I completely agree with Margie--those are two places not to miss--I would add, go very hungry to the Great Market Hall and be sure to have lunch upstairs.  I also enjoyed Szobor Park (Statue Park).  It is on the outskirts of Budapest.  It is where they have moved many of the communist era statues.  Regarding places to stay, if you are looking for budget places EasyHotel in the Oktagon area was convenient and comfortable, but small.  Also, Casa de Musica, which is a hostel has small private rooms with shared bath.  It was a very friendly place.  You should also try palacsintas (Hungarian Crepes).  I liked Nagyi Palacsintazoja,  itis situated right by the Batthyány Square market hall, opposite the Parliament (on the Buda side).

Posted Aug 05, 2011

It's been a few years since I was in Budapest so I'm sure the hotel situation has changed but for a quick couple of days in Budapest I would say the Szechenyi Baths are a must. If you are going soon (ie in August) I would also highly recommend a trip on the Children's Railway. Its quite the experience (and the kids take their jobs very seriously). It's also a very nice trip through the green hills of Buda. http://www.gyermekvasut.hu/english/chrw_home.php

Posted Aug 04, 2011

We stayed on a boat, turned into a hotel moored in the Danube river.  It was reasonable and a different way to stay while seeing seeing Budapest.  We also ate on another boat, turned into a restaurant moored in the Danube.  It was open air and the food was great.  Can't remember the names of either, but you can find them online easily.  

Posted Aug 04, 2011

I usually stay at the Marriott. Right on the Danube, fab views across at the Castle. 2 days? Buda and the castle district on day 1. Pest and the main shopping streets and multi story food emporium. The Opera House tour is also quite nice. I happened to be there on the anniversary of the 1956 Revolution, and the ceremony was quite colorful and stirring.

Posted Aug 04, 2011

The Great Synagogue and the Wallenberg memorial

The Great Market Hall--go hungry.

Posted Aug 05, 2011

I recommend Lanchid 19. It's a great little design hotel on the river and the prices are very reasonable.

Check it out! http://www.designhotels.com/lanchid

Posted Aug 04, 2011

For a super-comfortable hotel in a great location (and a top value) you can't beat the Hotel Andrassy.  It's walkable to just about all the sites and has easy access to the metro.  The building is a Bauhaus gem and the location is filled with shops, restaurants and gorgeous architecture.  You can often find rooms here less than EUR150 per night.

Posted Aug 04, 2011

I stayed in a hotel on the Pest side..much cheaper. I do not remember the name. I got it on hotels.com it was clean and nice. It had a small bar. It was perfect.

You should take Gabbys tour! She is amazing!!!! We had the best time with her!!! She is Friendly and really knows her history! I loved it there!

http://www.privatetoursbudapest.com/

Enjoy!!!

Posted Aug 10, 2011

Although we avoid staying in large hotels if at all posible, preferring small B&Bs run by locals, in Budapest we had a outstanding experience staying at the Ibis Hotel "Centrum."  This one is located on the "Pest" side on the Raday utca, district IX.  Raday utca is a street with great restaurants popular by locals.  Great walking area close to the river  The hotel is also near the metro, the newest line opening soon.  We got a three day pass and used the metro all the time.  This hotel also has a great underground parking garage if necessary, for extra fee.  It's also near the Great Market Hall. By the way, we had no reservation in July but showed up and stayed four nights without concern over room availabiltiy.   We were EXTREMELY pleased with Ibis Centrum (not the Ibis further out.  I would definitely stay at this Ibis again.  Make sure it's "centrum") www.ibis-centrum.hu  

Posted Aug 12, 2011

I stated at the Hotel Palazzo Zichy and it was really great.  Price is right, the staff is very friendly.  Not the fuss of a major hotel.  Its not on the Danube if thats what you want though.

Posted Aug 15, 2011

I stayed in Promenade hotel, well situated near the river and very good price, the National Museum is a must if you like medieval history, i really enjoyed and is one of the best i've been, well dont expect the louvre or hermitage, but is a very good, the baths also, try to mingle with locals is a good experience, use the metro if you can, old but i enjoyed also, similar than Moscow metro, dont expect good food.

Posted Aug 18, 2011

We were there in 2006 and stayed I believe on the Pest side (could be wrong) in Four Seasons. Perfect location and most of the attractions were at a walking distance. We enjoyed the "cave tours", "castle" and the art museum near by.

Posted Aug 18, 2011

Stay: the Mamaison! After a seven countries in thirty day trip, it was my favorite. so comfortable and super convient. the yellow line is two blocks away, easy to get to anywhere in the city. The museum of terror around the corner.
To do: the Gellert for a bath, peek into the cave church and wander up Gellert Hill for an absolutely worth it amazing view. don't miss the eating at the Gundel (in 4 days I ate there twice!). 

Posted Aug 22, 2011