Hostels
There are so many options of where you can stay while traveling. The most popular option for backpackers is to stay in budget hostels. They are generally more affordable then hotels! Depending on what continent you are traveling through they can range from $1- $35 US Dollars per night. You can look up availability on hostels in every city around the world on-line through popular websites like Hostel World or Hostel Bookers. These sites are really good for giving you information on where they are located, availability for a week at a time, price, and the ranking of the hostels compared to others in the area.
During peak travel periods (usually summertime) it is smart to book the hostels in advance instead of showing up at the hostel when you arrive in a city. Also, a lot of hostels fill up during weekends and there ends up being no room for you in a lot of the better hostels. I know that traveling through southern Spain in the summer gets to be very crowded. In June, I was traveling through Spain and I did not book a hostel before I left Madrid going to Granada. When I showed up to Granada there was no room in any hostel. Instead of paying 13 Euros the first night I had to get a hotel room for 40 Euros. You just need to be smart and know where you are traveling too instead of wasting money like I did.
Couch surfing
Another option that is very new. and that a lot of budget travelers are starting to use is called couch surfing. There is a new website that allows you to see where there are couch's available: couch surfing. You actually stay for free on other people’s couches in their homes/apartments. People open up there houses for you to use. They are usually good people, and were possibly travelers at one point in time in their lives. They are usually good people, because if something goes wrong then the travelers who have had a problem contact the website, and then the web site will take that person off the site.
Airports
If you have an early flight during the morning, and you don’t want to pay for a night in a hostel or hotel you can just go to the airport and sleep. There are plenty of people that bring their bags to the airport and sleep on the ground or in the chairs. This option is safe, because there are security guards walking around making sure that there are no problems. If you decide to do this option, you can check out of your hostel during the morning, and then store your bag in the hostel's storage room for the rest of the day. When you are done doing what you do you can come back to pick it up at night. Most hotels have a spot to store bags during the day for free. So by sleeping in the airport you can save one nights stay! (you need to always think on how to save money and extend your trip!)
Hotel
The most expensive option is a hotel. Sometimes you can get lucky on a travel website like cheap hotels, and book a hotel at a discounted rate. If you are trying to travel cheaply then this is not the way you want to go. If you do need one day back in “normal” life that a hotel is not a bad option. Since they will provide your own shower, air conditioning, and television!
Home stays
If you are interested in studying a foreign language throughout your trip then a home stay is a great option. Almost all language schools offer a home stay. I would highly suggest this option, because you will be able to practice what you have learned throughout the day with local a speaker. The more you talk and listen to a language the faster you will learn. You actually are able to stay in a family's apartment or home during this stay. They allow you to use everything in the house as if it were you own.