restaurant, and a fitness centre with bedrooms including leather detailing, an ode back to the sites previous life as a merchant, large 55-inch TVs, pillow menu, mini-bar, Nespresso coffee machine, and the latest technology featuring universal bedside clock phone charger, digital light and curtain control, and a signature DigiValet virtual concierge service.

It was the perfect place for us to spend our 7 nights in Sydney and I’d happily stay at Porter House Hotel Sydney – MGallery Collection in the future.

Little National Hotel

The Little National Hotel, right next to Wynyard Station, is minimalist luxe in style but offers maximum convenience in terms of location. With chic interiors that lend themselves well to business travellers or those staying in the city for only a couple of nights, this is where I’d pick if I was in Sydney for a short time. 

The hotel’s Japanese inspired capsule room designs provide enough room to relax and get a good rest without skipping on creature comforts such as robes and slippers, a curated Spotify playlist, chromecast so you can stream your favourite shows, and a mini bar with a tea and coffee making kit. And with the beds right against the floor length windows, you don’t have to go far to enjoy city views of Sydney with a good coffee and book in hand. If you need a bit more space, opt for The Big Room, for extra added luxury.

The Little National Hotel is also home to a rooftop bar that suits all Sydney’s seasons and a fully-equipped gym. Sadly there’s no restaurant so you can’t dine here, however bar snacks are available and if you want a cosy evening in, feel free to order in and The Little National Hotel’s staff will bring your food right to your door!

Capella Sydney

Ever wondered what staying at one of the world’s top 50 hotels is like? Well, stay at Capella Sydney and you won’t have to wonder any more. This 5 star hotel, formerly a Department of Education Building, spans 8 levels and has 192 rooms which showcase a wonderful blend of contemporary design and seamless historic restoration.

This is a real “treat yourself’ hotel, with serene rooms and the Auriga Spa – a sanctuary in the heart of Sydney where guests can enjoy a steam room, sauna, experiential showers, and ice fountain as well as a spa menu if you want to really indulge in some restorative wellness. 

Darling Harbour – Ideal For Families and Entertainment

Darling Harbour, for me, is very much an entertainment place. There are a couple of sights here that you might enjoy on your visit to Sydney such as Madame Tussauds Sydney and Wildlife Sydney Zoo. However, it’s more about the food and entertainment scene in Darling Harbour and this place certainly comes alive in the evening. There are many waterfront restaurants and bars, such as Cargo Bar, that are open until 3am. You’re also within walking distance of The Star, Sydney’s flashy casino. 

As the ICC Sydney – the International Convention and Exhibition Centre is in Darling Harbour, this is a great place to stay if you’re attending an exhibition or a conference while still being within walking distance of Sydney’s CBD.

W Sydney

Sydney’s newest “it” hotel. Where you go to see and be seen, and have the most luxurious stay in a beautifully decorated central Sydney location. W Sydney is a 5-star hotel that looks directly over Darling Harbour and features a rooftop infinity pool at WET Deck and the AWAY Spa where you can get a massage to wash away any aches from a long journey.

Rooms are decorated in what W Sydney describes as ‘marine chic’ and with blue carpets, blue and white striped headboard, warm mood lighting and crisp white bedding, this feels like the perfect description. If I was staying here, I’d pay a little extra to ensure a harbour view room to wake up to views over the water. 

The location itself is pretty great, with direct access to plenty of waterside restaurants, and attractions such as Sea Life Sydney Aquarium just a short walk down Darling Harbour. It’s also an easy 10 minute walk to the QVB and you can also catch a ferry to Circular Quay and Luna Park.

The Rocks and Circular Quay – For Short Stays and Harbour Views

The Rocks is one of Sydney’s oldest districts and an absolutely beautiful place to stay. With cobbled streets, old stone buildings and cosy pubs, The Rocks is a great place to locate yourself if you want to be in a lively area but with slightly less city vibes.

Circular Quay, just around the corner from The Rocks is as central as you can get for easy access to Sydney’s ferries across to places like Manly, Luna Park and Targona Zoo and you’re within walking distance of Sydney’s Harbour Bridge and the Sydney Opera House – it’s the perfect location if you’re only in Sydney for a night or two.

However, if you’re staying in Sydney a little longer and have the luxury of time, I’d enjoy a base a little further into the CBD so that you can easily get to know all corners of Sydney and its fun suburbs.

YHA Sydney Harbour

Looking for accommodation on a budget but that has a million dollar view? Look no further than YHA Sydney Harbour. This award winning hostel is in the heart of the historic Rocks area, one of Sydney’s oldest suburbs.

Dorm rooms come with city views but opt for a private room if you want a glorious harbour view. Everyone though can get harbour views up on YHA Sydney Harbour’s rooftop where weekly BBQ and social events are hosted – perfect if you’re staying in the city a while and want to meet fellow travellers and build up a social circle. 

Park Hyatt Sydney

I remember doing my working holiday visa in Sydney and saw this hotel being built – it looked amazing then and it looked amazing on my most recent visit to the city. I don’t know why but I promised myself that when I made it back to Sydney with a proper ‘grown-up’ job, I’d book a room at the Park Hyatt Sydney with a view looking towards the famous Sydney Opera House. 

Unfortunately my visit in 2025 was not that time but one day, I’ll book myself a room here. Or maybe my inner Yorkshire girl will say it’s a ridiculous price to pay for a room. Either way, this hotel just looks the epitome of luxury with its contemporary style and neutral hued interiors. There’s also round the clock service with dedicated butlers and an outdoor pool for those hot Sydney days. Although I’m not sure I could resist a dip on a cold Sydney day either.

Surry Hills and Central – For Those Who Love Food, Coffee and a Local Atmosphere

Central, and the Surry Hills area specifically, is where to base yourself if you want to have direct access to a big transport hub and some of Sydney’s best coffee shops on your doorstep. 

In Surry Hills, you’ll feel like you’re a local with plenty of bars and coffee shops ready from the crack of dawn until well after the sun has set. It’s an area I could easily see myself living in if I ever wanted to relocate to Sydney. Until then though, it was nice to live the dream life for a second while waiting for my coffee and breakfast at Single O – a dreamy breakfast spot in Sydney if you need one – and wander the streets looking for cool little spots.

Central is also a great place if you’re on an extended trip to Sydney – it’s within easy reach of Sydney’s Central Station that connects to all corners of the city and you probably get to enjoy a part of the city most tourists might not venture to if they’re only in town a couple of nights.

Ace Hotel

Ace Hotel was second on our list for our most recent trip to Sydney. I loved the style (think Manhattan, mid-century, loft aesthetic) and the location (walking distance to the yummy coffee shops of Surry Hills), so it’s somewhere I’d love to stay on future visits to Sydney.

This is Ace Hotel’s first opening south of the equator, with other locations in Japan, Greece, USA, and Canada. Not only does it look cool as a cucumber online, this 5-star hotel features a variety of room sizes from a comfortable Cosy room right up to the Ace Suite which has a separate living area, deep bath and a fully stocked mini bar. On site, you’ll also find 4 restaurants including LOAM, Kiln, Good Chemistry, and Lobby, a cocktail bar where you can enjoy happy hour before heading out for an evening in Sydney.

Caption by Hyatt Central Sydney

Caption by Hyatt Central Sydney isn’t anything fancy but if you want a good hotel stay with a reputable brand, who have designed the rooms with more thought than a bog standard look, then it might just be the hotel for you. 

With a colourful design, Caption by Hyatt Central Sydney is an ideal place if you don’t want to stay in a hostel but are looking for a comfortable hotel that doesn’t break the bank. In fact, it’s part of Hyatt’s ‘Essentials’ range that’s designed for everyday comfort and value, and rooms come with a mini fridge, open air wardrobe, tea and coffee station, and kettle. The hotel also has filtered water facilities, 24-hour fitness center and Grab and Go market for fresh coffee and snacks, free Wi-Fi, and a restaurant called Talk Shop where the hotel serves food throughout the day. You’re also nearby Sydney’s Capitol Theatre, Sydney’s Central Station and China Town where you can pick up some delicious food.

Wake Up! Sydney Central

Not fancy by any means but Wake Up! Sydney Central has a soft spot in my heart. When I first landed in Sydney in 2011, after a long flight from Hong Kong, this was the place that became my first home. 

The location is great, it’s opposite Sydney’s Central Station so perfect if you want to be located near a main transport hub and within walking distance of Surry Hills. Staff are friendly, rooms are clean and if you’re travelling on a budget you can opt for a dorm room – the 4 bed ones were my favourites as they were quieter – or the private rooms are great if you want your own space but aren’t bothered about anything overly Instagrammable.

One of my favourite things about Wake Up! Sydney Central was the onsite cafe which served up an affordable breakfast and their own bar which was perfect for getting to know fellow travellers and dancing the night away. It is a walk down to places like Circular Quay but these can be reached within 45 minutes and I’d say Wake Up! Sydney Central is ideal if you’re staying in Sydney on more of a budget for an extended amount of time.

YHA Sydney Central

Another hostel that I wouldn’t hesitate to stay in is YHA Sydney Central. Again, it’s opposite Central Station so it makes it a great location from which to explore. There are dormitories here as well as private rooms and this award winning hostel even has a pool!

Make the most of the rooftop with evening BBQs and book onward travels or activities in Sydney via YHA Sydney Central’s own travel cafe.

I really liked it here although I only stayed a couple of times but the energy was good and the fact that it’s a YHA, you know you’re staying somewhere that knows travellers.

Bondi Beach – Best For Beach Lovers and Cool Coastal Vibes

If there’s one thing I should’ve done during my time in Sydney, is spend more time using Bondi as a base. I’m lucky to have stayed a few nights on and off but if you’re here longer than a few nights, it’s worth staying if you want some surfy, beach side fun. 

As soon as you get to Bondi Beach, it’s hard not to see its appeal to visitors and locals alike with the sweeping golden sand, tumbling waves often home to surfers of all abilities, and a vibrant atmosphere the gives this place a buzz literally from dawn until after dusk. If you base yourself here for a night or two, take advantage of relaxing on the beach, enjoying Bondi’s thriving food and drink scene, and doing the coastal walk to Coogee – one of the city’s most famous and beautiful coastal walks.

QT Bondi

For a slice of quirky luxury in the heart of Australia’s most famous beach side suburb, look no further than QT Bondi. Not only does this hotel brand have QT Sydney in the city centre, but you can enjoy direct access to the sand of Bondi Beach, 5 minutes from its sister hotel in Bondi.

Located 1 block from Campbell Parade on Beach Road, QT Bondi is designed so you can live like a local – something I’d definitely take advantage of with Bondi’s huge choice of coffee shops and restaurants on the doorstep.

Rooms are coastal cool with neutral shades with splashes of colour, and bathrooms featuring Malin+Goetz products sprinkle a little bit of luxe into an otherwise laidback stay.

Hotel Ravesis

Views of Bondi Beach direct from your hotel room? Yes please! That’s what you could have at Hotel Ravesis, a striking white and pink building with a commanding position on one of the most prominent corners in Bondi, right on the sea front.

There’s only 12 rooms at Hotel Ravesis so get in early if you want to stay here. Each room is completely unique and individual in its layout so make sure to look at the floor plan to choose your perfect room.

So, where are you thinking of staying in Sydney? Hopefully this article helps you choose which area and which hotel to stay in based on your travel style and length of stay. For me, it has to be the Porter House Hotel Sydney – MGallery Collection for its location, style and value. However, I would be tempted next time, if I was in Sydney for longer than 7 nights, to also include a beach stay at Bondi especially if I was visiting over the summer months.

Do you have any other recommendations I need to look at or have any new hotels popped up since I last visited? Let me know!