Dresden is a city of two banks. The Elbe runs through the middle of it, and the historic core on the south bank — the Innere Altstadt with the Frauenkirche, the Zwinger, the Semperoper and the castle — sits within a very small, walkable area. Across the river, the Neustadt has a different character entirely, and the city spreads out into large outer districts that are far less convenient for a short visit.
For a visitor, the practical question is which bank to base yourself on and how close to the centre you want to be. Dresden is a very large city by area, but most of the sights are concentrated in a compact centre on both banks of the Elbe. Basing yourself outside that centre can leave you a long way from the points of interest with little to do nearby. This guide covers the areas worth considering, what each suits, and what to expect at different price levels.
Best areas to stay in Dresden
1. Innere Altstadt (the old town, south bank)
This is the historic core, the area around the Frauenkirche at the Neumarkt and the surrounding baroque and rococo centre. It is where the city's most prominent landmarks stand, including the Zwinger, the Semperoper and Dresden Castle, and where the state art collections are found. It suits first-time visitors above all, and anyone who wants the sights on the doorstep.
The most luxurious accommodation in Dresden is mostly within this area, offering views over and close to the historic landmarks, and you will pay accordingly to stay here. Cheaper hotels exist at lower prices not much farther away, so it is worth comparing before committing to the old town itself.
2. Neustadt (north bank)
The district across the Elbe from the old town, with its own train station, the Dresden Neustadt station. It has a strong hostel presence, including properties within a few minutes' walk of that station, and mid-range hotels as well, one of them beside the Japanese Palace on the Palaisplatz. It suits budget travellers and those who want a base with rail connections.
From the Neustadt you face a longer walk or a tram ride to the Altstadt, but the location is more convenient in terms of rail travel, with the Neustadt station only a short walk away. Note that the northern part of the district is a further walk from the station area.
3. Around the Hauptbahnhof and Prager Straße (south of the old town)
The main train station and the Prager Straße corridor just south of the historic centre. This is where you find a dense cluster of mid-range hotels, including properties facing the Hauptbahnhof directly and others on or near Prager Straße, some offering studios and apartments for larger parties. It suits travellers arriving by train and anyone who wants an easy walk into the old town.
This area is close to the historic centre while generally costing less than the Innere Altstadt itself. It is the most straightforward compromise between convenience and price.
4. The quiet quarter near the Hauptbahnhof (Swiss Quarter)
A quieter residential pocket roughly 900 m from the Hauptbahnhof, named in the sources as the Swiss Quarter. It is home to at least one hostel and suits travellers who want calm and a walkable distance to the station and centre rather than street-level bustle.
5. The outskirts and outer districts
Dresden's outer areas include riverside locations on the Elbe, a southern district named Reick, a southeastern suburban district named Laubegast halfway between Loschwitz and Pillnitz on the eastern bank, and areas on the southeastern edge. There are hotels and holiday apartments out here, including self-catering apartments suitable for small families with parking.
These suit travellers with a car, those staying longer, or anyone visiting friends and family. Be aware that if you base yourself outside the centre you may find yourself far away from points of interest and with very little to do in the area, and some outer hotels are a considerable distance from most points of interest.
Where to stay on a budget, mid-range or splurge
- Budget: youth hostels, budget chain hotels and one self-catering apartment option. Hostels are concentrated in the Neustadt and near the Hauptbahnhof; the budget chain property sits inside a shopping centre in the city centre. If you stay at an IYHF hostel and are not a member of DJH or your own country's youth hostel association, you need a welcome stamp for each night.
- Mid-range: a broad choice of chain and independent hotels, mostly in the Altstadt, on and around Prager Straße and near the Hauptbahnhof, with a few in the Neustadt and in outer districts. Room types range from standard doubles to studios and apartments for three or four people.
- Splurge: the most luxurious accommodation is mostly within the Innere Altstadt, offering views over and close to the historic landmarks, with a choice between modern design and faux historic charm. Expect to pay top dollar to stay in the old town.
Best area for a first visit
Stay in the Innere Altstadt. The Frauenkirche, the Zwinger, the Semperoper, the castle and the state art collections are all within a very small distance of each other here, so a first visit costs you almost no time in transit. It is also where the most luxurious accommodation is concentrated, so if you want a cheaper base, look just outside it — the sections above list lower-priced hotels not much farther away.
Frequently asked questions
Is there a lodging tax in Dresden?
Yes. Dresden charges a lodging tax (Beherbergungssteuer) that anyone offering accommodation has to collect from guests. It depends on the cost of the room and is charged per night, and it is often not listed on booking websites. Some groups are exempt, including minors; travellers on a business trip are no longer exempt.
Should I stay in the old town or the Neustadt?
The old town puts the historic sights within a very small distance and is where the most luxurious accommodation is found. The Neustadt gives you a longer walk or a tram ride to the Altstadt but a more convenient location for rail travel, since the Neustadt station is only a short walk away.
Is it worth staying outside the centre to save money?
Be careful. Dresden is a very large city by area, and if you base yourself outside the centre you may find yourself far away from points of interest with very little to do in the area. Cheaper hotels just outside the old town are often a better compromise.
When is the best time to find good offers?
Competition among accommodation providers is fierce because of slight overcapacity, so it pays to research well for good offers even at normally expensive hotels, especially off-season.
Compare live prices for your dates with the booking tools on this page before you decide.