Where to Stay in Taupo, New Zealand: 3 Best Areas & Hotels

Where should you stay in Taupo? I’ve visited this beautiful lakeside town multiple times, and I’m always excited to come back!

Taupo sits on the shores of New Zealand’s largest lake, and there’s SO much to do here. You can chase waterfalls at Huka Falls, soak in natural hot springs, get out on the lake, or use the town as a base for some epic North Island adventures. The scenery alone is definitely worth the trip!

With so much variety, where you stay can make a big difference. To help you out, I’ve narrowed it down to the three best areas to stay in Taupo, with my favorite hotels for every budget.

Where To Stay in Taupo Map

Overview of the Best Areas to Stay in Taupo

Central Taupo is pretty compact, but the lake is HUGE, and many of the best places to stay and things to do are spread around the surrounding area. The paved Great Lake Pathway makes getting around the lakefront easy, connecting the town center with Two Mile Bay and continuing south past lots of hotels. I love this route for walking and cycling!

However, I still recommend renting a car if you can. You’ll definitely appreciate having one for places like Huka Falls and Acacia Bay, as well as day trips farther afield. The Taupo Connector bus is useful around town, but it doesn’t run on Sundays or public holidays, and services to Wairakei and Acacia Bay are very limited. Uber is available too, which is handy as a backup.

• Taupo Town Center – Best for first-time visitors – This is the easiest base if you don’t want to rent a car, and it puts the best restaurants and lakefront walks on your doorstep. Acacia Lake View Motel is my favorite option here thanks to its fantastic location and lake views.

• Waipahihi / Two Mile Bay – Best for lake views & families – Head south of the center for a quieter lakefront stay with beaches and plenty of family-friendly accommodation. Millennium Hotel and Resort is a gorgeous pick right on the water.

• Northern & Western Taupo – Best for nature & peaceful stays – Staying outside the center means more space and easy access to some of Taupo’s best outdoor attractions. The Loft Bed and Breakfast is a cozy option in peaceful Acacia Bay.

Where to Stay in Taupo

Taupo Town Centre

BEST FOR FIRST-TIME VISITORS

Pros

• Walkable with tons of restaurants, cafes, shops, and hotels
• Right by the lake and departure point for cruises and activities

Cons

• Busier than the areas farther around the lake
• Doesn’t have the same peaceful waterfront feel as Two Mile Bay

If it’s your first time in Taupo, I think the Town Centre is the best place to stay. It’s compact and walkable, with tons of restaurants and cafes nearby, plus plenty of hotels to choose from. Plus, you’ll be right on the shores of beautiful Lake Taupo – what could be better?

The lake is naturally the star of the show here. Many cruises and water activities depart from here, including trips to see the incredible Māori rock carvings, which you can only view from the water. You can also snap a photo with the famous #LOVETAUPO sign or simply wander along the lakefront. I’ve visited Taupo multiple times, and I never get tired of those lake views!

Staying centrally is also super convenient for exploring farther afield. Huka Falls is only about a 5-minute drive away, while Spa Thermal Park and the naturally warm Otumuheke Stream are also close by. Best of all, the latter is completely free!

Of course, the Town Centre feels busier than the quieter areas along Lake Terrace. But for a first visit or a shorter stay, restaurants, activities, and the lake are within easy reach, making it easy to explore Taupo. 

Baycrest Thermal Lodge – $$$

A room with your own private thermal pool? Sign me up! I love Baycrest Thermal Lodge, and the owners are SO nice. The ground-floor suites have private geothermal hot tubs filled with natural spring water from beneath the property, while the upstairs rooms have balconies with beautiful views over Lake Taupo and the mountains. There’s also a heated outdoor pool, so this is definitely a great place to come if you’re craving a little R&R!

Plus, you’re just across the road from the lake and around 100 meters (328 feet) from Hot Water Beach. I think this is a fantastic pick for couples, though they also have larger family suites. Rooms typically start from around $230 NZD per night.

If Baycrest is fully booked, Suncourt Hotel & Conference Centre is another great option, with spacious rooms, an outdoor pool, and an onsite restaurant and bar. It’s right across from Lake Taupo and only a short walk from the shops and restaurants in the town center.

ASURE Ascot Motor Inn is another solid choice, especially if you want more space, as its studios and apartments include kitchen facilities, and many have spa baths. It’s in a quieter spot just a few blocks back from the lake, while still being within walking distance of central Taupo.

Acacia Lake View Motel – $$

For a mid-range stay, Acacia Lake View Motel is hard to beat. It’s right across from Lake Taupo, so you can get out to the waterfront in no time, and the shops and restaurants in the center are within walking distance.

The hotel offers a good range of rooms, from modern studios to spacious two-bedroom apartments for families and groups. I’d go for one of the upstairs rooms if you can, because most offer lake views, while the downstairs rooms have their own private courtyards. Rooms typically start from around $200 NZD per night.

Alpine Lake Motel is another great option in a similar price range, with modern studios and apartments, many with spa baths and kitchen facilities. It’s tucked a few blocks back from Lake Taupo, so you get a quieter setting while still being within walking distance of the town center.

Lake Taupo Motor Inn is also worth checking out, with spacious rooms and apartments plus an outdoor heated pool and hot tub. It’s just a short walk from the lakefront and central Taupo, making it a super convenient base for exploring on foot.

Beechtree Motel – $

If you’re trying to keep costs down, I think Beechtree Motel offers a lot for the money. It’s close to the lakefront, restaurants, cafes, and shops, and it offers a wide range of rooms, from studios for couples to two- and three-bedroom suites for families.

Most rooms even have deep spa baths, which is such a nice bonus! The rooms are self-contained, and parking is free, so I think this is an especially practical base if you’re road-tripping around New Zealand. Rooms typically start from around $180 NZD per night.

If Beechtree Motel is fully booked for your travel dates, Tui Oaks Motel offers another affordable stay right across from Lake Taupo and within walking distance of the town center. It has a range of rooms and apartments, including family-friendly options and rooms with beautiful lake views.

Meanwhile, Mountain View Motel is a simple, budget-friendly option with studios and larger units that work well for couples and families. It’s a few blocks back from the lake in a quieter part of central Taupo, but you can still easily walk to the waterfront and restaurants.

Waipahihi / Two Mile Bay

BEST FOR LAKE VIEWS & FAMILIES

Pros

• Gorgeous lake views and plenty of waterfront hotels
• Great for families, with swimming spots and lots of space to enjoy the outdoors

Cons

• Farther from the restaurants and shops in the town center
• A car is useful if you stay toward the southern end of the area

Waipahihi and Two Mile Bay stretch south from central Taupo along Lake Terrace, and I think this area is perfect if you want a quieter stay without being too far from the action. You’ll find plenty of lakefront hotels and resorts here, and the Great Lake Pathway runs along the waterfront, making it a beautiful area for walking and cycling.

Families will especially love this part of Taupo because there are plenty of places to swim and spend time by the water. Waipahihi Botanical Reserve is also nearby, with walking trails, picnic spots, and gorgeous lake views. I’ve explored this one by car before, which is a fun way to give your legs a break!

And I HAVE to mention Two Mile Bay Sailing Club. It’s right on the lake and serves some seriously good pizza. My favorite is the smoked salmon, and I love coming here for lunch or drinks with a view!

Overall, this area is ideal for families and couples who want beautiful scenery and a more peaceful atmosphere. Just keep in mind that some hotels are a little too far from the center to walk back and forth comfortably.

Sacred Waters Taupo – $$$

If you’re looking for a luxurious stay by the lake, I think that Sacred Waters Taupo is a beautiful option. These spacious apartments are made for relaxing, with full kitchens, private decks, and their own geothermal hot tubs. They also have a heated outdoor lap pool and gym, and many apartments offer incredible views across Lake Taupo to the mountains.

I think this is an especially good choice for families and groups because you get much more space than a regular hotel room. And the location is gorgeous! You’re right by Lake Taupo in Waipahihi, but only about a 5-minute drive from the town center—that’s what I call the best of both worlds. Rooms typically start from around $400 NZD per night.

Hilton Lake Taupo is another upscale option, with stylish rooms and suites, an outdoor pool, a restaurant, and a fitness center. Set back from the lake in Waipahihi, it’s close to the Taupo DeBretts hot springs and just a short drive from the town center.

Alternatively, Anchorage Resort is fantastic for families, with spacious apartments, kitchen facilities, and multiple swimming pools. It sits right on Lake Terrace, with the waterfront walking and cycling path passing directly in front of the property, perfect!

Millennium Hotel and Resort – $$

For a classic lakefront stay, Millennium Hotel and Resort is my top mid-range pick in this area. You can choose from rooms overlooking the heated pool or upgrade to a lake-view room or suite, and waking up with Lake Taupo right outside is pretty special!

There’s also an onsite restaurant with uninterrupted lake views, plus a lakefront bar that’s perfect for a sunset drink. I think this is a great choice for couples who want something special without splurging on one of the nearby luxury apartments. Rooms typically start from around $220 NZD per night.

Cascades Lakefront Motel offers self-contained rooms and apartments, plus a heated pool and spa, with some rooms opening directly onto the beach. It’s right on Lake Terrace in Two Mile Bay, with direct access to the lake and the waterfront walking and cycling path.

Clearwater Motor Lodge is another lovely lakefront option, with spa baths and a natural thermal plunge pool on site. It sits directly on the edge of Lake Taupo and is just a few minutes’ drive from the town center.

Phoenix Thermal Resort – $

Phoenix Thermal Resort is a fantastic budget-friendly choice if you still want some of Taupo’s famous geothermal goodness! It offers studios, one- and two-bedroom apartments, and a three-bedroom cottage, so there’s something for couples, families, and groups. Best of all, the larger apartments come with their own private thermal mineral pools.

The resort is surrounded by pretty rose gardens, giving it a peaceful feel despite its waterfront location. Plus, with Lake Taupo steps away, you can easily take a scenic walk or spend the day relaxing by the water. Rooms typically start from around $150 NZD per night.

If Phoenix Thermal Resort is fully booked, Cottage Mews Motel is a charming alternative with self-contained studios, family cottages, and apartments, some with whirlpool spa baths and private garden courtyards. It’s in Two Mile Bay and less than a minute’s walk from Lake Taupo, so you still get an amazing location on a smaller budget.

For something even more wallet-friendly, The Cove has modern rooms and suites, including some with lake views and private thermally heated spa pools on the balcony. It’s right on the edge of Lake Taupo in Waipahihi, with the waterfront just outside and central Taupo a short drive away.

Northern & Western Taupo

BEST FOR NATURE & PEACEFUL STAYS

Pros

• Peaceful surroundings with beautiful lake and countryside views
• Close to Huka Falls, geothermal attractions, and outdoor activities

Cons

• Hotels and attractions are spread across a large area
• You’ll definitely want a car to get around

If you want to escape the bustle and spend more time in nature, Northern and Western Taupo are perfect. This area covers Wairakei and Huka Falls to the north, plus Acacia Bay and Whakaipo Bay around the western side of Lake Taupo. Accommodation is much more spread out here, so you’ll need a rental car, but properties here tend to offer epic views and plenty of peace.

Nature is the BIG draw. Huka Falls is one of my favorite places to visit in Taupo, where the Waikato River squeezes through a narrow volcanic ravine before crashing over the falls. The Wairakei area is also packed with geothermal activity, and you can explore the steaming landscape at Craters of the Moon or soak at Wairakei Terraces.

I absolutely love the latter! There are four thermal pools at different temperatures, and when I last visited, I started in the cooler pool and slowly worked my way up to the hottest one. It’s SO peaceful, especially in the evening.

Meanwhile, Acacia Bay and Whakaipo Bay are fantastic for taking it slow! This side of Taupo is perfect for swimming, kayaking, lakeside walks, and just enjoying the scenery away from the busier town center.

Hilltop Whakaipo Estate – $$$

If you want to get away from it all, Hilltop Whakaipo Estate is SUCH a special place to stay. This gorgeous farm stay sits in the hills overlooking Lake Taupo and Whakaipo Bay, with spacious ensuite rooms and tons of outdoor space. The views are incredible, especially around sunrise and sunset!

But what I love most is the real taste of farm life here. Guests can take a complimentary farm tour, meet the resident sheep and deer, and even see three friendly Labradors running around!

It’s peaceful and secluded, but you’re still within driving distance of Taupo, Kinloch, and the beaches around Whakaipo Bay. Rooms typically start from around $330 NZD per night.

Hilltop Whakaipo Estate books up fast, so if it’s already sold out for your dates, The Retreat is a romantic aparthotel alternative, with a spa pool and beautiful mountain views. It’s tucked away on Huka Falls Road, so it’s easy to drive to both Huka Falls and Lake Taupo from here.

Bellevue Boutique Lodge is another beautiful option, with an intimate B&B feel and balconies overlooking Lake Taupo. It’s in peaceful Acacia Bay, so you can enjoy the scenery away from the busy center while still being within easy driving distance of town.

The Loft Bed and Breakfast – $$

For somewhere cozy and full of character, I think The Loft Bed and Breakfast is an amazing pick. This small B&B has just three spacious guest rooms, each with its own ensuite bathroom and lounge area, so it feels much more personal than staying at a big hotel.

A generous cooked and continental breakfast is included each morning, which is always a win in my book! The setting is lovely too, tucked into the hillside above Lake Taupo in Acacia Bay.

It feels peaceful and removed from the center, but you’re only about a 5-minute drive from town. Rooms typically start at around $240 NZD per night, with a 2-night minimum stay.

If the Loft has no availability for your dates, Lupin Lodge Bed & Breakfast is another charming B&B, surrounded by gardens and farmland with cooked breakfast included. Again, it has only three rooms available, but it’s only about 8 kilometers (5 miles) outside Taupo, so the town is within easy driving distance.

Wairakei Resort Taupo – $

For a resort with a TON of facilities at a reasonable price, Wairakei Resort Taupo will see you right. There are two geothermally heated outdoor pools, hot tubs, a sauna, a day spa, tennis and squash courts, and even a 9-hole golf course. Families are well catered for too, with spacious rooms and villas plus a playground for younger kids.

The setting is another big selling point. You’re surrounded by greenery in Wairakei Thermal Valley, rather than in the middle of town, and attractions like Huka Falls and the area’s geothermal sights are close by.

After a day of exploring, I’d be VERY happy coming back here for a soak in one of those heated pools! Rooms typically start from around $120 NZD per night.

Huka Falls Resort is another affordable option, with studios and spacious one-, two-, and three-bedroom villas spread across 7 hectares (about 17 acres) of landscaped grounds. It’s only a 2-minute drive from Huka Falls, and 3 minutes from Lake Taupo and the town center, so you get a peaceful setting without being cut off from the action.

Related Read: Once you’ve found your perfect base, why not plan some epic adventures? Check out my guide to the best tours in Taupo for some unforgettable experiences!

Top Activities in Taupo

Now that you’ve found your perfect place to stay, it’s time to explore Taupo! From stunning lake cruises and geothermal wonders to thrilling jet boat rides, there’s no shortage of adventures here. Below are some of my favorite activities to help you make the most of your visit!

• See the Māori Rock Carvings on a scenic cruise – This 2-hour Lake Taupo cruise is one of my favorite ways to see the famous Māori Rock Carvings! You’ll sail across the beautiful lake, learn about the carvings from a local guide, and even have the chance to jump in for a swim. Plus, complimentary tea and coffee are included!

• Get your adrenaline pumping at Huka Falls – If you love a little adventure, this 30-minute jet boat ride is a MUST! You’ll speed along the Waikato River, experience thrilling spins and turns, and get right up close to the powerful Huka Falls. Just be prepared to get wet!

• Kayak to the Māori Rock Carvings – Want a closer look at the carvings? This guided kayaking tour lets you paddle across Lake Taupo, admire the gorgeous mountain scenery, and learn about the artwork’s cultural significance. You can even stop for a refreshing swim, and beginners are welcome!

• Explore a geothermal area – Orakei Korako geothermal area is just 30 minutes from Taupo and is well worth visiting! This self-guided tour includes a ferry ride to the park, where you can explore bubbling mud pools, colorful hot springs, geysers, and the fascinating Rauatapu Cave at your own pace.

• Go jet boating on the Waikato River – For another adrenaline rush, this 35-minute jet boat ride is SO much fun! You’ll race through the Nga Awa Purua rapids, enjoy exciting spins, and take in the stunning river scenery. I ended up soaking wet with a huge smile on my face!

Related Read: Want more ideas? Check out my guide to the best things to do in Taupo for even more incredible activities, helpful tips, and must-do experiences!

Thanks for reading!

There’s a reason I keep coming back to Taupo! Between the sparkling lake, incredible geothermal wonders, and endless outdoor adventures, it’s one of my favorite places to visit on New Zealand’s North Island. Whether you’re staying in the Town Center, relaxing by the water in Two Mile Bay, or escaping to the peaceful outskirts, you’re sure to have an amazing time!

Before you go, don’t forget to check out my other Taupo travel blogs! I’ve explored this beautiful country extensively and have plenty of tips, itineraries, and recommendations to help you plan an unforgettable trip. Here are a few of my favorites to keep the inspiration going. Cheers!

17 BEST Stops on the Drive from Taupo to Rotorua

7 BEST Stops on the Drive from Taupo to Napier

17 BEST Stops on the Taupo to Wellington Road Trip