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Where to stay in Jerusalem? The best districts to stay in

Looking for the best areas to stay in Jerusalem ? ?

Follow the guide, I’ve tested, listed and detailed for you the best places to stay in Jerusalem and the best accommodation in this rich city.

I’ve scoured hundreds of hotel listings to find you the best for each price range and I only recommend the top rated hotels that I would choose myself!

There are tons of things to see in Jerusalem and if it can be hard to choose a hotel, choosing a neighbourhood can be even harder. Am I right? That’s why I’m going to help you find the best places to stay, whether they’re bustling urban spots or ancient neighbourhoods. I’ve put together a list of hotels for every type of traveller!

⏰ Don’t have time to read everything?

Here are the best areas to stay in Jerusalem, with hotels ranging from upmarket to budget. They all have excellent reviews and are very well located!

Note: These hotels are among the most popular, so don’t delay in booking. What’s more, they offer a free cancellation policy, so don’t worry if you change your mind

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Where to sleep in Jerusalem for the first time: The Old City

Looking for the best area to stay in Jerusalem for your first visit? A paradise for any history buff, this popular neighbourhood is home to some of the world’s most important attractions. If you’re travelling here for the first time, I highly recommend staying here. You’ll find all the great monuments and discover some of Jerusalem’s oldest hidden gems, not to mention all the great places to stay. If I were you, I’d book the hotels in advance, as the district is very popular with travellers!

Jerusalem’s Old City is divided into four districts for each religion: Muslim, Jewish, Armenian and Christian. You can find good hotels in each of these quarters. Take your time to explore all the ancient sites, such as the Dome of the Rock, an iconic 7th-century building that will grab your attention in an instant with its beautiful floral motifs.

It’s no surprise that the Old City has been recognised as a UNESCO World Heritage Site, with attractions including the iconic Western Wall (Wailing Wall), which is the last remaining piece of Jerusalem Israel’s famous Jewish temple.

It’s like travelling in a time capsule when you visit the Old City! The unique architecture and atmosphere will make you fall in love with this holy place and make you want to stay in one of the hotels for a while. The Church of the Holy Sepulchre, located just a few minutes from the Dome of the Rock, is another amazing attraction that you must visit. The inhabitants of Jerusalem Israel believe that this is where Jesus was crucified and buried!

Upmarket hotel

Old City Boutique: This is the perfect place to stay in Jerusalem! This luxury boutique hotel has an elegant, chic design and is located in an old building, giving you an authentic Israeli experience. I love the terrace, I can already see myself having a coffee and admiring the view! See price and availability.

Best value for money

Hotel Gloria: A comfortable and unique hotel with spacious rooms, free wifi and free parking. See price and availability.

Cheap hotels in Jerusalem

Hotel Hashimi : A 425-year-old building with magnificent views of the city and elegant family rooms. See price and availability.

Flat in the Old City

Modern flat: An economical, modern and simple flat with most facilities, including a kitchen. See price and availability.

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What to see and do in the old town

  • Visit the Church of the Holy Sepulchre and the Dome of the Rock.
  • Walk around the Western Wall (also known as the Wailing Wall).
  • Visit the Tower of David
  • Discover the architecture of the Crusaders at the Church of Saint Anne.
  • Walk beneath the city in Zedekiah’s cave.
  • Visit the Burnt House Museum in the Old City.
  • Visit the souvenir shop at the Temple Institute Museum

Where to stay in Jerusalem with your family: The German Colony

If you’re looking for the best place to stay with your family and children, this residential area in the south of Jerusalem was once home to the German Templars. It’s a great place to stay in Jerusalem if you’re bringing the whole family, as there are tons of parks to explore and great hotels! Liberty Park is one of them and is very popular with the locals, it even has a children’s theatre.

Another great thing about this cool, trendy area is that you’ll find plenty of restaurants and shops within walking distance, so the kids can have fun while the parents shop.

Even if you choose to stay in the German Colony, you can walk to the Old Town. It will take you 30 minutes to get there and visit the historic sites! However, the district itself also boasts many beautiful buildings in Ottoman, Templar and Bauhaus styles.

Get out your phone and take a photo to post on Instagram! If you want to discover all the incredible attractions in Jerusalem, check out this post with 11 things you can’t miss in this magical city.

Top-of-the-range hotel

Orient : This luxury hotel in Jerusalem has a spa and wellness centre, which will do wonders for you after a whole day of walking and shopping! The terrace lounges are so comfortable, have a glass of wine, relax and admire the breathtaking views of Jerusalem! The hotel also has elegant and spacious family rooms. See price and availability.

Best value for money

Villa Ba’Moshava: A colourful villa in a historic building with a garden and free Wi-Fi. See price and availability.


Colony Suites: A well-equipped flat with free wifi and family rooms. See price and availability.


Elegant Studio An ideal place to stay with large windows and a spacious kitchen. See price and availability.

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What to do and see in the German colony?

  • See a cool exhibition at the Museum of Islamic Art
  • Learn about religious histories at the Bethesda Archaeological Museum.
  • Take your family to Liberty Bell Park in the German Colony.
  • Stroll around the archaeological site of Herod’s palace in Jerusalem.
  • Have some family fun at the Natural History Museum.
  • Take a relaxing walk in the Peace Forest
  • Have a picnic in the Moon Grove garden in the German colony.
  • Stroll through the Old Town and admire the city walls.
  • Visit the Israel Museum and then dine in one of the restaurants.

Where to stay in Jerusalem to be in the heart of the city

If you’re looking for a more modern atmosphere, I suggest this neighbourhood. Just a 20-minute walk from the Old City, in the western part of the city, you’ll find some of Jerusalem’s best hotels and restaurants, as well as plenty of shopping outlets in the city centre.

If you’ve already made a list of all the places and hotels you want to visit, don’t hesitate to add Zion Square to it. Located in the city centre, you’ll probably come here more than once, as it has everything a tourist needs on holiday! Food, high-end boutiques, unique architecture, it’s all here!

King David Street, one of the most expensive streets in Israel, runs through the city centre and will be your favourite place if you love luxury, shopping and fancy restaurants!


Stay Inn Hotel

This luxury hotel in Jerusalem is perfect for holiday Instagram photos. A great place to stay in Israel, very modern and with a cool bar where you can have a drink or two after a busy day of shopping and visiting museums! Be sure to have breakfast on the terrace. It’s the best!


My view of Jerusalem

Enjoy the best sights in this spacious flat in Jerusalem that has a terrace and free Wi-Fi.


Capsule Space

A great place to stay in downtown Jerusalem, a capsule hotel that has a cool design and kitchen.


Cozy Apartment

A charming budget flat located in a 1917 building, with a small balcony offering a great view.

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What to do in the city centre

  • Shop for souvenirs on Ben Yehuda Street and visit Zion Square.
  • Learn something new at the Hebrew Music Museum in the city centre
  • Spend a fun day at the Moonshine Escape Room.
  • Discover the history of the Jewish people at the FOZ Museum.
  • Shop in King David Street and explore City Centre by night.
  • Have a drink in the friendly Dublin Irish Pub in the city centre and enjoy the nightlife in Israel.
  • Take a day trip to the German Colony area.

Where to stay in Jerusalem if you love art?

Although it’s a small neighbourhood, it’s well known among locals for the social demonstrations that took place there in the 1970s. Situated between the old town and the city centre, it is now a more peaceful area full of artists, popular art galleries and beautiful hotels. If you’re an art lover looking for a place to stay in Jerusalem, Musrara is the place for you!

Note: In 3000 years, Jerusalem, Israel, has been destroyed twice, attacked 52 times, captured and reconquered 44 times! You’re talking about rebuilding an entire city! The people of Israel have survived some very difficult ordeals.

The streets are full of art galleries in old historic buildings, and there’s an exhibition or workshop almost every day! This is a more residential area, so you’ll find some very nice budget hotels near the area and Airbnbs! Musrara is a great area to stay, even though it’s small, you should book in advance to get the best deals!

Top-of-the-range hotel

Herbert Samuel: This luxurious boutique hotel is one of the best places to stay in Musrara, and the rooms are very stylish and spacious. Take a whole day to try out the spa and sauna, or head to the bar for a delicious cocktail!


Sergei Palace

One of the best places to stay, with an indoor garden, restaurant and bar.


Ibis: A modern budget hotel with a delicious breakfast and family rooms.


Studio privé : A comfortable and economical studio, perfect for couples, with a garden and free wifi.

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What to do in Musrara

  • Visit the Underground Prisoners Museum
  • Learn something new at Og’s Finger
  • Take a stroll around the Holy Trinity Cathedral.
  • Take a day trip to the German Colony Quarter.
  • Discover unique works of art at the Musrara Mix Festival.
  • Meet the students and admire their work at the Musrara Art School.
  • Visit the Muslala Cultural Centre
  • Eat delicious food at the friendly Mahane Yehuda (also known as Shuk) market nearby.
  • Take a photo of the beautiful architecture around every corner.

Where to stay in Jerusalem for peace and quiet?

This neighbourhood encompasses the area to the north and east of the Old City and is well known for the famous Mount of Olives, which is the oldest surviving cemetery in the world. If your accommodation is close to Damascus or Herod’s Gate, you can easily visit the Old City even if you choose to stay in a hotel in this area.

East Jerusalem is a predominantly Muslim area, and is considered by many to be the capital of Palestine. This area of Israel is very famous for the historic site of the City of David, which attracts tourists most of the time.

Although you won’t find a lively nightlife or tons of high-end shops here, you can eat delicious local food in the restaurants or take a day trip to climb Mount Olive and admire the magnificent panoramic views of the city! There are also many holy and religious sites that you can visit or perhaps walk 1.5 km to the Old City to see the Jaffa Gate, the city walls and the Holy Sepulchre.

In this part of Jerusalem Israel, you can find some nice places to stay and most of them are more than reasonably priced!

Top-of-the-range hotels

The American Colony Hotel: Stay in Jerusalem in this corner of paradise with a beautiful terrace overlooking the garden where you can enjoy breakfast and coffee in the morning! At the American Colony Hotel Jerusalem, the rooms are very elegant, spacious and have a balcony. Get ready to relax by the pool with a cocktail in hand and treat yourself to a day at the spa!


Pilgrim Guesthouse: A comfortable hostel in Jerusalem with a traditional design that has a bar and family rooms.

Budget hotel

Studio simple : A private budget flat with a beautiful view from the balcony and a kitchen.


Spacious flat : A spacious budget flat in Jerusalem with a patio and free parking.

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What to do in this neighbourhood

  • Climb the Mount of Olives
  • Get lost in the streets around the Church of the Pater Noster
  • Visit the historic site – the City of David
  • Discover contemporary socio-political art at the Museum on the Seam.
  • Visit the tomb of the Virgin Mary
  • Take a walk through the Valley of Jehoshaphat
  • Discover the amazing Church of All Nations
  • Take a day trip to the Old City and the Jaffa Gate.
  • Learn new things about Palestine at the Rockefeller Archaeological Museum.

Conclusion on the best areas to stay in Jerusalem

Well, that’s it for me! I’ll be waiting for everyone’s comments to see how much fun they had here! I hope this list of the best budget hotels and Airbnbs helps you pick an option quickly and book it in advance so you don’t miss out on your favourite!

If you’re still thinking about where to stay in Jerusalem Israel, just keep in mind that it’s a safe city despite popular belief due to its location in a tumultuous region. The crime rate is very low compared to other European countries.

If you’re a little indecisive, let’s face it, we all are when planning a trip. Here are my top two picks for hotels in Jerusalem, both in the Old City.

  • Old City Boutique – one of the best hotels in Jerusalem, located in an old building.
  • Hotel Gloria – traditional design and beautiful terrace.

Be sure to explore all the ancient religious sites and stroll through all the streets of Jerusalem’s Old City. Enjoy the experience, and don’t forget to stop at the Mahane Yehuda market for a delicious meal!

And let us know in the comments if you have any other hotels to recommend. In the meantime, enjoy your trip!

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