Backpackers rejoice! Hostel, L'Auberge Inn, a very clean Swiss owned hostal, very close to the colonial and modern districts, sits comfortably on Avenida Colombia 1138 y Yahuachi.
Rooms with a private bath start at $10.00. Those with the shared bath down the hall start at $7.00.
The spacious courtyard welcomes get-togethers or an evening moonlight mini stroll when there's a moon. Clouds cover the moon a lot.
If you're planning to stay long term, an apartment might work better for you where you don't have to share anything.
And, it's strategically closer to the historic center... you can get the trolley downstairs going downtown right by the building,and going the other direction, or the Eco Villa trolley, which covers another area a few steps further.
Breakfast costs an additional $2.00 to $3.00. Access to prepare your own favorite meal in the kitchen for free comes with the rate.
There's always a grocery store nearby. And access to the nearest Super Maxi won't break you, especially if you go by bus and return by taxi with your load, since taxis here charge much less than perhaps where you're from. I know the rates in the States ring prohibitive.
They use filtered water so you don't even have to buy bottled water.
This Quito hostel, L'Auberge Inn, provides with its accommodation, opportunity for a brisk walk to and from the colonial plaza, or you can taxi or trolley it to la colonial.
It's not far from Parque El Ejido and on the same street as Parque Alameda, a short walk away on Colombia.
La Mariscal tourist mecca is walking distance also.
I always recommend group walking at night, but that's true anywhere in the world.