The hotel Xenia is a nice 3 star family hotel in a residential area operated from the owners. I have stayed a couple of times there and I was very satisfied with everything. The owners, an older Greek pair, are very friendly and have reminded me of my stays in Greece during the summer. The breakfast is everyday fresh, the older lady has arranged to make it extra for me, with fresh bread from the bakery near the hotel (obviously there were not that many guests at that times).I loved the rooms, which are spacious (something not typical for a 3 star hotel), with great bathroom and always very clean. I would recommend this hotel to anyone but especially to families, which are travelling on a budget and would like a good and fast connection to the city center, through the S-Bahn Station Schwabstraße is directly 500 meters down the street, near the hotel( So far I remember it took me about 5-10 minutes to the Central train Station).
All in All, give this hotel a try, if you want to avoid the very center of Stuttgart and want something authentic, but if you are planning to stay there for several days, you could try to negotiate directly with the owners, and who knows, maybe you have luck !!!
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