The Rise of Social and Affordable Stays: India’s Youth Embrace Hostels and Homestays

Published on December 8, 2025

In 2025, the landscape of winter travel in India has undergone a remarkable transformation. No longer are traditional hotels the default choice for young travellers; hostels and homestays have emerged as the preferred accommodation options. This shift has been driven by India’s dynamic youth, who seek more than just a place to sleep. They are looking for a deeper, more meaningful connection with the places they visit. From solo getaways to digital detox escapes, young Indians are opting for stays that offer community, authenticity, and cultural immersion.

The New Trend: Community and Local Experiences Take Centre Stage

What began as a budget-conscious choice has now evolved into a cultural phenomenon. Young Indian travellers are increasingly choosing hostels and homestays because they provide more than just affordable accommodation. These places foster a sense of community, where travellers can share experiences, bond with locals, and engage in activities like treks, bonfire nights, and local storytelling sessions. This sense of connection, something traditional hotels can’t always provide, has made these accommodations a go-to choice for those seeking an immersive travel experience.

“Over the last few years, I’ve observed a major change in how young Indians approach travel,” says Jyoti Mayal, Chairperson at the Tourism and Hospitality Skill Council (THSC). She notes that affordability is no longer the primary factor; today’s travellers are after experiences that are rooted in local culture and social interaction. This shift is further highlighted by Sudhanshu Ranjan, CEO of Tripzada Holiday, who explains that young travellers are now looking for spaces that combine social energy, productivity, and experiential value.

The Rise of Social, Affordable, and Local Accommodation

The appeal of hostels and homestays lies in their ability to offer more than just a bed for the night. In fact, for many young travellers, these spaces have become the focal point of their travel journey. Community kitchens, coworking lounges, and curated local experiences are now common features of many hostels, which cater to the growing number of digital nomads and remote workers in India. This provides the perfect balance of productivity during the day and exploration in the evenings.

As these types of accommodations continue to grow in popularity, they’re pushing the hospitality industry to innovate. Many homestays and hostels now partner with local artisans, guides, and home chefs, ensuring that the revenue generated from tourism flows directly back into the community. This kind of locally rooted, sustainable tourism model has not only benefited the regions but also provided travellers with a richer, more authentic experience.

A Boost for Rural and Regional Tourism

The rising demand for homestays is also playing a significant role in boosting rural and regional tourism across India. In states like Himachal Pradesh, Uttarakhand, Rajasthan, and the North East, these types of stays are offering travellers a unique glimpse into rural life, away from the crowded tourist spots. Homestays allow guests to live with local families, enjoy traditional home-cooked meals, and engage in activities that offer a deeper understanding of the region’s culture and traditions. This shift is making a significant contribution to the overall growth of sustainable tourism in India.

The Indian government has recognised this trend and is actively encouraging homestays through schemes like the Swadesh Darshan Scheme, which promotes heritage tourism in rural areas. This initiative has helped create a more structured and reliable system for travellers looking to experience the authentic essence of India, while simultaneously benefiting the local communities that host them.

Changing Travel Preferences: Seeking More Than Comfort

What sets hostels and homestays apart from traditional hotels is their emphasis on social interaction and the sense of belonging they offer. Young travellers often arrive at these stays alone but leave with friendships that have been forged over shared meals, impromptu trips, and conversations by the fire. These experiences foster personal connections that make the journey more meaningful.

In addition to these social aspects, the rise of co-living spaces and remote work setups in many hostels and homestays has further enhanced their appeal. Today, a growing number of solo travellers, creative freelancers, and professionals are choosing these spaces for the opportunity to work in a relaxed and stimulating environment, with plenty of opportunities to connect with like-minded individuals. This combination of work and play has made hostels and homestays even more attractive to the modern traveller.

Looking to the Future: The New Face of Indian Tourism

The growth of hostels and homestays marks a significant shift in how India’s youth experiences travel. What started as a budget-friendly accommodation option has now become a driving force behind a new era of travel, one that is social, culturally rich, and authentically immersive. As more young Indians seek travel experiences that are rooted in local culture and community, hostels and homestays will continue to play a pivotal role in shaping the future of tourism in the country.

A New Era of Travel and Connection

India’s youth is undeniably at the forefront of a travel revolution, and hostels and homestays are leading the charge. This shift away from traditional hotel stays is not just about affordability but about finding deeper, more meaningful experiences that resonate with today’s explorers. As the trend grows, these types of accommodations will become more than just a place to stay, they will be the cornerstone of a travel culture that values community, authenticity, and local connections. For young travellers, the story of their journey now begins with where they stay, and hostels and homestays are at the heart of this transformation.