Im attending Spanish school in Madrid for two weeks. I think it may be cheaper to stay in an Hostel rather than a student flat. I have never been to Madrid or even knew what an Hostel was before I started planing this trip. Has anyone stayed in an Hostel in Madrid or another place in Europe? How did you like? Any recommendations and dos'/don'ts and safety tips will be most helpful!

I stay in hostels all the time. Just last month I used hostels in London and Stockholm. Both of these had free wi-fi or wired connections for a laptop (seems to be the newest trend for hostels). Rooms in hostels tend to have a minimum of 4 beds, and some can go up to a dozen beds or more. I pay extra for the smaller rooms, and often can get single rooms at a good price, too (like $45 a night in Australia). There are a number of sites where you can book hostels, or read reviews. Please do your homework before booking anything.

I stayed in a hostel in Madrid at the end of 2005, and would recommend the one I stayed at. It was just a 5 min walk from the Metro, and was in a quiet neighborhood. I found it very easy to get around Madrid.
http://www.hostelworld.com/hosteldetails.php/MadHostel-Madrid-13326

Madrid photos I took, including street view of MAD hostel down the block (http://new.photos.yahoo.com/tom911@pacbell.net/album/576460762337947147)

Any recommendations and dos'/don'ts and safety tips will be most helpful!

Bring a padlock, as many hostels have lockers. If they don't have lockers, make sure you know where your wallet is (don't leave it in plain view on the floor in a large room). I tend to put mine inside the pillow case if there is not a locker to secure it when I'm asleep.

Hostals have been going up in price as everything else in Madrid but could be a good option. I first came to MAD as student in language school and stayed on.

The problem with the schools apartments is that they are often further out than one wants and really are overpriced for what you get. I am glad I choose other options as I heard horror stories from from others. They seemed to have the most problems with the in-home stays with Spanish with meals though.

I sent you a pm as well.

Has anyone stayed in an Hostel in Madrid or another place in Europe? How did you like? Any recommendations and dos'/don'ts and safety tips will be most helpful!
I stayed for 7 consecutive nights at Cat's Hostel (http://catshostel.com/) in Madrid. It's only a few minutes from the subway, well located and in what I felt was a safe neighborhood. They have complimentary electronic lockers in the rooms (mixed-gender, bunk beds, dormitory style) and you get a wristband with an electronic fob on it that will open the main door (locked after hours) as well as the door to your room and the locker. Very slick, indeed. The hostel itself is very cool. It is in an old church with an indoor courtyard with some places to sit and read, chat, or just chill out. There is a bar/lounge in the basement and some nights they serve cheap paella. Linen service every day. When I was there, there was a girl who was attending one of the local universities and had not yet found other accommodations, so she was at the hostel indefinitely.

Hope this helps. :) Feel free to PM me any questions you might have.

I think Cat's is related to the MAD hostel, as they told me I could go over there for internet access when their wi-fi was down (I didn't have to, as my window faced the street and I picked up a signal from there). They had the same electronic locker setup.

The Los Amigos hostels in either Opera or Puerto del Sol are not bad, and they are bookable on hostels.com. I preferred the Opera hostel as the rooms didn't have so many people in them. The only thing was to confirm your bed before you go as I forgot to reconfirm and I was homeless for the night! It was my own fault though! You'll love Madrid!!!

cat's hostel was fun but there was no hot water.

the downstairs bar was pretty lively and fun.

hostelz.com is a pretty good hostel review site.