Best Areas to Stay in Taipei: 5 Great Neighborhoods & Hotels for First-Timers

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As much as I loved my 2-month trip in Taiwan, finding accommodation (specifically in Taipei) was surprisingly challenging. If you are visiting for a few days, you’ll quickly realize that Taipei’s attractions are spread across different corners of the city. Because of this, finding the best areas to stay in Taipei is crucial for making the most of your trip.

In this guide, I will walk you through the top neighborhoods to consider, what each one is best for, and hand-picked hotel options for all budgets. Having spent 6 weeks exploring every angle of the city, I’m sharing what I’ve learned so you can benefit from our experience.

Where to Stay in Taipei – Our Experience

We were in Okinawa, Japan, when we decided to visit Taiwan next, making us super late booking accommodation in Taipei. Most travelers plan months ahead to secure better deals.

Because we were short on time and knew we’d be staying for a few weeks, we booked a central Airbnb apartment to rest, regroup, and plan our itinerary. It had a full kitchen, washing machine, and incredible hosts.

However, for a shorter trip, you’re better off staying in a hotel for standard amenities. Regardless of where you stay, make sure you are within walking distance of an MRT station to save time getting around, reaching the airport, or taking day trips.

Best Areas to Stay in Taipei & Hotels for Each

Choosing where to stay in Taipei really comes down to what you prefer waking up to. For example, do you prefer an area with coffee shops and local vibes, or an area with shops, street food stalls and neon-lit streets?

Let’s get into the best areas to stay in Taipei one-by-one.

1. Daan District

Best for: Foodies, café hoppers & local vibes

If you want a casual and local feel, Daan District is ideal. You can step out of your hotel room and grab a specialty coffee and breakfast right away and enjoy the relaxed and youthful energy (due to the National Taiwan University).

You’ll also find Daan Park, a peaceful green oasis in the middle of the city. It’s well-connected via the Red and Brown MRT lines and has plenty of good hotels around.

Best Hotels in Daan District

🛏️ K Hotel Taipei Chang-An

An excellent value option with spacious, comfortable rooms, a breakfast buffet, and self-service laundry facilities. It is just a short walk from the MRT (yellow line) and surrounded by convenience stores, supermarkets, and local eateries.

🛏️ MGH Mitsui Garden Hotel Taipei Zhongxiao

This hotel offers a gorgeous Japanese aesthetic right next to the metro station (blue and yellow lines). The absolute highlight is its large, clean public bathhouse (onsen), which is perfect for unwinding after a long day of sightseeing.

🛏️ Miramar Garden

A great-value hotel that is perfect if relaxing amenities are high on your priority list. It stands out for its fantastic facilities, such as the swimming pool, sauna, and baths.

🛏️ Journey Town Inn – Nanjing Branch I

A cozy budget stay with just nine unique rooms and a welcoming host. It’s located just two minutes from Songjiang Nanjing station, putting you right at the crossroads of the green and yellow lines. No breakfast provided.

2. Xinyi (Taipei 101)

Best for: First-timers wanting skyline views & modern luxury

Xinyi is Taipei’s modern financial district and home to the Taipei 101 skyscraper. If you’re visiting for the first time and want wide avenues, luxury shopping, and fine dining, this is the area to pick.

Staying here puts you close to Elephant Mountain (one of the best viewpoints for sunset and city views) and within easy reach of Raohe Night Market.

It’s extremely safe, polished, and walkable. While hotels here are a little pricier, waking up to views of Taipei 101 makes it worth the splurge.

Best Hotels near Taipei 101

🛏️ W Taipei

A trendy high-rise hotel with well-designed rooms for a restful stay, a well-equipped gym, and an amazing outdoor pool and bar. Its location is unbeatable too. It sits directly above the MRT station (blue line) and surrounded by Xinyi’s top shopping malls overlooking Taipei 101.

🛏️ Grand Hyatt Taipei

This is one of the best hotels near Taipei 101! We all know Grand Hyatt hotels and how elegant and luxurious they are so there isn’t much to say except the fact that it offers a direct skybridge connection to the mall (how awesome is this?), making shopping and transit completely effortless.

🛏️ Home Hotel

A boutique stay with cozy rooms and a varied breakfast buffet with both Asian and European options. It is right in the heart of Xinyi so you’ll be steps away from shopping malls, lively nightlife, and quick MRT access (red line).

3. Dadaocheng & Dihua Street

Best for: History lovers, traditional architecture & river sunsets

To experience Taipei’s historic charm over modern skyscrapers, Dadaocheng is a fantastic base. It centers around Dihua Street that has many traditional Chinese medicine shops, tea houses, and local shops selling nuts, dried fruits and herbs.

Nearby, you’ll find Ningxia Night Market, my favourite night market in Taipei, known for its affordable delicious street food.

We booked our first Airbnb here, and it was an amazing introduction to the city. In the evenings, we walked to Dadaocheng Wharf and Yanping Riverside Park to watch the sunset, grab food from the container stalls, and watch the locals do karaoke, dance and exercise.

Best Hotels in Dadaocheng

🛏️ Lore Hotel 院院樂居

A clean, modern, and nicely designed stay with cozy rooms and laundry facilities. It is right next to the MRT (yellow line), Dihua street and street food markets. Rooms are cosy and a little compact due to the area’s older architecture and some street noise may affect you if you’re a light sleeper (depending on the room’s side).

🛏️ The Door Inn

A quiet boutique stay designed with minimalist rooms and a shared kitchen space for extra comfort. It’s a great base to explore the area and with many great eateries around.

🛏️ A couple other affordable options you could check out in the same area: Lumos Inn 拾光行旅, DG Hotel.

4. Ximending

Best for: Nightlife, street food & energy

Just south of Dadaocheng and Dihua street, you’ll find Ximending district – the entertainment heart of Taipei. It is a pedestrian zone full of clothing boutiques, street performers, neon lights, and late-night food stalls.

We spent our last week here after 5 weeks in Dadaocheng to switch up the pace. Ximending felt a lot more lively and was perfect for evening strolls and meeting up with friends we made in Taipei.

It’s ideal for solo travelers, budget seekers, or anyone wanting to be in the center of the action. Since streets stay noisy until late, pick a hotel tucked slightly off the main strip for quiet sleep.

Best Hotels in Ximending

🛏️ Comma Boutique Hotel

This hotel is ideally situated right in the heart of Ximending near night markets and the train station, offering surprisingly quiet rooms with plenty of space for luggage. The staff go above and beyond to accommodate early arrivals or late flights.

🛏️ Just Sleep Ximending

The location of this hotel is unbeatable as it sits directly across from Ximending Night Market and Ximen Station, making food, convenience stores, and transit easily accessible. There is also a common space to hang out, play games and also an on-site coin laundry facility for those needing to wash their clothes.

5. Taipei Main Station

Best for: Easy transit & day trips

Located between Dadaocheng and Ximending, Taipei Main Station is the city’s ultimate transit hub. It connects the Airport MRT line, High-Speed Rail, local trains, and two major MRT lines (Red and Blue).

Staying here means you can hop off the airport train, go straight to your hotel, or head out on day trips to Jiufen, Shifen, or Jiaoxi Hot Springs without complicated transfers.

The main drawback is that this area feels more functional than charming, but it is a 10-15 minute walk from Ximending so you are never far from food and sights.

Best Hotels Near Taipei Main Station

🛏️ CitizenM Taipei North Gate

CitizenM is known for consistent quality and cozy comfort, and it is an excellent value option for solo travelers or couples with room choices that range from compact budget picks to spacious layouts. It is just minutes from Taipei Main Station and the Airport MRT line.

🛏️ Palais de Chine Hotel

This is a beautiful, palace-like building with unique art and moody lighting throughout the hotel and rooms. The location is also amazing, near the main station, malls, and restaurants. It offers breakfast buffet, hallway water dispensers, and some rooms come with VIP lounge access with complimentary snacks and drinks all day.

Final Thoughts – Best Areas to Stay in Taipei

Choosing where to stay in Taipei comes down to the vibe you want to wake up to and what the rest of your itinerary looks like. For example, are you planning on doing a lot of day trips outside of Taipei or are you spending all your time in the capital and want to be close to the action?

Take your time picking the base that fits your travel style, book early if you’re traveling during peak season, and get ready to fall in love with one of Asia’s most underrated cities!