Yamba

If in doubt paddle out.

This sea side town sits on the east coast of Australia between Sydney and Brisbane. Many people miss this little town out but it was one of my favourite and most memorable places I have been in Australia. 

The YHA is the only hostel in the town and is run by three very energetic brothers and their families. This hostel is more like a home and the backpackers become like a family. I only stayed here for a week but you can easily - as many do - settle in for the long run. Surf lessons are only $10 for three hours and you can have the board for the rest of the day. Shane's famous tour is only $15 and you get to see some amazing places and go cliff jumping! You tend to make your own parties and fun - although there is a very intense beer pong competition and other evening entertainment run by the hostel.

http://www.yha.com.au/hostels/nsw/backpackers-hostels-near-byron-bay/yamba/