There are many budget accommodation options on the Island of Rab Croatia.

You can find inexpensive private accommodation like Badurina, Banjol 169, 51280, with spotless rooms within easy walking distance from both the sea and the town and within meters of a supermarket. The view of Rab from the terrace is breathtaking. The family who run the business is friendly helpful and genuinely good people.

With a little internet research, you can also find backpacker and youth hostels. 

There are also plenty of inexpensive hotels and bed & breakfasts in town, if that type of accommodation suits you better. Click to go to the TA Pages for Rab