If hostels are not you're desired method of travel but you still have a budget to stick to, another alternative is couch surfing. In 2009, I published an article that took an in depth look at what couch surfing involves.
Basically, you register an account with the site that connects you to people around the world who are willing to let you stay on their couches during your stay in their city. In return, you let them (and others) sleep on your couch when they need it.
While I have never engaged in couch surfing, friends who have traveled in this way only have great things to say. A great advantage is having someone locally who can point you in the right direction for the best places to visit, eat and party.
On your next multi-state or - country journey, try couch surfing and enjoy a whole new world.
Safe travels.
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