Budget Hotels In Penang

Looking for budget hotels in Penang to relax and unwind?

Going on an island getaway (especially one that is on many tourists’ radar) need not cost you an arm and a leg!

Check out this list of best budget hotels in Penang that promises incredible stays without busting your bank account.

The 9 Top Budget Hotels in Penang 2022

1. Dou Houz Georgetown


Strategically located close to Penang’s famous street art and renowned eateries, Dou Houz is an impressive budget hotel in Penang.

Dou Houz Georgetown
Dou Houz Georgetown – image credits to booking.com

Juxtaposing its semi-industrial look is the Japanese-inspired decor, creating a vibe that’s strangely well put together.

And for as low as RM61 per night, you’ll get spotless toilets, accommodating owners, comfortable beds, plus proximity to the island’s hottest attractions.

Coupled with its cool communal area with books to read, Dou Houz offers an uplifting accommodation that’s hard to beat.

Dou Houz Georgetown Rooms
Dou Houz Georgetown Rooms – image credits to booking.com

What you’ll like:

  • Free Wi-Fi
  • Comes with air conditioning, and shared ironing facilities
  • The double and quadruple room comes with an attached bathroom
  • Towels, blankets, and pillows are provided
  • Snack bar
  • Games room
  • Self-check-in and out

Good to know:

  • A 20-minute walk from Armenian street
  • All dorm-type accommodations are mix-sex. Female only dorms are not available
  • 200m from 1st Avenue Penang; 300m from Komtar and Prangin Mall; 400m from Penang Square; 3.5km from Gurney Plaza; 5.8k from Penang Hill
  • Soundproofing is minimal

2. Armenian Suite

True to its name, the Armenian Suite hotel is located along Armenian Street (Lebuh Armenian). It’s near well-known street art, the famous Nasi Kandar Beratur restaurant, and yummy great hawker grub!

Speaking of nasi kandar, check out these Penang nasi kandar restaurants.

Armenian Suite

Moreover, this budget hotel in Penang offers varied accommodation types. From capsule spaces, superior rooms, and deluxe rooms.

 And thus, it is popular among solo travelers, couples, and even families with young kids. Overall, its central location at the heart of Penang makes the Armenian Suite hotel an ideal place for a good night’s sleep.

Armenian Suite Bedrooms
Armenian Suite Bedrooms – image credit to booking.com

What you’ll like:

  • Free Wi-Fi
  • Each room comes with air conditioning, a balcony, desk, hairdryer, ironing facilities, and satellite channel access
  • Non-smoking rooms
  • Daily housekeeping
  • On-site convenience store, gift/souvenir shop
  • Luggage storage
  • Parking fee at RM6 per day
  • Baby cot available upon request

Good to know:

  • Pristine hygiene and comfy beds
  • It can be difficult to secure a parking bay during peak hours.
  • Guests can choose to hail ride-sharing services like Grab or explore the island via bikes, on feet, or public transport

3. Moon Tree 47


This refurbished traditional Malaysian shophouse maintains a rustic vibe with intricate hints of olden day Penang.

Moon Tree 47
Moon Tree 47 – image credits to booking.com

A sense of calm greets you with corridors lined with green plants plus chirping birds in the foreground.

The hotel also opens up to an amazing courtyard decorated with hanging plants and a full shelf of books to devour.

Further bolstered by a decent spread of international menu at their on-site cafe, close proximity to street food, and top-notch hospitality, Moon Tree 47 is a gem of a place to stay.

Moon Tree 47 Bedrooms
Moon Tree 47 Bedrooms – image credits to booking.com

What you’ll like:

  • Free Wi-Fi
  • Rooms come with air conditioning and a fan
  • Bikes available for free
  • Non-smoking rooms
  • Sun terrace, terrace, garden, and coffee house on-site

Good to know:

  • Noise from the streets are audible due to its busy location
  • Limited street parking
  • 600m from the Pinang Peranakan Mansion; 700m from Khoo Kongsi and Wonderfood Museum; 800m from Prangin and Komtar Mall; 1.4km from Penang Times Square

4. Carnarvon House


This wonderfully restored 19th century Straits Chinese house retains all the classical elements of its time, while still promising a comfortable and pleasant stay.

Carnavron House
Carnavron House – image credits to booking.com

Carnarvon House boasts a scenic courtyard adorned with traditional wooden lattice and shrubs surrounding a trickling fountain.

This one-star rated hotel gives its 5-star peers a run for their money with its first-class hospitality. Including the owner who goes above and beyond to explain the history of the building.

So if you’re looking for a “home” away from home, Carnarvon House lives up to its billing!

Carnavron House Bedrooms
Carnavron House Bedrooms – image credits to booking.com

What you’ll like:

  • Free Wi-Fi
  • Rooms are equipped with air-conditioning, a wall fan, soft lighting, free toiletries, bottled water, towels, and a high-quality mattress
  • Board games and puzzles available in common space
  • Library
  • Serves delicious traditional Penang breakfast
  • Non-smoking hotel
  • Street parking
  • Rooms offer a garden or city view

Good to know:

  • Sound insulation could be better
  • Within walking distance to Kimberly Road, Penang Street, and Chew Jetty Penang
  • Located 300m from Khoo Kongsi; 500m from Prangin Mall and 1st Avenue Penang; 600m from Komtar; 800m from Pinang Peranakan Mansion

5. Rope Walk Guest House


Another classic pre-war heritage hotel not to be missed is the Rope Walk Guest House.

Rope Walk Guesthouse
Rope Walk Guesthouse – image credits to booking.com

Famous for its chic styling and pop color décor with bright splashes of blue and purple, its tasteful interior draws inspiration from Marrakesh architecture.

The lounge makes a befitting communal area to ignite conversations over TV and various board games. Room types include dormitories, triple rooms, twin rooms, and family suites with attached bathrooms.

Throw in its strategic location, attentive staff, and amazing ambiance, Rope Walk Guest House is possibly one of the best budget hotels in Penang!

Rope Walk Guesthouse Bedrooms
Rope Walk Guesthouse Bedrooms – image credits to booking.com

What you’ll like:

  • Free Wi-Fi
  • Daily housekeeping
  • Express check-in and out
  • Laundry service
  • Luggage storage
  • Smoke-free property with designated smoking area
  • The kitchen is equipped with a microwave, toaster, plates, and cups
  • One computer for guests to use at the lounge area

Good to know:

  • 140m from Bee Chin Heong; 290m from Armenian Street; 480m from Khoo Kongsi; 3.5km from Gurney Plaza

6. The Frame Guesthouse


Situated along Jalan Chulia, this refitted three-story budget hotel in Georgetown was previously a frame maker shop.

The Frame Guesthouse
The Frame Guesthouse – image credits to booking.com

Germaphobes will love its unbeatable hygiene with toilets and common areas cleaned several times a day.

Everything is spic and span, with comfy beds, awesome showers, and strong Wi-Fi to boot!

Besides this, there’s a well-equipped pantry with facilities to make toast, hot drinks, free drinking water, and a microwave too!

Stylishly designed with an industrial theme, The Frame Guesthouse features Twin Rooms, Double Rooms, as well as dormitory setups.

Being an old heritage building, however, you’ll hear some creaks with the wood flooring. And footsteps can be heard quite clearly. Although things usually quiet down by 11 pm.

The Frame Guesthouse Bedrooms
The Frame Guesthouse Bedrooms – image credits to booking.com

What you’ll like:

  • Free Wi-Fi
  • Air conditioning
  • Non-smoking rooms
  • CCTV in common areas
  • Attached-bathrooms available for Twin and Double rooms
  • Shared lounge area, shared kitchen, board games/puzzles, and library

Good to know:

  • Bring earplugs to cancel out noise
  • Ample scooters and bicycles for rental down the road
  • Within walking distance to street food
  • Located 200m from The Alley Bar; 400m from Khoo Kongsi and Wonderfood Museum; 800m from Fort Cornwallis; 800m from Prangin Mall

7. Rasa Motel


From RM63 per night, the Rasa Motel offers decent comfort alongside the high-cost strip of Penang’s Batu Ferringhi, all on a budget.

Rasa Motel
Rasa Motel – image credits to booking.com

Its décor and interior may be modest, but Rasa Motel gets full marks for its immaculate hygiene, with comfortable rooms and spotless surfaces.

Buoyed by the owner’s bubbly personality, their warmth and authenticity are their true assets.

If you’re looking to get a good night’s rest along Batu  Ferringhiwith great savings to boot, Rasa Motel is worth checking out.

Rasa Motel Rooms
Rasa Motel Rooms – image credits to booking.com

What you’ll like:

  • Free Wi-Fi
  • Daily housekeeping
  • Family Room and Deluxe Double comes with a television LCD/plasma screen, complimentary instant coffee, mirror, and towels
  • Wheelchair accessible
  • Water sport activities and massages can be booked at the front desk (with additional charges)

Good to know:

  • Good water pressure
  • The blanket is thin so bring along a spare
  • Bring along earplugs
  • Close Batu  Ferringhi Sidewalk Bazaar, Moonlight Bay Beach, Batu  Ferringhi Night Market, and Batu  Ferringhi Beach
  • 240m from a 7-11 convenience store; 620m to the nearest ATM; 950m from Moonlight Bay Beach; 20.3km from the Penang International Airport

8. Tony’s Guesthouse at Teluk Bahang


If you want to experience living in a traditional village amid lush greenery, then Tony’s Guesthouse is top on the list.

Tony's Guesthouse at Teluk Bahang
Tony’s Guesthouse at Teluk Bahang – image credits to booking.com

Located only 1.3km from the Penang national park, nature lovers can indulge in its natural surroundings, with occasional sightings of wildlife.

A popular haven among road bikers, Tony Guesthouse has a designated garage just for the engines too. Plus, there are ample bicycles readily available for guests to ride around at no additional charge.

The owner and host, Tony, is extraordinarily friendly. He also doubles as a chauffeur, picking up and dropping guests to and from bus stops too!

With a free flow of biscuits, free laundry amenities, free coffee, and spaciously clean rooms, Tony’s Guesthouse make a perfect watering hole for rugged travelers.

Tony's Guesthouse at Teluk Bahang Rooms
Tony’s Guesthouse at Teluk Bahang Rooms – image credits to booking.com

What you’ll like:

  • Free Wi-Fi
  • Free laundry service
  • Daily housekeeping
  • Shared lounge and TV area
  • Non-smoking throughout with designated smoking areas
  • Shared kitchen with cooking facilities
  • Bicycles for use at no additional cost
  • BBQ space with utensils
  • For adult guests only

Good to know:

  • In front of the Guesthouse is a mini fruit farm. Depending on the season, guests can savor fresh local fruits such as jackfruit, rambutan, or durian.
  • 1.3km from the Penang National Park, 1km to Sweet Home 2 Chinese Restaurant; 3km to Batu Feringghi Beach; 1.3km to Escape Theme Park; 1.4km to Entopia Butterfly Park; 1.5km to Teluk Bahang Forest Park

9. 100 Cintra Street Guesthouse

From its distinct blue façade to its eclectic interior of exposed brick walls, there’s something fun and quirky about 100 Cintra Street Guesthouse.

100 Cintra Street Guesthouse
100 Cintra Street Guesthouse – image credits to facebook.com

Not to mention the alfresco seating and a covered roof terrace, which is a rare feature among heritage buildings in Penang.

Enjoy the simple, all-you-can-eat breakfast with coffee or tea, then soak in the cool breeze on the top floor.

Best of all, this budget hotel offers all the basic comforts for a fraction of the price. Take heed that rooms are limited though. And since they can be as low as RM36 per night, you’ll have to book early!

There’s also a washing machine available so you can do your own laundry too!

100 Cintra Street Guesthouse Bedrooms
100 Cintra Street Guesthouse Bedrooms – image credits to booking.com

100 Cintra Street Guesthouse is conveniently located to Prangin Mall and Komtar Tower, so getting some local Penang food is just a stroll away.

What you’ll like:

  • Free Wi-Fi (only in public areas)
  • Luggage storage
  • Barbecue facilities
  • Convenience store and gift shop  on site
  • Temporary art galleries
  • Library
  • Games room
  • Street parking
  • CCTV in common areas

Good to know:

  • No-frills budget hotel ideal for backpackers
  • The open garden at the top makes it a great communal area for guests to mingle
  • Soundproofing can be better. Bring along earplugs.
  • Mosquito nets are available in each room


Traveling on a budget doesn’t mean skimping on comfort and amenities, and these best budget hotels in Penang are certainly great places to stay!

Even if it isn’t a 5-star stay, you’ll find yourself recalling the friendly personalities encountered who left indelible memories on your journey.

Besides, there’s never a dull moment in Penang. For more recommendations, check out this extensive list of 27 top things to do in Penang here.

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