Where to Stay in Margaret River for First Timers: Best Towns & Accommodation
Planning a trip to the Margaret River region in Western Australia? This detailed travel guide covers the best areas and towns to stay, and the best hotels to book, too!
Choosing where to stay in Margaret River can completely shape your experience of the region. With charming inland towns, laid-back surf villages, and breezy coastal hamlets, each area has its own unique vibe.
During my two-week trip exploring Margaret River, I based myself in Margaret River town, as a great central base for all the fun activities this region offers. I was still able to spend mornings walking on rugged beaches, afternoons wine tasting at iconic cellar doors, and evenings unwinding in cozy accommodations that made me never want to leave.
Whether you want to be right in the heart of the action with cafés and wine bars on your doorstep, tucked into a quiet beachside retreat, or surrounded by nature, there’s a perfect spot for you here.
This guide breaks down the best towns and areas to stay in Margaret River, who they’re best suited for, what to do in each location, and my recommended accommodations to make your planning a breeze.
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Best Margaret River Towns to Book Your Accommodation
Margaret River Town
Best For: First-time visitors who want a central base, Foodies and wine lovers, Couples or friends looking for a lively but relaxed vibe
Why stay here: Margaret River Town gives you the best of both worlds. Easy access to all the region’s highlights and plenty of great food and wine right on your doorstep.
If it’s your first visit to the region, Margaret River Town is the perfect home base. It’s centrally located, meaning you can easily access the wineries, surf beaches, farmers’ markets, caves, and lighthouses in every direction. The town itself is charming, walkable, and filled with great cafés, wine bars, boutiques, and gourmet food shops.
During my two-week stay, I loved starting each morning with a coffee and pastry at Margaret River Bakery (one of my fave Margaret River coffee shops!), then heading out for a different adventure every day.
Things to Do in Margaret River Town:
- Stroll along Bussell Highway and check out local boutiques, wine bars, and cafés
- Visit nearby wineries like Vasse Felix, Voyager Estate, and Redgate Wines on a self-guided winery tour in Margaret River
- Explore the Margaret River Farmers Market on Saturday mornings
- Take a quick drive to Surfer’s Point, Redgate Beach, and Boranup Forest
Where to Stay in Margaret River Town:
- Margarets in Town Apartments – Central location with spacious modern rooms, close to restaurants and shops.
- Prideau’s of Margaret River – Stylish, comfortable accommodation right in the heart of town.
Prevelly / Gnarabup
Best For: Beach lovers and surfers, couples looking for a coastal escape, travellers who want ocean views but easy access to town.
Why Stay Here: Prevelly and Gnarabup give you that classic coastal Margaret River experience, where mornings are for beach walks, afternoons for wine tasting, and evenings for golden sunsets.
If you want to be close to the ocean while still just a 10-minute drive from Margaret River Town, Prevelly and Gnarabup are perfect.
These neighbouring beach hamlets are known for their laid-back surf vibe, stunning sunsets, and proximity to iconic surf breaks like Surfer’s Point, amongst the best beaches in Margaret River for surfing.
Things to Do in Prevelly / Gnarabup:
- Watch the surfers at Surfer’s Point or grab a board yourself
- Walk part of the Cape to Cape Track for breathtaking coastal views
- Enjoy coffee or brunch at White Elephant Café overlooking Gnarabup Beach
- Take a short drive back into Margaret River Town for dinner and wine bars
Where to Stay in Prevelly / Gnarabup:
- Margarets Beach Resort – Modern beachfront apartments with ocean views, pool, and easy beach access.
- Surfpoint Resort – Laid-back coastal accommodation with clean, comfortable rooms and great value.
Gracetown
Best For: Surfers and beach lovers, travellers who want a quiet coastal escape, families or couples seeking a relaxed, local vibe, visitors who have rented a car in WA.
Why Stay Here: Gracetown offers a peaceful, small-town feel right on the coast. It’s ideal if you want easy access to great surf breaks and beaches while staying close to Margaret River’s wineries and nature spots.
Located about 20 minutes from Margaret River Town, Gracetown is a charming seaside village nestled in a sheltered bay. Known for its friendly community and excellent surf breaks (like the famous South Point), this area is perfect for travellers who prefer a more laid-back, residential atmosphere.
I loved grabbing lunch at Gracie’s General and watching the surfers, including my husband, catch waves out at the point.
Things to Do in Gracetown:
- Watch or surf the legendary South Point break
- Go swimming or paddleboarding in the sheltered bay
- Enjoy a casual lunch or coffee at the local general store
Where to Stay in Gracetown:
- The Bay House – Comfortable holiday home with incredible ocean views, perfect for families or small groups.
- Gracetown Caravan Park – Clean, cozy cabins surrounded by nature, great for a quiet getaway.
Cowaramup
Best For: Wine lovers, couples looking for a countryside escape, travellers who prefer a quieter base close to vineyards.
Why Stay Here: Cowaramup is the heart of wine country in Margaret River, surrounded by vineyards, rolling hills, and boutique cellar doors. It’s ideal for those who want to be close to the region’s best wineries and experience all the best gourmet things to do in Margaret River, away from the busier coastal crowds.
Located about 10 minutes north of Margaret River Town, Cowaramup (affectionately known as “Cow Town”) has a charming, small-town atmosphere and easy access to many of the region’s most iconic wineries: including Vasse Felix, Howard Park, and Cullen Wines.
I loved spending a slow afternoon here, perusing the shops on the main street, and grabbing ice cream from Miller’s Ice Creamery.
Things to Do in Cowaramup:
- Wine tasting at Vasse Felix, Cullen Wines, and Howard Park
- Grab treats and local goodies from Margaret River Chocolate Company and Providore nearby
- Explore the quirky cow sculptures around town for a fun photo op
- Enjoy a scenic drive through rolling vineyard landscapes
Where to Stay in Cowaramup:
- The Noble Grape Guesthouse – Charming, homely guesthouse with a garden setting and warm hospitality.
Yallingup / Smiths Beach / Injidup
Best For: Beach lovers, couples looking for a romantic escape, travellers wanting a scenic coastal base with luxury touches.
Why Stay Here: This stretch of coast offers some of the most beautiful beaches in Western Australia, making it a dream destination for ocean enthusiasts.
With turquoise water, dramatic headlands, and a laid-back vibe, it’s perfect for those who want beach time with easy access to wineries and gourmet experiences.
Located about 30 minutes north of Margaret River Town, Yallingup, Smiths Beach, and Injidup are known for their incredible natural beauty. The area also has excellent boutique accommodations, making it ideal for couples and travellers looking to splurge a little.
My mom and I cruised the coastline, stopping along beaches, visiting canal rocks and Injidup Natural Spa, one of my favourite active things to do in Margaret River. We loved it!
Things to Do in Yallingup / Smiths Beach / Injidup:
- Relax at Smiths Beach or take a dip in the Injidup Natural Spa
- Explore Canal Rocks Bridge for dramatic coastal views
- Sample wine and food at nearby Wills Domain or Aravina Estate
- Walk part of the Cape to Cape Track for unforgettable scenery
Where to Stay in Yallingup / Smiths Beach / Injidup:
- Smiths Beach Resort – Luxury beachfront resort with spacious suites and incredible ocean views.
- Barn Hives Yallingup – Adult-only, eco-luxury “pod” accommodation near Smiths Beach.
Dunsborough
Best For: First-time visitors, families, couples, and travellers who want a lively coastal town with plenty of dining options and easy access to both beaches and wineries.
Why Stay Here: Dunsborough is a vibrant coastal hub with a friendly, laid-back vibe. It’s perfectly positioned to explore the northern Margaret River region, from the calm waters of Eagle Bay to the iconic Cape Naturaliste Lighthouse and the Dunsborough jetty.
It’s also one of the best whale-watching bases in WA during spring.
My mom, husband and I spent a day in Dunsborough, grabbed breakfast at La Lah cafe, joined a half-day Dunsborough whale watching tour and had lunch at nearby Eagle Bay Brewery before heading out to Cape Naturaliste Lighthouse.
It’s a fantastic option for those who want coastal charm without feeling too remote.
Things to Do in Dunsborough:
- Go whale watching from Geographe Bay (September–December)
- Swim or paddle at Eagle Bay or Meelup Beach
- Explore Cape Naturaliste Lighthouse and the surrounding walking trails
- Enjoy local cafés, restaurants, and boutiques in town
Where to Stay in Dunsborough:
- Dunsborough Beach Cottages – Spacious, well-equipped cottages just steps from the beach.
- Empire Spa Retreat – Elegant adults-only retreat set among vineyards and native bushland.
Eagle Bay
Best For: Couples, luxury travellers, beach lovers, and anyone seeking a peaceful, upscale coastal escape.
Why Stay Here: Eagle Bay is the kind of place that feels like a secret. With its crystal-clear turquoise water, quiet atmosphere, and secluded beachfront properties, it’s perfect for those who want to slow down, recharge, and soak up the beauty of the region.
It’s close enough to Dunsborough for dining and activities but far enough away to feel blissfully removed from the crowds.
I spent an afternoon here swimming in the calm bay, watching paddleboarders glide across the glassy surface, and taking a leisurely walk along the shore. It’s easy to see why Eagle Bay has become a favourite for couples and honeymooners. It’s pure coastal serenity.
Things to Do in Eagle Bay:
- Swim, snorkel, or paddleboard in the bay’s calm, clear waters
- Watch a stunning sunset over the Indian Ocean
- Enjoy a long lunch at Eagle Bay Brewery just minutes away
- Take a scenic drive to Meelup Beach or Cape Naturaliste Lighthouse
Where to Stay in Eagle Bay:
- Eagle Bay House – Beautiful holiday home with ocean views, modern design, and spacious living areas.
- Nature’s Retreat at Eagle Bay – Four-bedroom holiday house just a 3-minute walk from Eagle Bay Beach.
Busselton
Best For: Families, couples, road trippers, and anyone who wants a relaxed seaside stay with easy access to the wider Margaret River region.
Why Stay Here: Busselton is often the gateway to Margaret River, making it a convenient and charming base.
With its iconic jetty, calm turquoise bay, and a classic beach town atmosphere, it’s perfect for travellers who want a laid-back coastal stay with plenty of amenities. It’s also an easy drive to North and Central Margaret River regional destinations like Dunsborough, Yallingup, and Margaret River Town, so day trips are a breeze.
We stopped in here along a Perth to Esperance road trip to see the Jetty and have lunch. The town has a lively vibe with lots of amenities.
It’s an especially good option for families or those looking for a slightly more affordable base with everything close by.
Things to Do in Busselton:
- Walk the Busselton Jetty, one of the longest wooden jetties in the world
- Snorkel or dive at the Underwater Observatory at the end of the jetty
- Enjoy a beach day on the calm shores of Geographe Bay
- Explore local cafés, breweries, and nearby wineries
Where to Stay in Busselton:
- Gale Street Motel & Villas – Modern, comfortable accommodation close to the beach and town centre.
- Busselton Jetty Chalets – Charming, well-located chalets just a short stroll from the foreshore.
Augusta
Best For: Nature lovers, couples, road trippers, and travellers who prefer a quiet, scenic escape at the southern tip of the region.
Why Stay Here: Augusta offers a slower pace and stunning natural beauty. Situated where the Indian and Southern Oceans meet, this coastal town is perfect for those who love rugged landscapes, dramatic coastlines, and a more off-the-beaten-path feel.
It’s a little further from the main Margaret River wine trail, but it makes up for it with its lighthouses, caves, wildlife encounters, and peaceful vibe.
Things to Do in Augusta:
- Climb Cape Leeuwin Lighthouse for breathtaking views where two oceans meet
- Explore Jewel Cave, the largest show cave in WA
- Stroll along the Blackwood River or kayak on calm waters
- Spot dolphins or whales (in season) along the coast
Where to Stay in Augusta:
- Alouarn Apartments – Modern, spacious apartments with ocean views, perfect for couples or small groups.
So, WhereWill You Stay in Margaret River?
One of the best things about visiting Margaret River is that every town and coastal hamlet offers something different. Whether you want to be in the heart of the action in Margaret River Town, wake up to ocean views in Prevelly or Eagle Bay, or unwind in the quiet charm of Augusta, there’s a perfect base for every kind of traveller.
If it’s your first time visiting, Margaret River Town is a fantastic central base (this is where I stayed and loved it!). But if you have a little more time, consider combining a few areas: maybe Prevelly for the coast, Cowaramup for the vineyards, and Augusta for its rugged, windswept beauty.
No matter where you stay, you’ll find warm hospitality, incredible scenery, and easy access to some of Western Australia’s best food, wine, and coastline.
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