Looking for budget stays in Panglao Island? This section is designed to save you time, money, and unnecessary stress. We've got insider tips to help you find affordable hostels and the cheapest places to stay in Panglao Island.
Backpacking Panglao Island: Your Ultimate Budget Travel Guide
If there’s one place in the Philippines that has the best of both worlds—white sandy beaches and rich cultural experiences—it’s Panglao Island. After spending four weeks exploring every nook and cranny, I’ve come to realize why this little island is a backpacker’s dream. It’s affordable, it’s stunning, and it’s got an unbeatable vibe that makes you feel like you’ve found a hidden paradise. So, if you’re ready to pack your bags and see Panglao Island like a seasoned traveler, this guide’s for you.
Why Backpack Panglao?
Picture this: crystal-clear waters, vibrant coral reefs, and some of the best beaches you’ll ever step foot on. Now, imagine experiencing all of that without draining your wallet. That’s Panglao Island for you. Sure, Alona Beach gets all the attention with its beach bars and restaurants, but the real magic happens when you venture just a bit farther—into the quieter, lesser-known corners of the island.
While the island is small enough to explore in a few days, you’ll find that slowing down and soaking it all in is the best way to truly experience Panglao. And don’t worry, you won’t break the bank while doing it. There are plenty of budget-friendly accommodations, street eats, and activities that will keep your costs low while maximizing your adventure.
Where to Stay in Panglao Island on a Budget
First things first: accommodation. If you’re a hostel lover (like me), you’ll be happy to know that Panglao is dotted with affordable options that cater to budget travelers. Alona Beach is where you’ll find the most choices, but for real savings, look just outside the main drag. Places like Dauis are less than 10 minutes from the action but offer way cheaper beds without compromising on comfort or safety.
Expect to find simple, native-style accommodations—think bamboo cottages and bunk beds. You might not get a hot shower, but you’ll get fast Wi-Fi, clean sheets, and often a shared kitchen or common space to meet other travelers. If you’re up for a social vibe and want to trade tips and stories with fellow backpackers, hostels in Panglao are perfect.
Getting Around: Two Wheels or Bust
Getting around Panglao Island is a breeze. The best way? Rent a scooter. For about ₱300-₱500 per day (that’s $5-$10), you’ll have the freedom to zip around the island at your own pace. Trust me, you’ll want to explore the hidden beaches and local spots that aren’t listed in the typical tourist guides. If you’re not keen on driving, tricycles are your next best bet, though you’ll pay a bit more. Always negotiate the price before hopping in, and if you’re in a group, splitting the cost makes it super cheap.
Top Things to Do on Panglao Island
1. Alona Beach: Alright, this one’s the obvious choice, but it deserves its spot. Yes, it’s a bit touristy, but it’s also gorgeous. Spend your mornings swimming or snorkeling, then head to the nearby bars for an evening cocktail. It’s a great place to kick off your Panglao adventure.
2. Hinagdanan Cave: If you’re into natural wonders, make sure to visit Hinagdanan Cave in Dauis. For a small entrance fee, you can swim in a cold underground pool surrounded by stalactites. It’s a great break from the heat and a cool hidden gem.
3. Island Hopping: Hop on a boat for the day and explore nearby islands like Balicasag and Pamilacan. Balicasag is famous for its sea turtles, so if snorkeling is your thing, this is a must. The day tours are affordable (around ₱1,500-₱2,000) and usually include lunch and gear rentals.
4. Dumaluan Beach: Quieter than Alona but just as beautiful, Dumaluan Beach is the spot to chill out if you want fewer crowds. There’s a small entrance fee, but it’s worth it for a more peaceful beach experience.
5. Tarsier Sanctuary: A short ride from Panglao is the Tarsier Sanctuary in Corella, where you can see these tiny primates up close. It’s a unique experience and worth the quick trip off-island.
Where to Eat: Cheap Eats for Backpackers
Eating on Panglao Island doesn’t have to be expensive. Sure, there are pricier options along Alona Beach, but if you venture a little deeper into town, you’ll find some real budget gems. Look out for carinderias (local food stalls) offering rice meals for as little as ₱50. Expect simple yet hearty dishes like grilled chicken, pork adobo, or fish with rice.
There are also plenty of food trucks and small beach shacks that serve everything from fresh seafood to banana pancakes. If you’re a seafood lover, don’t miss the nightly BBQs along the beach—grab a plate of grilled squid or prawns, and you’re good to go.
Budget-Friendly Tips for Backpacking Panglao
- Avoid peak season (November to April) if you can. Prices for accommodation and tours spike during these months, so visit during the shoulder season (May or October) for cheaper rates and fewer crowds.
- Bring your own snorkel gear. Renting equipment every day adds up. If you’re planning to spend a lot of time in the water, bringing your own gear will save you money in the long run. I know it's a bit of a pain to travel with snorkel gear. However, when backpacking the Philippines, snorkel gear has to be on your bucket list.
- Stay outside Alona Beach for better deals. Hostels and guesthouses in places like Tawala or Dauis are much more affordable, and you’ll still be close enough to the main attractions.
- Eat where the locals eat. It’s not just about saving money—it’s also where you’ll find the most authentic food. Look for busy spots filled with locals, and you’ll rarely be disappointed.
- Barter when you can. From tricycle rides to island tours, negotiating prices is part of the culture here. Always haggle respectfully, and you’ll often land a better deal.
Wrapping Up
Panglao Island is an incredible destination for backpackers. Whether you're here for the beaches, diving, or just soaking in the island vibes, this place offers unbeatable value for money. If you stay in hostels, rent a scooter, and eat like a local, you can explore all the magic of Panglao without breaking the bank. And trust me, once you see those turquoise waters, you’ll never want to leave!
Written by Travel Expert Panglao Island
Matt Kiefer