How to travel to Madrid on a budget and still have a great time
With inflation recently hitting an all-time high, many people are eager to save on everything from food shopping to gas and travel.
Traveling on a budget often means picking the right destination and, with the dollar still slightly stronger than the euro, visiting an affordable European spot is a surprisingly budget-friendly solution to rising travel costs.
One of Europe's more affordable capital cities is Madrid, a destination with plenty to do, see, drink and eat that won't break the bank.
Here's how to visit Madrid on a budget.
The Madrid skyline. TANATAT PONGPHIBOOL THAILAND
Getting there
In many instances, it's easy to find affordable airfare between the U.S. and Madrid, and you can also leverage low-cost carriers such as Ryanair, Easyjet and Iberia from other major cities around Europe if you find a better deal to another international hub. Just be sure to factor in add-ons like baggage, seat selection and other extras.
We routinely see airfare deals to Spain from the U.S. for under $400 round trip. Be sure to check TPG for our daily deal alerts.
Related: The cheapest ways to book a trip to Spain with points and miles
Accommodation
From new luxury properties to budget hostels and everything in between, Madrid has a wide selection when it comes to accommodation, with options at all price points. Here are some of the best for travelers hoping to stay comfortably without overspending.
Best value points hotels
Madrid offers numerous options when it comes to redeeming points, from the classic fan-favorite Westin Palace Madrid to the reliable InterContinental Madrid. But if you're looking to conserve those points or stay for longer, here are some of the best options in the Spanish capital.
- AC Avenida de América: Though slightly outside the historic center, this property is clean, comfortable and best for those who want to experience a more local side of Madrid while still having easy access to the main tourist sites and Barrio Salamanca shopping via a quick taxi or metro ride. Rates start at 20,000 Bonvoy points or under $100 per night.
The Jardín de Diana, the rooftop of the Hyatt Centric Madrid. HYATT CENTRIC GRAN VIA MADRID
- Hyatt Centric Gran Via Madrid: This regal property boasts a gorgeous rooftop garden, restaurant and bar, and is located on Madrid's famous Gran Vía Street. Rates start at 20,000 Hyatt points or about $200 per night.
Best cash value hotels
Don't have a stash of points? Don't worry. These hotels offer prime locations, excellent service and unbeatable value.
- H10 Puerta de Alcalá: Located a stone's throw away from Madrid's most beloved green space, this hotel offers chic rooms and a rooftop overlooking the park. Rates can be found from about $95 per night.
- Hotel Puerta Ámerica: With funky room decor, glass elevators and a Sky Bar, this hotel offers a trendy stay for a budget price. Deals can be found around $100 per night.
Boutique hostels
Hostels aren't just for backpackers. Many hostels, or pensioners, in Madrid offer private rooms and bathrooms at affordable prices. If you're on a tight budget, want to make new friends or just want something a little different, consider a hostel.
The Generator Madrid: This design-driven hostel has a fun rooftop deck; the unique space was actually a former gas station. Private rooms start around $60 per night, while shared bunk rooms run as low as $25 per night.
The rooftop of The Hat Madrid. THE HAT MADRID
The Hat Madrid: A short walk from Madrid's Plaza Mayor, this hostel has chic, clean rooms and an inviting solarium and rooftop deck. Private doubles start at $70 per night, while a bunk in a shared room can be reserved for under $20.
Related: Why you might be happier staying at a budget hotel
Vacation rentals
It's easy to find holiday rentals from studio lofts to four-bedroom apartments in Madrid's city center. Prices usually range from about $60 to under $200 per night for the average private apartment rental, depending on amenities and size. Airbnb is the best resource for finding vacation rentals in Madrid.
Best times to visit Madrid
When it comes to finding the lowest rates on hotels and activities, winter is your best bet (outside of Christmas). Just know it does get cold and occasionally rainy during this season in Madrid.
Sometimes you can find accommodation deals, especially on vacation rentals, in August, when most locals flee the city for the seaside or mountains during the extreme heat. Just make sure to spend a little extra on lodging with air conditioning.
Madrid in May offers beautiful weather and prices may still be low. SEANPAVONEPHOTO/GETTY IMAGES
If it's the best weather you're after, visit Madrid in May and October, where temperatures are pleasant under sunny skies, and prices aren't quite as high as they may be in June, July or September. Madrid features some exciting festivals in May, such as its San Isidro celebrations, which make for unique cultural and gastronomy experiences.
Getting around Madrid on a budget
It's easy to get around Madrid's city center on foot, and the metro and bus are both affordable options, especially right now. The 10-pass metro and bus ticket is about 12 euros, or roughly $12. There's currently a 30% discount available through the end of December, though the government may extend the promotion.
The Gran Vía metro entrance in Madrid. F.J. JIMENEZ/GETTY IMAGES
Tourist metro passes are valid for unlimited travel between one and seven days of purchase (prices depend on the length of validity). Although this pass isn't currently discounted, it does include metro trips to the airport (airport metro tickets otherwise have a small supplemental cost when purchased on their own).
It's also easy and affordable to get between Madrid's Barajas Airport (MAD) and the city center — it's only a 20-minute drive or so. You can take the metro or the Bus 200 to Avenida Ámerica, both of which are included in metro tourist tickets. There's also a special, 24-hour airport bus that runs between the airport and O'Donnell, Cibeles and Atocha that costs 5 euros (about $5) each way.
Related: Every tourist in Madrid makes the same 12 mistakes
You can take the RENFE trains from Terminal 4 from the airport to the city center, or taxis cost a flat rate of 30 euros (about $30) from the airport to anywhere in the city. Rideshare services such as Cabify and Uber usually cost even less.
What to do in Madrid on a budget
Parks
Madrid is home to many green spaces, such as the Retiro Park, Casa de Campo, El Capricho, Fuente de Berro, Madrid Río and Templo De Bod. Entrance is free to all of these parks. However, if you want to rent a paddle boat in Retiro or take the funicular over Casa de Campo, you'll have to pay extra.
The lake in the Retiro Park in autumn. NOPPASIN WONGCHUM/GETTY IMAGES
Walk the city
It's easy to take a self-walking tour around Madrid's city center, and you can admire many of its attractions from the outside for free. This walk is extensive and can be completed all in one day or over a few days, depending on your energy levels and length of your holiday.
Start in the Puerta Del Sol, checking out the Tio Pepe sign and Kilometer 0, which is said to be the exact geographical center of Spain. Then, wander down to the Plaza Mayor to marvel at the hundreds of balconies that face the center of the square.
The Plaza Mayor. SYLVAIN SONNET/GETTY IMAGES
Continue down to the San Miguel Market (snacks cost extra!) and along Calle Mayor until you get to the Almudena Cathedral and the Royal Palace, which you can enjoy for free from the outside. Then, walk through the Sabatini Gardens and along the newly constructed walkway to stroll through the freshly re-designed Plaza España square.
Keep going up Gran Vía, a busy street home to shops, theatres and restaurants. When you get to the end, turn left on Calle Álcala (but first look right to catch sight of the towering Metropolis Building) and walk up through Cibeles Square to see the fountain and palace, then to the Puerta de Álcala (one of the former entrances to the Madrid) and into the Retiro Park.
Free times for museums
Many museums in Madrid offer free entrance times. These can be an entire day or just a few hours a week (typically in the afternoon) where you won't have to pay to enter. Make sure to get there early, as these times can be crowded and you may have to queue up.
El Rastro market
Madrid's famous flea market occurs weekly on Sundays. Looking and strolling is free for everyone, though you'll have to pay if you want to buy something. This market can get very crowded, so go early. It's best to leave valuables and lots of cash at home, as pickpockets notoriously work the crowds here.
Tips and tricks for visiting Madrid on a budget
Menu del día
Many restaurants offer a set lunch menu on weekdays, which includes a choice of starter, main course, dessert or coffee and a drink (such as beer, wine, water or soda) for a fixed price, usually under $20. These are delicious and a great value.
Student, senior and teacher discounts
Museums and other attractions may offer student, teacher or senior discounts. Double-check what type of identification is required to access these cheaper rates.
Palacio Real in Madrid. JORG GREUEL/GETTY IMAGES
Free tapas
The more local the bar, the more likely you'll get a free tapa when you order a drink. And the farther you get from the main historic city center, the higher chance you'll have of getting a small complimentary plate of food with your drink order.
Bottom Line
Cost-of-living headlines might seem scary, but it's not impossible to save money while traveling and maximizing the value you're getting from your holidays. Certain destinations in Europe still offer great value for money if you know where to look — Madrid is just one of these destinations and is a great place to visit on a budget.
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Intro offer
Annual Fee
Recommended Credit
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits.Pros
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- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
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- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.
Rewards Rate
| 4X | Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 4X | Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year. |
| 3X | Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com. |
| 2X | Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com. |
| 1X | Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases. |
Intro Offer
You may be eligible for as high as 100,000 Membership Rewards® Points after spending $6,000 in eligible purchases on your new Card in your first 6 months of Membership. Welcome offers vary and you may not be eligible for an offer.As High As 100,000 points. Find Out Your Offer.Annual Fee
$325Recommended Credit
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.Excellent to Good
Why We Chose It
There’s a lot to love about the Amex Gold. It’s a fan favorite thanks to its fantastic bonus-earning rates at restaurants worldwide and at U.S. supermarkets. If you’re hitting the skies soon, you’ll also earn bonus Membership Rewards points on travel. Paired with up to $120 in Uber Cash annually (for U.S. Uber rides or Uber Eats orders, card must be added to Uber app and you can redeem with any Amex card), up to $120 in annual dining statement credits to be used with eligible partners, an up to $84 Dunkin’ credit each year at U.S. Dunkin Donuts and an up to $100 Resy credit annually, there’s no reason that foodies shouldn’t add the Amex Gold to their wallet. These benefits alone are worth more than $400, which offsets the $325 annual fee on the Amex Gold card. Enrollment is required for select benefits.Pros
- 4 points per dollar spent on dining at restaurants worldwide and U.S. supermarkets (on the first $50,000 in purchases per calendar year; then 1 point per dollar spent thereafter and $25,000 in purchases per calendar year; then 1 point per dollar spent thereafter, respectively)
- 3 points per dollar spent on flights booked directly with the airline or with amextravel.com
- Packed with credits foodies will enjoy
- Solid welcome bonus
Cons
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber and other dining credits
- You may be eligible for as high as 100,000 Membership Rewards® Points after you spend $6,000 in eligible purchases on your new Card in your first 6 months of Card Membership. Welcome offers vary and you may not be eligible for an offer. Apply to know if you’re approved and find out your exact welcome offer amount – all with no credit score impact. If you’re approved and choose to accept the Card, your score may be impacted.
- Earn 4X Membership Rewards® points per dollar spent on purchases at restaurants worldwide, on up to $50,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 4X Membership Rewards® points per dollar spent at US supermarkets, on up to $25,000 in purchases per calendar year, then 1X points for the rest of the year.
- Earn 3X Membership Rewards® points per dollar spent on flights booked directly with airlines or on AmexTravel.com.
- Earn 2X Membership Rewards® points per dollar spent on prepaid hotels and other eligible purchases booked on AmexTravel.com.
- Earn 1X Membership Rewards® point per dollar spent on all other eligible purchases.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and get $10 in Uber Cash each month to use on orders and rides in the U.S. when you select an American Express Card for your transaction. That’s up to $120 Uber Cash annually. Plus, after using your Uber Cash, use your Card to earn 4X Membership Rewards® points for Uber Eats purchases made with restaurants or U.S. supermarkets. Point caps and terms apply.
- $84 Dunkin' Credit: With the $84 Dunkin' Credit, you can earn up to $7 in monthly statement credits after you enroll and pay with the American Express® Gold Card at U.S. Dunkin' locations. Enrollment is required to receive this benefit.
- $100 Resy Credit: Get up to $100 in statement credits each calendar year after you pay with the American Express® Gold Card to dine at U.S. Resy restaurants or make other eligible Resy purchases. That's up to $50 in statement credits semi-annually. Enrollment required.
- $120 Dining Credit: Satisfy your cravings, sweet or savory, with the $120 Dining Credit. Earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, and Five Guys. Enrollment required.
- Explore over 1,000 upscale hotels worldwide with The Hotel Collection and receive a $100 credit towards eligible charges* with every booking of two nights or more through AmexTravel.com. *Eligible charges vary by property.
- No Foreign Transaction Fees.
- Annual Fee is $325.
- Terms Apply.