For your first time in Saigon, I always recommend staying within District 1 as not only are you near to places of interest but you will find that a lot of stores and restaurants can speak a little English, making it all-around easier to explore and communicate.
The main backpacker area is around Pham Ngu Lao street (this is where most buses stop) and is perfect if you’re looking for hostels, bars and cheap food. I would recommend staying off of Pham Ngu Lao and Bui Vien streets, as these have lots of bars and clubs and the music goes on all night. For a restful night, stay on a quieter, nearby street.
For a more local area yet still within walking distance of the main sites, I recommend the Da Kao area of District 1 (it’s one of my favourite neighbourhoods in the city) and District 3.
I always book my accommodation with Booking.com* as their genius membership gets you deals with selected hotels in each destination. As I live in Saigon I haven’t stayed in many hotels in the city, however, based on the location and facilities these look to be great options:
• Meander Saigon* (design hostel with sleek and quirky design)
• The Hammock Hotel* (fun hipster vibe just a block away from Ben Thanh market)
• Bare Chic* (boutique studios in the heart of district 1)
• AYA Homestay 3* (beautiful private rooms, slightly removed from the tourist hotspots)