We’ve been regularly visiting the Blue Mountains for the last 13 years and it’s still our favourite place in Australia. Over the years we’ve stayed in many different places - all of which are self funded - so you can count on us to give you the honest low down on all the best options.
Whether you’re looking for a luxury, budget, or self catering stay, we have you covered based on our first hand experiences.
Here are the best places to stay in the Blue Mountains for any budget.
The Blue Mountains villages and areas
To make it easier, we’ve split all the accommodation choices by location and put together the pros and cons for each place.
Best area for first time visitors: Katoomba
Most central area: Katoomba
Hidden gem: The Megalong Valley
Best for hikers without a car: Wentworth Falls
The great thing about the Blue Mountains is that the majority of areas aren’t far apart. Even if you don’t have a car, you can catch a train between Wentworth Falls, Katoomba and Blackheath.
The Megalong Valley is a bit further away than the others (you will need a car), but we love this area as so few people choose to visit it.
Katoomba & Leura
Hiking Trails - 5/5
Restaurants - 5/5
Public transport - Yes, it’s on the train line from Sydney
Katoomba and Leura have the lion’s share of hotel options with the most famous tourist sites being in this area. It has a good selection of luxury and budget hotels and guesthouses as well as the best restaurants in the area.
Staying in Katoomba means that you have the Three Sisters, Katoomba Falls, Scenic World and multiple hikes all within walking distance, so you won’t have to bring a car (although if you want to do a lot of exploring that is still recommended). You can simply get the train to Katoomba and then walk or get a short taxi ride to your accommodation.
We’ve picked our favourite stays below, but you can see all your hotel options here.
The downside is that the majority of options are within the town and won’t have that rural feel you’d ideally like in the mountains unless you are staying in the luxury end of the market.
The best places to stay in Katoomba & Leura
Luxury - Lilianfels
Lilianfels is the pick of the bunch when it comes to a luxury stay. It's a historic hotel with lots of old world charm. We've been lucky enough to stay a few times by picking up a good mid week offer and when the price is right it's our favourite place to stay in Katoomba.
The beds are comfy, the showers are good if very old and the toiletries are high end. Walking around the hotel and looking at the old black and white photos of the local area is always a pleasure and there's a gorgeous indoor and outdoor pool.
It’s set just metres away from the Three Sisters so you can’t really beat the location.
It’s also home to a fine-dining restaurant which gets rave reviews. Even if you can’t stay the night treat yourself to a special dinner at Darley’s.
Check the latest Lilianfels prices on:
Historic - The Carrington
I'd wanted to stay at The Carrington for years and finally got to recently, it's one of the oldest hotels in Katoomba and has some lovely art deco features. We stayed in the cheaper wing where although you do get your own bathroom, it's not attached to the room.
You go to the shared ablutions block and then have a key to open your private bathroom which is actually great, it’s just a shame it's not an ensuite - although it does give you that stepping back in time feeling!
The room itself is quite basic and the bed is on the harder side. I think it was fun for the experience but I would personally go for an ensuite room next time which I think is a bit more modern.
I'd say go for the stepping back in time experience, walking down the long carpeted corridors and taking in the history. For the rooms themselves you can find better in the mountains (at least based on our experience in the cheaper rooms anyway).
Check the latest prices for The Carrington on:
Midrange - Fairmont Hotel (M Gallery)
The Fairmont Hotel is a great option for families with lots for the kids to do from the pool, to the giant slide and ice rink. For this reason if you're travelling without kids on a weekend or in the school holidays ask for a quiet room when booking!
The hotel has a tremendous view from the lobby but that charm doesn't really extend to the rooms. They're fine but nothing special, though the beds are comfy and they are very spacious. Bathrooms tend to be a bath over shower but the pressure is good. We stay often but not at peak times when the prices can be high.
There are quite a few walking trails which begin from the hotel itself which is a big drawcard for us.
Opt for a room with a stunning mountain view if you can.
Check prices for Fairmont (M Gallery) on:
Holiday Rental - Hatton Ville Leura
If you're travelling as a group of four this is our top pick of all the self catering accommodations in Leura that we have stayed in. There are two bedrooms, one with an ensuite and one with its own bathroom opposite.
The bedrooms are at opposite ends of the house separated by the living rooms and the kitchen, so there's a lot of privacy.
There are two living rooms, one with a gorgeous fireplace and the kitchen is very well set up for self catering including an oven and dishwasher.
The deco is really lovely and relaxing and the sofas are comfy. It's a short easy walk from Leura town centre and we were all sad to leave when our week was up!
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Airbnb - Leura Hideaway
Leura Hideaway is our favourite Airbnb in Leura if you’re travelling as a two. While it is the bottom floor of the hosts’ house, it's very private and so quiet. The kitchen is gorgeous with a gas cooktop and dishwasher. The bed is comfy and the styling across the whole apartment is so relaxing.
There's greenery to be seen from every window and your own private hot tub in the garden. To be honest this place is usually fully booked, but if you can snag it then you won't be disappointed.
Check the latest prices on:
Budget - The Metropole
The Metropole is a good budget choice in Katoomba. The rooms are cozy, warm and clean with ensuite bathrooms. The hotel has a lot of character in that creaky old fashioned kind of way. It’s the opposite of modern but we actually found it quite fun to stay somewhere a bit different.
We’ve stayed a number of times as it tends to be great value and most of the time it’s quiet, but the sound proofing isn’t the best if you end up with a noisy neighbour (which has only happened to us once!).
It’s very central and walking distance from the restaurants in town as well as the train station. The only drawback is that parking can be limited.
Check prices for the Metropole on:
Budget hostel (with private ensuite rooms as well) - YHA
The YHA was regularly our go-to accommodation when we just wanted a cheap overnight for doing some hiking at the weekend.
You can get a private ensuite room here pretty cheaply and it’s located in the middle of Katoomba. You also have access to a large kitchen and it’s a five minute walk from a supermarket so you can keep the costs down.
It’s exceptionally clean and the showers are great. We’ve also stayed in the private rooms with shared bathrooms which are also spotless.
If bad weather sets in there’s both a movie room and a huge common room with playing cards and a fireplace.
The drawbacks are that the rooms are pretty uninspiring and the beds are smallish for two people, but for a short stop it is a good option. It has dorm beds for backpackers as well.
Check prices for the YHA on:
Wentworth Falls
Hiking Trails - 5/5
Restaurants - 2/5
Public transport - Yes, it’s on the train line from Sydney
Wentworth Falls doesn’t have all of the eateries of either Leura or Katoomba, though it is just a very short drive from both. What it does have is exceptional walks in spades. Even if you’re not a walker the views from the various lookouts are spectacular.
If you want to be in a very quiet area with access to some of the best tracks in the Blue Mountains it’s a great choice.
We’ve picked our favourite stay below, but you can see all your hotel options here.
The best places to stay in Wentworth Falls
Whispering Pines Chalet and Cottages - Apple Blossom Cottage
The Whispering Pines Cottages have rooms as well as cottages scattered around the Wentworth Falls area. We stayed with my parents in Apple Blossom Cottage and found it really cute and cosy. There is a full kitchen so we could self cater and three decent sized bedrooms.
We recommend it for anyone looking for a homely Blue Mountains cottage to stay in.
It is also minutes away from some of our favourite walks in the area, including the Wentworth Pass.
Check prices for Whispering Pines on:
Blackheath
Hiking Trails - 5/5
Restaurants - 4/5
Public transport - Yes, it’s on the train line from Sydney
If you’re looking to hike around the Grose or Megalong Valley, then staying in Blackheath is a great option. It has a couple of great restaurants (we love the ultra cosy Frankie and Mo’s) without being as busy as Katoomba.
We’ve picked our favourite stays below, but you can see all your hotel options here.
The best places to stay in Blackheath
Luxury - Parklands Country Garden & Lodges
Our favourite place to stay in Blackheath is Parklands. We don't do it often as it's a bit of a splurge, but it's one of our favourite places to stay in the mountains.
The rooms are large and overlook the gardens with big comfy beds and a great shower with nice toiletries.
It's very quiet and peaceful and the breakfast is good. It doesn't have a restaurant for dinner though so you have to drive to somewhere in town, but that doesn't really bother us too much.
Of all the higher end properties in this guide, it's probably the best option for price vs experience.
Check the latest prices for Parklands on:
Midrange - Hydro Majestic
The Hydro Majestic is one of the most famous hotels in the Blue Mountains and you couldn’t pick a better location to put a hotel (well aside from the fact it is beside the highway!). Located on the edge of a cliff overlooking the beautiful Jamison Valley, the views from here are stunning.
It has been recently refurbished, but the hotel does get a lot of mixed reviews. Some people love it, others struggle to justify the prices.
We’d say this one is all about the views and we would advise only picking it if you snag a good price. They also offer afternoon tea which friends of ours enjoyed.
Check prices for the Hydro Majestic on:
Midrange: Kyah
This is one of the few properties I am including that we haven't stayed in personally but it's one that I have tried to book a few times and been too late.
From my understanding it's an upgraded motel but done really well with stylish modern decor and a bookable cedar hot tub (it's free to book) and a big reason why I often look up staying here!
There's a popular onsite restaurant too. We have stayed one street nearer to the highway than Kyah before and did get a bit of road noise, so there may be some light noise at Kyah too which is something to consider if you're noise sensitive.
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Budget - Blackheath Motor Inn
Blackheath Motor Inn is one of the best budget options in Blackheath, with nice and cosy rooms at a great price.
Although it is near the road, it is relatively quiet in the rooms (we always ask for a quiet room when booking) and a great option for anyone wanting to explore this part of the Blue Mountains.
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Megalong Valley
Hiking Trails - 2/5
Restaurants - 3/5
Public transport - No
The Megalong Valley is a bit further away from the main sights in the Blue Mountains and it does have a rather windy access road. We’d say this makes it a great choice for those who are looking to relax in the area but not necessarily do loads and loads of activities, unless you don’t mind the extra driving.
Few tourists venture down to the Megalong Valley, so if you think Katoomba and Blackheath are too busy, this is the place for you.
What you get in return are exceptional views in a really rural area and the chance to see lots of local wildlife. We’ve seen kangaroos, wombats, lyrebirds and black cockatoos here. It’s a good idea to have the option to self cater as there aren’t many places to eat nearby, although there is a lovely tea room, winery and very high end restaurant.
It is also one of the best places for a rental or cottage in the Blue Mountains.
We’ve picked our favourite stay below, but you can see all your accommodation options here.
The Megalong Valley tearoom
The best place to stay in the Megalong Valley
Holiday Rental - Foys Folly
This place is a real find. We stayed here when Joe’s parents came to stay for the second time (they fell in love with the mountains too!) It is absolutely stunning, with a large open plan living and dining room with exceptional mountain views. It was the perfect place to celebrate ‘Christmas in July’ and one of our favourite rentals in the Blue Mountains.
There are two bedrooms and two bathrooms (one ensuite with a large stand alone bath). We woke up to the sound of the kookaburras laughing and had breakfast outside watching the eagles swoop around the mountain tops. Of all the self catering options we’ve mentioned, this is our favourite.
Further afield
The Blue Mountains covers a huge area and you can find real wilderness once you go past Blackheath and Katoomba. It will require a bit more effort, but it’s worth the time.
Historic Hotel - Jenolan Caves House
Jenolan Caves is a magical area and a place that has captured the imagination of even the likes of Queen Victoria. The best place to stay if you want to stay overnight - and maybe see a platypus - is the Jenolan Caves House.
This property is historic and has maintained a lot of its charm and character. The rooms are of a traditional style, and while it may not have all the facilities of a luxury hotel, it is a good option for an overnight stay. You can also explore the area once the day trippers leave.
We stayed in a room with a shared bathroom (which was exceptionally clean) and found it was a great option. We peeked into the ensuite rooms and literally the only difference was the bathroom, the sizes were exactly the same and the rooms were twice the price!
As well as being on the doorstep of the famous caves there are plenty of nearby walking tracks. It also has a pretty good restaurant onsite (for dinner, we weren’t fussed about the breakfast).
Check prices for Jenolan Caves House on:
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