Where to stay in Stockholm on a budget

Look into Hotel Bema. Just returned from our trip to Scandinavia and spent two nights there. Clean, comfortable, breakfast served to your room. Good central location. I'd stay there again.

Check the youth hostels in the old city. Compare pix and reviews on TripAdvisor. I found some good ones there. We ended up not using them, however, because we'll also have a car, so it was actually cheaper for us to stay at a 'nicer' hotel in town when we compared daily parking rates.