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Japan’s best budget-friendly destinations

Dreaming of cherry blossoms, sushi and Mount Fuji? We look at the ultimate budget-friendly getaways in Japan.

Ah Japan – it’s one of Australia’s favourite destinations. And for good reason, really. There’s cityscapes, snowscapes, beachscapes, cherry blossomscapes, and basically everything in between. Perfect for the traveller who loves a bit of variety, but just how budget-friendly is a trip to Japan?

Is Japan expensive to visit?

If you dream of visiting the Land of the Rising Sun, the biggest costs to factor into your trip to Japan are always going to be food, transportation and accommodation.

Food is the most affordable of the three, with plenty of budget-friendly options available around the country.

Transportation in Japan can be expensive, especially if you’re travelling long-distance. However, the Japan Rail Pass can help with that. Instead of paying nearly $200 for a oneway train ticket from Tokyo to Osaka, you can buy an unlimited Japan Rail Pass for $371 for 7 days, $592 for 14 days or $757 for 21 days.

Finally, accommodation is where your budget will be hit the hardest. On the cheaper end of the scale, you’re looking at $50 a night for a hostel in Kyoto.

Accommodation is the third of the big three travel expenses, and unfortunately, it’s not only the most expensive travel cost in Japan, but also the most unavoidable: There’s no special pass for hostels or guest houses and prices for tourists are higher, if anything. For example, you can expect to pay at least ¥3,500 (or about 35 USD) for a dorm bed in a hostel in Kyoto.

The good news is there are plenty of ways to cut down on your costs – and some destinations are cheaper to visit than others. Here is how you can do it on the cheap.

Kyoto

If you’re looking for a taste of traditional Japan, head to Kyoto. Buddhist temples, ancient wooden houses, zen rock gardens and geisha, all nestled within the confines of the neighbouring mountains.

With a population of 1.4 million people, it’s definitely a bustling place, but still filled with hidden gems that will give you your travel kicks.

What to do

The Arashiyama Bamboo Grove in Kyoto, Japan.
The Arashiyama Bamboo Grove in Kyoto.

1. The Arashiyama Bamboo Grove

The Arashiyama Bamboo Grove is an incredible, must-visit garden situated just outside the city centre. Here towering bamboo stretches endlessly in every direction and travellers really do feel at peace.

Address: Togetsukyo, Saga, Ukyo-ku, Kyoto 616-8383, Kyoto Prefecture

2. Onsens

Onsens are dotted all over Japan, thanks to hot volcanic springs that deliver a steady supply of piping hot water; no trip to the country would be complete without having a soak in one. The city centre Funaoka Onsen on Kuramaguchi-dōri is one of Kyoto’s most celebrated.

Inside you’ll find hot, warm and cold baths, an outdoor rock pool and a cypress-panelled tub. And yes, you will have to abide by tradition and remove all of your clothes.

Address: 82-1 Murasakino Minamifunaokacho, Kita Ward, Kyoto, 603-8225, Japan

Nishiki Market
Nishiki Market is the place to go for your fill of all the Japanese street food you can eat.

3. Nishiki Market

Head to Nishiki Market for your fill of all the Japanese street food you could want. The traditional food market, which you’ll find in a long alley way, has been in operation for over 400 years. Not only can you walk away full, you can also purchase souvenirs, clothes, gifts, and fresh produce, meat and seafood to take back to your accommodation to cook and eat. There are over 100 stalls, shops and restaurants to choose from, so arrive mid-morning and spend a couple of hours browsing the stalls and eating.

Address: 609 Nishidaimonjicho Tominokoji Dori ShijoagaruNakagyo, Kyoto 604-8054, Kyoto Prefecture

Kyoto Imperial Palace
Tour the Imperial Palace in Kyoto.

4. Kyoto Imperial Palace

Once home to the emperor of Japan during the Heian period, the Imperial Palace shouldn’t be missed for it’s sheer scale and tranquil gardens. There is no admission fee, so you can wander until your heart’s content. Take in the architecture, immerse yourself in the history and take in the beauty of the manicured gardens.

Address: 3 Kyoto-Gyoen Kamigyo-kuKamigyo, Kyoto 602-0881, Kyoto Prefecture

Where to stay

Hotel Sunroute Kyoto

The Hotel Sunroute Kyoto is not only great value for money but is located within walking distance from the downtown shopping district of Kawaramachi. Each reasonably-sized room features wi-fi, flat screen televisions and a pull-out sofa. The hotel also has two restaurants and breakfast is available to book. Prices start at $100 a night per room.

Address:  406 Nanba-cho Matsubara-sagaru, Kawaramachi-dori, Shimogyo-ku, Kyoto, Kyoto, 600-8027, Japan

Read more: the ultimate travel guide to Kyoto

Otaru

Though the port town of Otaru is little known to international visitors, it’s a popular destination with Japanese tourists.

A bit off the beaten track, this little town charms travellers with its many local attractions, including several popular museums and a picturesque canal.

What to do

1. Eat all the ice cream

Otaru is known for its unique and delicious ice cream flavours. If there is one ice cream parlour you have to visit, it’s Kita-no Aisukurimu-ya-san. Here you’ll find ice cream flavours you’ve never dreamed of tasting! Think sea urchin, beer, wine, sake, tofu and squid. For those who aren’t feeling quite so brave, you can also choose between a variety of more palatable ice cream flavours, including strawberry milk, fresh caramel, apple pie, white peach and many more.

Address: 1-2-18 IronaiOtaru 047-0031, Hokkaido

2. Otaru Canal

Otaru canal at night, Japan.
Otaru Canal at night is a sight to behold.

Otaru’s canal is a must, where you can wander along at leisure and admire the 19th and 20th century warehouses that line the waterway. The traditional oil lamps still burn each night along the promenade, making a sunset stroll something extra magical. There are canal boats for hire and walking tours for those after something a little more.

Address: MinatomachiOtaru 047-0007, Hokkaido

3. Otaru Museum

While at the Otaru Canal, visit the vibrant Otaru Museum nearby, with displays featuring Hokkaidō’s natural history, Ainu relics and various exhibitions from all over Japan.

Address: 1-3-6 TemiyaOtaru 047-0041, Hokkaido

Where to stay

Smile Hotel

Located close to major local attractions and the main train station, Smile Hotel combines comfort, authentic experiences and amazing value, where two people can stay from just $54 a night.

Address: 3-5-14 Inaho, Otaru, Hokkaido

Kobe

Kobe, located on Osaka Bay in Central Japan.
Kobe at sunset.

Located on Osaka Bay in Central Japan, this multicultural port city is renowned for its beautiful scenery, encompassing a scenic harbour and mountains, earning it a reputation as one of Japan’s most attractive cities.

What to do

1. Rokko cable car ride

Take a ride on the antique cable cars connecting Kobe to Mt. Rokko, which is one of the best ways to enjoy the spectacular panoramic views the port has to offer.

Address: Rokkosancho, Nada-kuKobe 657-0001, Hyogo Prefecture

The Rokko cable car ride
The Rokko cable car ride connects Kobe to Mount Rokko.

2. Arima Onsen

Then if you want to venture beyond the Rokko hills, experience the hot outdoor springs and public baths in Arima Onsen.

Address: Arimacho, Kita-kuKobe 651-1401, Hyogo Prefecture

The Arima Onsen
The Arima Onsen is just beyond Rokko hills.
The Arima Onsen
You’ll experience hot outdoor springs and public baths at Arima Onsen.

3. Eat Kobe marbled beef

The fun doesn’t stop at sundown either with many convivial bars to sample sake at, and a variety of restaurants where you can indulge in one of Japan’s delicacies, marbled beef. One of the best places to try the famous beef is at Wakkoqu. The beef is cooked in front of you as you dine, there are a variety of set menus and you can choose from a number of side dishes to accompany the beef.

Address: 1-1 Kitanocho, Chuo-ku | Shinkobe Oriental Avenue 3FKobe 650-0002, Hyogo Prefecture

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Where to stay

Hotel Villa Fontaine Kobe-Sannomiya

Set among Kobe’s many restaurants, bars and shops is Hotel Villa Fontaine Kobe-Sannomiya, where well-appointed rooms (which come with a complimentary buffet breakfast) cost as little as $150 for two people per night.

Address: 4-1-4 Asahi-Dori, Chuo-ku, Kobe 651-0095, Japan

Hokkaido

For a more active trip, the island of Hokkaido is an idyllic getaway, famed for its snow-covered slopes at Niseko, one of Japan’s best ski resorts.

What to do

1. Hit the slopes

Niseko ski resort in Hokkaido, Japan.
Niseko, one of Japan’s best ski resorts.

2. Hikes and bike trails

If you’re visiting outside of winter months (although there’s snow most of the year); there’s a variety of hikes to tackle, or rent a bike and explore the island’s unspoiled scenery on wheels.

Where to stay

The Lodge Moiwa 834

The Lodge Moiwa 834 ticks all the right boxes with contemporary centrally-located capsule-style accommodation, which won’t break the bank.

A capsule for two costs from $120 per night, and you can purchase discounted ski passes from the hotel.

Address: 447-5 Aza, Niseko 048-1511, Japan

Osaka

Hailed as the food capital of the country, foodies can’t go past a trip to Osaka. It’s also home to Universal Studios, Osaka Castle and Japan’s answer to Times Square – Dotonbori

Osaka's Dotonbori
Take in the bright neon lights of Osaka’s Dotonbori district.

What to do

1. Walk around Dotonbori

Take in the bright neon lights of Dotonbori, window-shop (if you’re on a budget) and stop for dinner at one of the many restaurants on offer to get your fill of ramen, takoyaki balls and all the weird and wonderful Japanese food you can consume.

Address: Dotonbori, Chuo-kuOsaka 542-0076, Osaka Prefecture

Takoyaki Balls
Sample some delicious takoyaki balls while you’re there.

2. Osaka Castle

Not only is it one of the most beautiful landmarks in Japan, Osaka Castle, it’s also free to visit the castle grounds and surrounding Nishinomaru gardens. If you wish to enter the castle and take in the view from the top, you’ll pay 600 yen (children under 15 years are free). The 14th century castle is surrounded by water and moat, and is one of the best places to view the famous cherry blossoms during April. Pack a picnic and spend the afternoon in the gardens with the locals.

Address: 1-1 Osakajo, Chuo Ward, Osaka, 540-0002, Japan

Osaka Castle
Osaka Castle is one of the most beautiful landmarks in Japan.

3. Sumiyoshi Shrine

One of the oldest Shinto shrines in Japan, the Sumiyoshi Shrine, with it’s striking red bridge and peaceful atmosphere is a must-see when in Osaka. Built over 1800 years ago, the shrine is beloved for its ornate architecture that is purely Japanese in design (it was built before the influence of Buddhist architecture).

Address: 2-9-89 Sumiyoshi, Sumiyoshi-kuOsaka 558-0045, Osaka Prefecture

Sumiyoshi Shrine
The Sumiyoshi Shrine is one of the oldest Shinto shrines in Japan.

Where to stay

Hotel Ichiei

For a traditional Ryokan stay with a modern twist, check in at the Hotel Ichiei. Sleep on a rolled out futon atop tatami mats with the added bonus of all the mod-cons you’re used to. Prices start from $189 a night per room.

Address: 1-6-8 Nanbanaka, Naniwa, Osaka 556-0011 Osaka Prefecture

Read more: the ultimate travel guide to Osaka

Want to know more about Japan? Read our ultimate travel guide to Japan.

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These community homestays are changing how travellers experience Nepal

    After youth-led protests in 2025, this year Nepal elected a 35-year-old former rapper as Prime Minister. In a country where tourism is its biggest industry, what’s next for travellers? 

    In 1986, Nepal changed its clock. It had used India Standard Time since 1920 so, to differentiate, it wound its clock 15 minutes ahead of, not behind, its big-brother neighbour. Boss move. “Nepal is strongly opposed to the idea that our identity is connected to India,” says Community Homestay Network (CHN) guide Bikal Khanal.  

    Tharu dance
    Tharu dance is traditionally set to hand drums. (Credit: Kate Lewis)

    Today, Nepal is the only independent country with a 45-minute deviation to universal time; an oddity that’s become a symbol of national pride. The quirk is nearly as endearing as Kathmandu’s Tribhuvan airport where carved varnished wood and shiny red bricks rule. One sign points to a ‘Travelator’ and another to a ‘Grievance Handling Desk’ while visas are noisily stamped at customs for US dollars, cash only. When am I?  

    Nepal gray langur
    Spot the endemic Nepal gray langur. (Credit: Simon Urwin)

    The 15 or 45 minute anomaly sees me tap out completely on timezone calculations. Why bend my brain calculating if it’s quarter to or quarter past elsewhere when I’m in the honking here and now of Kathmandu where the air is high-altitude crisp, the prayer flags flutter and the street dogs howl?  

    How tourism is changing in Nepal

    Bardiya National Park
    Bardiya National Park is rich with wildlife. (Credit: Simon Urwin)

    India is not the only association many Nepalis would like to shake. With eight of the world’s 10 tallest mountains, including Mount Everest and Annapurna, Nepal has long attracted mountaineers and trekkers, and expedition numbers are continuing to rise.  

    Tourism is one of the country’s biggest sources of foreign currency, so this growth is not negative, per se. But according to Ang Tshering Lama, who co-founded Phaplu Mountain Bike Club, being reduced to a mere trekking destination is limiting.  

    “Trekking is just one layer of our identity,” says Ang. “When it becomes the dominant narrative, it limits how we’re seen and how we see ourselves.” Nepal’s recent success, however, in diverting trekkers to less-trafficked areas such as Manaslu mofuntain, where visitor numbers rose by 117 per cent last year, offers hope that tourism can diversify even more radically.   

    Local men in Bhada village
    Local men in Bhada village. (Credit: Simon Urwin)

    The founder of CHN, Shiva Dhakal, wants that change. “The whole idea of the Community Homestay Network is to promote experiences outside of trekking,” he says. “Community tourism changes lives and helps kids stay home instead of coming to the city or migrating to the Middle East.”  

    Ang grew up seeing people leave, “not because they wanted to but because there weren’t enough opportunities to stay”, he states. Yet from remote villages to living traditions; food, art, music and emerging subcultures, “there’s so much that’s not being seen.” 

    CHN is opening some of those doors. It doesn’t own, or fund, any homes. Rather, it promotes homestays to travellers on a single, slick platform, while fostering entrepreneurship in places where women, marginalised castes, Indigenous people and the youth stand to benefit the most.  

    A new generation demanding more

    Dalla Town Hall
    Dalla Town Hall, where volunteers discuss anti-poaching tactics. (Credit: Bheem Thapa)

    The future prospects of next-gen Nepalis can no longer be ignored. On a Kathmandu tour with 33-year-old guide Monica K.C, we pass buildings torched in the September 2025 ‘Gen Z protests’, including the Supreme Court and Parliament House. Seventy-two people died. “They were anti-corruption protests,” says Monica. “Politicians’ children are living a lavish life but the airports are crowded with youngsters leaving to find work.”  

    We stop in ‘little Tibet’ at the wondrous sixth-century Boudha Stupa. “The wheel of life is Buddhism in a nutshell,” says Monica. “Things such as hate, ignorance and anger keep you rotating around the wheel, so you must follow the principles of Buddhism to detach. If you can’t, there’s no nirvana for you.”  

    Boudha Stupa's prayer wheels
    Boudha Stupa’s prayer wheels are used to recite Buddhist prayers. (Credit: Kate Lewis)

    In a sun-drenched twist to the usual temple visit, we ascend the stupa’s sloping plinth and roam its whitewashed dome. Tendrils of diaphanous prayer flags stream from a steeple-like structure where the Buddha’s unblinking eyes stare out. No nirvana for you… 

    bouda stupa prayer flags
    Tibetan-style prayer flags embellish the whitewashed dome of Bouda Stupa, a Buddhist temple. (Credit: Kate Hennessy)

    The dome is delightfully free of guard rails or chiding from security. There is, however, a stern ‘No TikTok’ sign, perhaps in response to the youth’s newly flexed power. The booted-out Prime Minister, K.P. Sharma Oli, was replaced in a resounding election victory in March by 35-year-old Balendra Shah of the Rastriya Swatantra Party (RSP) – a former rapper and mayor of Kathmandu. The RSP’s manifesto indicates tourism is a priority, and that Nepal’s cultural identity in areas such as gastronomy will be strengthened.  

    Boudha Stupa vendors
    Vibrant souvenir shops and cafes around Boudha Stupa. (Credit: Kate Hennessy)

    A more confronting stop awaits at Pashupatinath Temple. Today is Bala Chaturdashi, a Hindu festival where thousands of devotees gather to honour their dead ancestors. Vendors hauling foam mattresses do a lucrative trade as people set up for a night of vigil. This includes burning the bodies of recently deceased relatives on bamboo pyres in the Bagmati River, which flows into the sacred Ganges.  

    A woman at annual Hindu festival Bala Chaturdashi
    A woman at annual Hindu festival Bala Chaturdashi, in Kathmandu. (Credit: Kate Hennessy)

    Wrapped in a shroud, the bodies are positioned with their heads facing north to the Himalayas where Lord Shiva resides. They’re covered with flowers and straw and set alight by male family members.  

    Hours later, the ashes are swept into the river where devotees will take a holy dip the next day. As much as Monica assures us it’s not voyeuristic to watch, I struggle to do so. “Here you see the reality of life because everyone ends up there,” she says, gesturing to the river.  

    Life unfiltered in the Terai region

    tharu woman
    Tharu woman and master weaver Parbati Chaudhary in Bhada Village. (Credit: Bheem Thapa)

    The reality of life needs processing time, which the western Terai region delivers in spades. The Terai is largely separated from India by the Karnali River and Bardiya National Park, where elephants, rhinos and the elusive Bengal tiger roam.  

    Once a nomadic tribe, the Indigenous Tharu people are now the largest ethnic group here. “They didn’t know their daily life was interesting for international travellers but they’re starting to understand now,” says CHN founder Shiva.  

    safari through Bardiya National Park
    Take a Jeep safari through Bardiya National Park. (Credit: Bheem Thapa)

    We fly Buddha Air to Dhangadhi airport and drive five hours to stay in Tharu homes. The journey to Bhada village is a blur of roadside fruit stalls, traffic-stopping sacred cows and fields sown with wheat, rice, mustard, spinach, cauliflower and potatoes. Nepal’s agriculture feeds only Nepal.  

    Marigolds
    Marigolds are an important part of Hindu rituals. (Credit: Simon Urwin)

    “The only thing we export is young people,” says our guide Bikal. As the light dims and we plunge evermore rural, mysterious mounds of compacted hay – some house-sized – loom like the creatures from Where The Wild Things Are. Even our trusty driver gets flummoxed by a dirt road that abruptly ends and we find ourselves hurtling across a paddock.  

    On arrival, some are ferried to mud-walled cottages greened by gourd creepers, with thatched roofs and rustic-chic mosquito nets. Myself and two others are ushered to the home of corner store owner, mechanic and mushroom farmer Man Kumar Chilaruwa and his wife Rajkumari.  

    community homestay entrance
    A warm welcome at a community homestay. (Credit: Simon Urwin)

    They escort us to a bunker-esque back building with steel doors and a folding security gate, behind which is gleaming linoleum, dolphin-printed tiles and a shower cavity that must be gingerly stepped through to reach the toilet.  

    The ceiling lights emit a rainbow of colours (the bathroom light gets stuck in, frankly, a quite frightening red). We’re nevertheless touched that our hosts invested in all this bling when the average salary is around $275 a month.  

    In the coming days, we participate in Tharu traditions such as making moonshine, dancing, weaving straw handicrafts and gold-panning. We’re fed well with staples of rice, mustard greens, lentil pancakes, daal, curried chicken and tomato chutney served on antibacterial saal leaves.  

    food at community homestay
    Dig in. (Credit: Kate Hennessy)

    Sonara community homestay president Indradevi Tharu tells us river snails are often served, and the boiled and pickled flesh of rats hunted in the rice fields. “Perhaps next time?” we say and all have a laugh.  

    The power of community homestays 

    community homestay owners in Nepal
    Barda community homestay owners Parbati Chaudhary and Ram Krishni Devi Chaudhary. (Credit: Simon Urwin)

    Immersing Western visitors in foreign cultural practices is not new. But with the Tharu, I never get that uneasy sensation that I’m being performed for. Despite being the only tourists, there’s no ‘othering’; just warm, composed and ultra-dignified welcomes. Like we’ve always been here.  

    “I love to have travellers in my village so I can see the world,” says local woman Parbati Chaudhary. “Why would I travel the world when the world comes to me?” 

    The graceful acceptance the Tharu offer, as well as the slow pace, works miracles on my frazzled nervous system. One day I even take a nap on a vacant homestay bed. 

    Sonara community room
    An authentic stay in the Sonara community. (Credit: Kate Hennessy)

    Roosters strut and goats bray as we sit on the ground in al fresco kitchens, rolling rice flour into cylinders steamed to make dhikri (dumplings). When water is needed, we fetch it using a hand-operated pump as a family of ducks strolls by, side-eying us like curious neighbours.  

    Animal lovers will delight in Tharu villages. Kind and resourceful inventions are everywhere, such as snacking stations where two posts lean together, with leafy boughs dangling on rope for baby goats to forage from.  

    CHN’s CEO, Aayusha Prasain, nods knowingly when one in our group says she cried when she left her host, Shayam Chaudhary, in Bhada. Shayam’s 17-year-old son, Prashant, had translated, which deepened the connection.  

    “Community tourism turns travel into a relationship, not a transaction,” says Aayusha. “It places decision-making power in the hands of local communities, especially women and youth.” Since 2018, CHN has hosted more than 4000 travellers from 52 countries in 408 households, and estimates women’s participation has increased by 381 per cent.  

    Elephant watch
    Elephant watch. (Credit: Simon Urwin)

    In the Bardiya community, where vexing human-animal conflict has been a balancing act for decades due to elephants raiding crops, long-time homestay operator Salik Ram Chaudhary says young people keep the older ones on their toes.  

    Gathering greens
    Gathering greens. (Credit: Bheem Thapa)

    “We can’t keep homestays stagnant,” he says. “We have to upgrade our service and redefine our product or young people won’t see it as an attractive business. If we can keep evolving with this travelling trend we’re confident the youths will stay and continue it.” 

    Back in Kathmandu, Monica explains that after the deaths of young protestors in September, a determination had spread to not let their sacrifice be in vain. “We want to keep holding the government accountable,” she says. “We don’t know what situation we’re facing, but we’re ready to face it.”  

    Interested in Nepal but prefer to experience it in total comfort? Read our guide to luxury travel in Nepal

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