Looking for where to stay in Palau? This tropical paradise is a dream destination for divers, adventurers, and anyone seeking untouched natural beauty. While Palau might not offer as many options as more commercialised destinations, it’s still home to a range of accommodations that cater to different budgets and travel styles. From cozy retreats to luxurious resorts, this guide will help you find the best accommodation in Palau, including top picks in Koror, the island’s main hub.

• Budget: Carp Island Resort

• Mid-Range: Sea Passion Hotel (top pick), Cove Resort Palau

• Luxury: Palau Pacific Resort (top pick), The Pristine Villas and Bungalows at Palau Pacific Resort, Palau Royal Resort, Palau Sunrise Sea View Landison Retreat

• Ultra-Luxury: Four Seasons Explorer

Where to Stay in Palau on a Budget

There are many budget options in Palau, the quality may not match expectations. There is a gem for thrifty travellers looking for a more simple island getaway:

Carp Island Resort

If you’re searching for an off-the-grid style experience, Carp Island Resort is perfect. Located on a remote island near some of Palau’s best dive spots, this eco-friendly resort is ideal for divers and snorkelers. The rustic bungalows offer basic amenities but make up for it with stunning ocean views and direct access to nature. This is an excellent choice for travellers who prioritise location over luxury. It’s important to note the cost of transfers to Carp Island Resort before making a decision to book.

Best Mid-Range Hotels in Palau

Mid-range options in Palau strike the perfect balance between affordability and comfort. If you’re wondering where to stay in Koror without breaking the bank, these hotels are fantastic choices close to Koror:

Sea Passion Hotel – Top Recommendation!

During my trip to Palau, I stayed at the Sea Passion Hotel, and it quickly became one of my favourites. This hotel offers a laid-back atmosphere, all the necessary amenities, and an unbeatable location. Highlights include a small private beach and lagoon, perfect for snorkelling, kayaking or enjoying the sunset, as well as a refreshing pool area. The rooms are spacious and many have gorgeous ocean views. The hotel is also close to dive shops, making it convenient for anyone eager to explore Palau’s world-famous dive sites. You can hire kayaks and other equipment to explore the lagoon. The island views provide the essence of Palau. A favourite memory was sitting at the beach bar spotting turtles at sunset. If you want accommodation in Palau that offers excellent value and a touch of luxury, this is a fantastic pick.

Cove Resort Palau

Another great option, Cove Resort Palau provides a relaxing island vibe. Its clean rooms, friendly service, and outdoor pool make it a popular choice for couples and families. Plus, its location near the docks makes it a great base for dive excursions.

Where to Stay in Palau for Luxury Seekers

If you’re ready to indulge, Palau’s luxury hotels and resorts promise an unforgettable experience. These options are perfect for travellers looking for the best hotels in Palau to complement their island adventure:

Palau Pacific Resort – Top Recommendation!

If you’re searching luxury accommodation in Palau, the Palau Pacific Resort is the place to be. This five-star resort sits on a sprawling private beach, surrounded by lush gardens and breathtaking ocean views. I had the pleasure of staying here, and every moment felt like paradise. The resort features an infinity pool overlooking the sea, incredible dining options, and rooms that blend luxury with island charm. One of my favourite memories was snorkelling directly from the beach—where vibrant coral reefs are just a few steps away. Amenities include tennis courts, gym, day spa, pool, spas and equipment for hire so you can explore the beautiful surrounding waters. Whether you’re travelling as a couple, with friends, or solo, this resort offers an unparalleled blend of relaxation and adventure. Don’t miss the most famous sunset views in Palau!

The Pristine Villas and Bungalows at Palau Pacific Resort

For ultimate indulgence, The Pristine Villas and Bungalows at Palau Pacific Resort are a dream come true. Imagine waking up to the sound of gentle waves and diving straight into turquoise waters from your private deck. The overwater bungalows are some of the best suites in Palau. This is luxury redefined!

Palau Royal Resort

With a private beach, saltwater lagoon, and elegant rooms, Palau Royal Resort is another excellent choice for those seeking upscale accommodation in Palau. The tranquil Japanese garden and oceanfront dining make it particularly special.

Palau Sunrise Sea View Landison Retreat

This boutique retreat offers panoramic ocean views and personalised service, making it perfect for those seeking peace and privacy. The stylish design and serene setting at Palau Sunrise Sea View Landison Retreat are ideal for couples and honeymooners. The accommodation is in the northern region, and a hire car is recommended for convenience.

Ultra-Luxury Accommodation in Palau

Four Seasons Explorer – Cruising Resort

If money is no object and you’re looking for the most exclusive accommodation in Palau, the Four Seasons Explorer offers an unparalleled experience. This luxury liveaboard combines the elegance of a five-star resort with the adventure of exploring Palau’s pristine waters. You’ll wake up to a new island or dive site every day, with access to personalised services, gourmet dining, and some of the best marine life in the world.

Where to Stay in Koror: Central and Convenient

Most travellers base themselves in or close to Koror, Palau’s main town, as it offers easy access to dive shops, restaurants, and day trips to the Rock Islands. If you’re deciding where to stay in Koror, Sea Passion Hotel and Cove Resort Palau are fantastic mid-range choices, while Palau Pacific Resort and Palau Royal Resort cater to luxury seekers, all within close proximity to Koror.

Choosing the Best Palau Accommodation for Your Trip

If you’re looking for where to stay in Palau, my top recommendations are the Sea Passion Hotel for its excellent value and charm, and the Palau Pacific Resort for its luxury and stunning beachfront location. Both provide incredible stays, whether you’re exploring the island’s natural beauty or relaxing in paradise. No matter your choice, Palau’s breathtaking scenery and warm hospitality will make your trip unforgettable.

To help you plan your dream adventure, discover 23 Unmissable Things to See and Do in Palau, Micronesia, and find out when is The Best Time to Visit Palau.

Have questions about Palau accommodation or need help planning your trip? Let me know in the comments—I’d love to help you craft the perfect island getaway!

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