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Why Where You Stay Matters in Melbourne
Melbourne isn’t just one city – it’s a patchwork of vibrant, unique neighbourhoods. Some are buzzing with nightlife, others are peaceful and perfect for families.
Where you stay shapes everything: what you eat, how you get around, and the kind of memories you’ll make.
And if you plan to explore hidden gems in Melbourne, taste iconic local foods, or discover the best local markets, your base should support your adventure.
Best Areas to Stay in Melbourne
1. Melbourne CBD
The CBD is the heart of it all. With free tram zones, walkability, and proximity to top attractions like Federation Square, Queen Victoria Market, and the laneways, it’s perfect for first-timers.
Recommended for: Solo travelers, couples, business travelers
Where to stay: The Langham, The Victoria Hotel, Quincy Melbourne
Nearby highlights:
2. Fitzroy
Just north of the CBD, Fitzroy is a creative hotspot packed with street art, boutique stores, record shops, and some of the city’s coolest cafés. It’s also very walkable and well-connected by tram.
Recommended for: Creatives, solo travelers, couples
Where to stay: Lyf Collingwood, The Nunnery, funky Airbnb lofts
Bonus tip: Visit Northcote nearby for more indie shopping and community vibes.
3. St Kilda
Famous for its beach, Luna Park, and relaxed atmosphere, St Kilda offers a fun and laid-back experience. Perfect if you love the outdoors or want to be by the water.
Recommended for: Backpackers, families, young travelers
Where to stay: Rydges St Kilda, Adina Apartments, Base Backpackers
Explore more:
- Head down to Brighton or Williamstown Beach for quieter coastal escapes.
4. Southbank
Just across the Yarra River from the CBD, Southbank is where you’ll find Crown Casino, the Arts Precinct, and some of Melbourne’s finest dining. Ideal for luxury and convenience.
Recommended for: Couples, culture lovers, high-end travelers
Where to stay: Crown Towers, The Langham, Quay West Suites
Nearby events: Check out upcoming cultural events and festivals nearby.
5. Carlton
Carlton is where history, culture, and food meet. Enjoy museums, leafy parks, and Lygon Street – Melbourne’s iconic Italian dining strip.
Recommended for: Families, students, foodies
Where to stay: Zagame’s House, Rydges on Swanston
Must-see: Free museums in Melbourne and Melbourne Museum just around the corner.
6. Richmond
Richmond is a great base if you’re catching a game at the MCG or want a more local, down-to-earth experience. It’s packed with character, Vietnamese eats, and public transport options.
Recommended for: Sports fans, groups, budget-conscious travelers
Where to stay: Amora Hotel Riverwalk, Adara Richmond
Tip: Planning to attend a game? Use our guide to free parking near the MCG.
7. South Yarra
South Yarra offers glam without the chaos. With designer stores, brunch cafés and access to Prahran Market, it’s ideal for those who want luxury in a relaxed setting.
Recommended for: Couples, shoppers, brunch lovers
Where to stay: The Olsen, Ovolo South Yarra, Hotel Claremont
Nearby gems: Explore Prahran and Toorak for upscale local charm.
Neighbourhood Comparison Table
A quick-scan table helps users decide faster. Here’s an HTML- and user-friendly version:
| Neighbourhood | Vibe/Style | Best For | Walkability | Price Range | Local Highlights |
|---|---|---|---|---|---|
| CBD | Central, busy, touristy | First-timers, business | ★★★★★ | $$$ | Laneways, Free Tram, Federation Square |
| Fitzroy | Creative, hip, artsy | Creatives, couples | ★★★★☆ | $$-$$$ | Street art, boutique shopping, cafés |
| St Kilda | Beachy, relaxed, vibrant | Backpackers, families | ★★★☆☆ | $$ | Beach, Luna Park, penguins |
| Southbank | Luxurious, riverside | Couples, culture lovers | ★★★★☆ | $$$$ | NGV, Crown Casino, river walks |
| Carlton | Leafy, cultural, academic | Families, students | ★★★★☆ | $$ | Museums, Italian dining, gardens |
| Richmond | Local, sporty, vibrant | Sports fans, groups | ★★★☆☆ | $$ | MCG, Bridge Road, Vietnamese food |
| South Yarra | Trendy, upscale, stylish | Couples, shoppers | ★★★★☆ | $$$$ | Boutiques, brunch cafés, Prahran Market |
Best Types of Accommodation in Melbourne
Whether you’re looking for luxury, boutique charm, or budget-friendly stays, Melbourne’s got it all. Here’s a quick breakdown of the main accommodation types and who they suit best:
1. Hotels
Great for short stays, business trips, or travelers who value service and convenience. Many hotels in the CBD and Southbank cater to business travelers, while boutique options in South Yarra and Fitzroy offer more personality.
2. Airbnbs & Short-Stay Apartments
Perfect for families or long stays, especially if you want a kitchen or more space. You’ll find great options in Carlton, South Yarra, and Brunswick.
3. Serviced Apartments
A sweet spot between hotels and Airbnbs, these often include daily cleaning and amenities while giving you the feel of home. Look into brands like Quest, Adina, or StayCentral.
4. Hostels
If you’re backpacking or traveling on a budget, hostels in St Kilda, Fitzroy, and the CBD are social, central, and wallet-friendly.
Nature nature-lovers and road-trippers should consider exploring free camping spots near Melbourne for a unique alternative stay.
Family-Friendly Places to Stay in Melbourne
As a mum of three, I know that the little things matter—like easy tram access, nearby playgrounds, and a microwave for heating up snacks! Here are my top picks for families:
- Quest Apartments (CBD, Carlton, and St Kilda) – Spacious, kitchen-equipped, and close to key attractions
- StayCentral Apartments – Great for longer stays and excellent customer service
- Adina Apartment Hotel (Southbank) – Right near the Yarra River and arts precinct
Also consider quieter, family-friendly suburbs like Camberwell, Donvale or Ivanhoe if you’re hiring a car and want a calmer pace without being too far from the city.
Need more ideas for the kids? Explore my guide to indoor activities for kids in Melbourne and family-friendly markets.
Final Tips from a Local
Here are a few things to keep in mind before you book:
- Don’t overpay for location – Public transport is excellent, especially the free tram zone in the CBD.
- Plan around your itinerary – If you’re doing day trips like the Great Ocean Road or Yarra Valley, staying in Richmond or South Yarra may save you drive time.
- Look beyond the obvious – Up-and-coming suburbs like Northcote, Coburg, and Yarraville offer charm and character with fewer crowds.
- Check the events calendar – Melbourne is packed with festivals and live shows that can affect prices and availability.
FAQs
Q: What’s the best area to stay in Melbourne for first-timers?
A: The CBD or Southbank offer the most convenient base with access to transport, dining, and major attractions.
Q: Where should families stay in Melbourne?
A: Carlton, St Kilda, and Camberwell are great for families thanks to parks, museums, and apartment-style stays.
Q: What is the most walkable area in Melbourne?
A: The CBD, Fitzroy, and Southbank are all very pedestrian-friendly with excellent access to attractions and food spots.
Q: What is the trendiest suburb in Melbourne?
A: Right now, Fitzroy and Brunswick lead the pack, known for their creative energy and café culture.
Q: Are there any good day trips near Melbourne?
A: Yes! I recommend the Great Ocean Road, Healesville Sanctuary, and Williamstown Beach.
