Shanghai is overtaking New York in terms of cost of living. If you are scheduled for a visit and on a budget then this article from CNN is a must read.
1. Koala Garden House
2. Captain Hostel – I stayed there in 2008 and it was a great place to meet fellow travellers.
3. City Central Youth Hostel
4. Mingtown Hiker Youth Hostel
5. Le Tour Traveller
If you want to stay in one of these gems then you better book ahead.