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I suspect that a lot of visitors to Singapore are just there for a few days, stopping over between Australasia and Europe. Many of the airlines and travel companies offer very reasonable stopover packages if a flight has already been purchased. It's certainly worth enquiring about and this is what I suggest potential visitors do.
This is what I chose to do on my first visit to Australia. Australia is a long way from London and I wanted to break up the journey so I stopped over in Singapore. I can't remember the details but it was a nice hotel, around Orchard Road I think, and cost very little as part of a package.
All of the major international chains of hotels are represented in Singapore. Singaporeans expect high standards and five star hotels are actually easier to find than budget hotels. There is even one six star hotel. Room rates aren't cheap though if the deal isn't part of a package.
Budget accommodation can be found around Chinatown and Geylang. A word of warning though. Geylang contains a large (legal) red-light area and gets very busy at the weekend.
Some budget hotels offer a short-term or hourly rate which doesn't need much explaining (click on thumbnail image below). This is Singapore however, so safety isn't a problem but what goes on in this area may not be to everyone's taste. There are lots of brothels, with mainly Thai working girls, and quite a few independent girls and 'gatoeys' (ladyboys) plying the streets for business.
Backpacker accommodation is not big in Singapore. Backpackers sometimes fly in from Europe or Australia to start making their way overland into Malaysia, Thailand and beyond but don't tend to stay in Singapore very long. It's not really a 'backpacker' type of place - too developed, too first world and too expensive.
There are some hostel type places around Chinatown and also in Bencoolen Street but not a huge selection. Singapore is mainly interested in wealthy five star tourists with lots of money to spend, not spotty herberts just out of university with a backpack and no money.
There are a couple of budget hotel chains in Singapore that have been very successful since their inception. Some hotel locations are new buildings whereas others are traditional Chinese shop house buildings that have been converted.
The rooms tend to be quite small and basic but they are clean and adequate. There are several around Joo Chiat which is an interesting and very colourful area of Singapore with Geylang Serai market nearby and lots of Muslim food and culture. See Hotel 81 and Fragrance Hotel.
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