You can find some good suggestions here

tripadvisor.com/ShowTopic-g274887-i263-k1667…

and here

tripadvisor.com/ShowTopic-g274887-i263-k1387…

You may also find more by searching the forums.

If you are trying to keep to cheap eats, you might consider getting some things at a local public market. The Nagy Csarnok (Great Market Hall) which services a lot of tourists, but there's buffets upstairs along with souvenir shops.

Other public markets to look for:

- Hunyadi Piac on Hunyadi tér (square) is a short walk northeast from the Oktogon or take the yellow line to the Vörösmarty utca stop. There are stands outside and inside there is a bake shop, an espresso place, a langos stand (deep fried disc of dough), and a sweets shop at the very end.

- Rákóczi tér Csarnok is one that is easy to locate as it is just off the körút (ring road) where the 4 and 6 trams travel. Just get off at the Rákóczi tér stop and go across the street towards the square. The market is behind the square.

Also look at this cheap eats article: tripadvisor.com/Travel-g274887-s504/Budapest…

As for restaurant suggestions:

Regős Étterem is place that serves good homey food. (on the 4/6 tram, get off on the Király utca stop, go up a bit further up the körút until Szófia utca, and head north about 5 blocks)

Kispipa Vendéglő is a decent old-fashioned place, with decent prices and usually someone playing the keyboard most nights. (take a short walk south from the Wesselényi utca stop on the 4/6 tram until you get to Akácfa)

Also you may consider Trófea Grill. They are a chain of Hungarian all-you-can-eat (and drink) restaurants in which they grill up meats and seafood for each person. Their buffets are quite good (and I don't generally like buffets) and have good traditional Hungarian fare.

The prices vary by location, but expect to pay ~$18 for lunch and ~$25 for dinner on weekdays. (more on Friday nights and weekends) The easiest ones to locate are one on the Buda side of the Danube near Margit bridge, and the one in Zugló at the end of the yellow metro line.

http://www.trofeagrill.hu/