Heading to Oaxaca and clueless on which neighbourhood to stay in? I’ve been there too and I got you. The good news is that although Oaxaca is a big city with a population of 300,000, the central neighbourhoods where travellers stay are all within walking distance of everything you’ll want to see.

So no matter what neighbourhood you pick below, you’ll be grand, and won’t be missing out on the real Oaxacan experience. 

So let’s try and wittle down the best neighbourhood in Oaxaca that most suits you and your needs. Are you after a local, low-key neighbourhood with budget accommodation? Or are you looking to splash the cash and be in the thick of everything? As you read through this article, keep in mind what’s most important to you. 

Here’s my low-down on the neighbourhoods of Oaxaca and FAQs to help you decide where to stay. 

Centro | close to the action

bright coloured flags hanging from inside Mercado Benito Juárez
Mercado Benito Juárez

Perfect for: short stays, first timers, backpackers 

Centro is Oaxaca’s historical core, registered as a UNESCO heritage site in 1987; it’s a sweet base for short stays and first-timers in Oaxaca.  You’ll find Zócalo here, the pumping heart of Oaxaca, a tree-shaded plaza alongside the Cathedral of Oaxaca. No matter what time of day, this area is a perfect spot for people-watching.

While its close to all the galleries, museums and markets, if you love your sleep and prefer a more local vibe, check out the other neighbourhoods below.

      Neighbourhood highlights:

      Stay at:

Santo Domingo | stunning architecture and close to the action

upclose shot of templo de Santo Domingo de Guzmán in Oaxaca, blue skies
blue mural on the street in oaxaca, mexico
spot this iconic Oaxacan graffiti on Calle Macedonio Alcalá

Perfect for: first timers, couples, friends, familes 

Santo Domingo is located in the northern part of Centro, by this, I mean everything north of Avenida de la Independencia. It’s definitely the most sought neighbourhood to stay in Oaxaca as it’s arguably the most beautiful and Oaxaca’s cultural zone, home to the best bars, coffee shops and restaurants.

It’s the most scenic and preserved area, full of colour and colonial architecture and the best place to stay if you don’t mind splashing the cash.

If you’re looking to party in Oaxaca, you’ll find the best nightlife here. I’m talking rooftop mezcal bars, craft microbreweries and fancy cocktail bars.

      Neighbourhood highlights:

      Stay at:

santo domingo neighbourhood

El Llano | local life and home to Parque Juarez

torta stand at el llano neighbourhood oaxaca
Torta Stand at El Llano Park
Perfect for: couples, families, everyone! This is an ideal local spot to save some money on accommodation but be close to the centre. It’s home to Parque Juarez El Llano, a beautiful park where you can sit on a bench with a delish torta and watch local life pass you by. Neighbourhood highlights:
      Stay at:

Barrio de Jalatlaco | cool, arty neighbourhood

jules and marius in front of bouler, graffiti street art mural from artist in oaxaca
a piece by Bouler

Perfect for: families, couples, travellers looking for local vibes

This proud local neighbourhood is originally a Zapotec village that comes alive on Dia de los Muertos (Day of the Dead). Only 10 minutes walk from Centro; it’s a steal if you find a banging accommodation deal in Jalatlaco.

On our first day in Oaxaca, we took a 1hr street art tour with Ricardo, a cool guy offering tours from Iguana Hostel. At the end of the tour, he took a polaroid of us outside our favourite graffiti spot, which was a nice keepsake! I’m not sure if he’s still running tours, but I know Oaxaca by Locals runs a tip-based street tour. Check out more info here.

Everywhere you turn in this neighbourhood, you’ll find stunning murals painted on the side of houses, cafes and restaurants. As you walk around, try to spot the works of  Bouler (@bouleroaxaca) and  Irving Cano (@irvingcanoart), two residents and renowned graffitist in Jalatlaco.

      Neighbourhood highlights:
      Stay at:

Barrio de Xochimilco | where history meets modernity

pink mural art grafitti wall in barrio de xochimilco in oaxaca city
graffiti mural art of three chickens in barrio de xochimilco in oaxaca city

Perfect for: families, couples

If you fancy staying close to the action but away from the downtown bustle, Xochimilco is the best neighbour to stay in Oaxaca. Located only 20 minutes walk from Centro and the oldest neighbourhood in Oaxaca, it’s a real gem.

As well as being home to the 18th-century aqueduct, there’s no shortage of hipster cafes, restaurants and rooftops bars to spend some dreamy hours.

Like Jalatlaco, Xochimilco is also home to the city’s best graffiti murals.

The stroll from Xochimilco is a beaut one. Once you leave the tranquil neighbourhood, cross the busy main road and follow the Viaduct along the cobbled street of Ruffino Tamayo to Centro. You’ll honestly feel like you’re on a film set at times. The beauty doesn’t seem real.

      Neighbourhood highlights:

      Stay at:

Reforma | as local as you're gonna get

Perfect for: travellers looking for local vibes

Reforma is definitely the least touristy place of all the neighbourhoods in Oaxaca as mostly locals living here.

If you intend to stay for an extended period, Reforma is a good option to get a sweet deal on accommodation and be close to authentic restaurants and bars with local prices. That’s what we love right?

      Neighbourhood highlights:       Stay at:

Barrio de La Noria | low-key base

barrio de noria, street of oaxaca, colourful buildings, colonial architecture
Perfect for: families, backpackers  Barrio de La Noria is a low-key neighbourhood only 10 minutes walk from Centro. Although there’s not much to do in the area it’s a convenient, quiet and affordable neighbourhood to stay when you’re visiting Oaxaca.

      Neighbourhood highlights:

      Stay at:
  • Azul Cielo Hostel ($)
  • Casa El Mundo ($)

Panorámica del Fortín | neighbourhood with a view

Perfect for: long-term stays, couples Not typically a tourist neighbourhood, but our first Airbnb was located there, and we had the most insane view over the city. It’s a big climb up and down to Centro, but if you are okay with some steps, it’s a great place to stay.   Neighbourhood highlights:       Stay: 

where to stay in Oaxaca?

1. Best area backpackers to stay in Oaxaca?

There is not one backpacker’s neighbourhood where all the hostels are located in Oaxaca. Rather they’re scattered all over the city. But really no matter what hostel you stay in, you’ll be able to walk to everything in 10/15 minutes. My best advice is purely go on what hostel suits your needs rather than the location. For example, although  Azul Cielo Hostel is located in low-key Barrio de Noria, its rated 9.3 because of its facilities, atmosphere and safety. Its location doesn’t really matter too much as Oaxaca is very walkable.

2. Best hostels for backpackers in Oaxaca?

You’re spoilt for the choice of hostels in Oaxaca because there are some pretty banging hostels. But, of course, they all have different vibes and price ranges. My favourites are:

  • Azul Cielo Hostel: For chill, social vibes. It has a beautiful outdoor-esque common space and lots of activities.  
  • Co.4o4: if you’re a nomad working remotely, Co.404 is, without a doubt, the place you need to stay. The OG one is in San Cristobal and where Marius and I met. It’s the loveliest and homeliest coworking ever, honestly, the best. 
  • Maka MX: central hostel in the centre with a rooftop pool
  • Tichuchi Hostal:party vibes with a pool

3. Best place to stay for couples in Oaxaca?

Santo Domingo is unarguably the most romantic area to stay in Oaxaca. Home to some of the most beautiful hotels, coffee shops, bars and restaurants, the cultural centre of Oaxaca, and UNESCO architecutre makes it a dreamy spot for couples. 

But heads up, accommodation is a little more expensive in Santo Domingo than in other neighbourhoods. So if you have a lower budget, I’d consider staying in more local spots: Barrio de Jalatlaco, around El Llano or Barrio de La Noria

4. Best place to stay for families in Oaxaca?

There is not a family area in Oaxaca per se, but there are neighbourhoods like Barrio de Jalataco or Barrio de Xochimilco, which make a perfect base for families. Both neighbourhoods are out of the chaos of the centre but only 15 minutes from all the hotspots.

They are both home to some beautiful cafes and restaurants and have really affordable accommodation options. 

5. Safest neighbourhood to stay in Oaxaca?

Oaxaca generally has a low crime rate in comparison to other cities in Mexico. All the neighbourhoods I mentioned above (Centro, Santo Domingo, El Llano, Barrio de Jalatlaco, Barrio de Xochimilco, Barrio de la Noria, Panorámica del Fortín) are pretty safe. 

The area that I’d particularly avoid staying in Oaxaca is around the public bus station. This place gave me the creeps whenever we’d have to catch a local bus to Hiere el Aqua, for example.

6. Is Oaxaca safe?

As I mentioned above, Oaxaca generally has a low crime rate. From experience, I always felt safe walking around Oaxaca. But to be safe, wherever you’re staying, ask the staff or owner of your Airbnb for the latest up-to-date safety advice.

For example, the weeks before I travelled to Oaxaca, I lived in Puerto Escondido and met many backpackers travelling from Oaxaca. They reported that tourists were being targeted and robbed when walking home at night.

When I finally reached the city, the hostel staff told me it was true that in the previous weeks, “tourists were being targeted at random by a particular gang”. They said to be on the safe side: don’t carry around bulks of cash, wear expensive jewellery or wave around a camera or iPhone, avoid poorly-lit streets; take a taxi back to your hotel at night if you feel unsafe.

I always want to keep this blog real, so I’ll never bullshit you. If you use your common sense, take a taxi when your intuition tells you to, and ask the locals for as much advice as possible. Then you’ll be grand.

I hope this guide and FAQs helped you find the perfect neighbourhood to stay in Oaxaca. As always, my inbox is open if you need any further advice!

related posts:

Leave a Comment

Your email address will not be published. Required fields are marked *