Budget-friendly = sleeping in dormitories and sacrificing comfort? No, not necessarily and not in Sicily!
Apart from hostels there are numerous holiday apartments, B&Bs and small hotels where you won't spend a fortune. Not only the value for money is great, also the chance of plunging into real Sicilian life is. All hostels we've seen are neat and tidy, and provide overnight accommodation from single and double to family rooms to shared rooms and dormitories. Hostels also offer usually a wide range of activities like cooking and music classes, sport courses, common city strolls and pub crawls. In Syracuse you'll find "LOL Hostel", the first luxury hostel in Sicily, only 10 minutes by foot to the historical district Ortigia. An overnight in their dormitory starts at € 14,00, a night in a hotel-like equipped double room at € 25,00 per person. We also like "A Casa di Amici" in Palermo (great staff and great fun), and "Giannihouse" in Giardini-Naxos - here we like in particular Gianni's weekly pasta evenings on the huge rooftop terrace :-) Conclusion: budget-friendly = friendly to your purse but not unfriendly to comfort and privacy!