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Where to stay in Bay of Islands
The Bay of Islands is anchored by the historic township of Russell and the bustling gateway of Paihia, separated by a short ferry ride. Choosing where to stay depends entirely on your transport mode; if you intend to rely on the frequent water shuttles and local charters, stick to the coastal hubs. If you plan to explore the wider Northland region or remote hiking trails, you will need a rental car regardless of your base.

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Paihia is the region’s commercial heartbeat, offering constant movement and energy. You can walk to the Maritime Building for boat tours, the Waitangi Treaty Grounds, and a dense strip of bars and restaurants along Marsden Road. It feels like a bustling summer holiday town where convenience is prioritised over isolation. You are never more than ten minutes from a water activity.
Russell
Formerly known as Kororareka, Russell retains a colonial village aesthetic that feels worlds away from Paihia. It is exceptionally walkable, with the Strand lined by boutique galleries and historic establishments like the Duke of Marlborough Hotel. You can easily stroll to Pompallier Mission or head up to Flagstaff Hill for panoramic views. It is peaceful, refined, and entirely focused on waterfront leisure.
Kerikeri
Located slightly inland, Kerikeri offers a more grounded, local experience compared to the seaside tourist hubs. You can walk the trails to Rainbow Falls or explore the historic Stone Store and Kemp House at the Basin. The town center is compact and pedestrian-friendly, filled with artisanal cafes and produce shops. It acts as a quiet, functional anchor for those focused on food and history.
One thing to think about
Avoid booking accommodation that lacks dedicated off-street parking if you are visiting during the peak summer months of January and February. Street parking in Paihia becomes incredibly scarce, and relying on public buses to reach nearby coastal spots or grocery hubs can leave you stranded after sunset when services terminate.
Once you have a bed
The things that sell out first in Bay of Islands are the small-group tours and the skip-the-line tickets.
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Common questions
Do I really need a rental car to enjoy the Bay of Islands?
While Paihia and Russell are walkable, you need a car to access the best regional highlights like Rainbow Falls, Puketi Forest, or northern beaches. Unless you are content staying strictly within the ferry-connected hubs or relying on expensive daily shuttle tours, a vehicle is essential for true flexibility.
Which town is better for a romantic or quiet getaway?
Russell is far superior for a quiet, romantic trip. Its historic architecture, lack of high-density tourist infrastructure, and serene waterfront dining options provide a sophisticated atmosphere. Paihia can be noisy and crowded with tour groups, whereas Russell maintains a sleepy, charming character that feels more exclusive and intimate.
How do I travel between the towns if I do not have a car?
The most reliable way to travel between Paihia and Russell is the passenger ferry, which runs frequently throughout the day. For other areas, you must rely on private shuttle services or pre-booked tour transport. There is no comprehensive public bus network connecting the rural outskirts or smaller surrounding townships.
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