If you are on a shoestring budget, then paying $30 usd for two persons in a private room ensuite bathroom is fantastic! Especially if the place is super clean and well located.

The room is uber small but well lit. And the place ia newly refurbished. If you are super tall or big, you will have a problem since the bed is not standard, maybe 6 feet long? And floor space is not too much. BUT, if you want to save on lodging and use your money instead for shopping and eating, this is the best place to be. Very well located, everything is walking distance! And the local MTR is just outside the door.

Best place for singles and couples.

Place is super super clean and location is just great, with subway nextdoor and a lot of Hong Kong action aroud!
Building itself isn't the nicest, so don't get scared with the first impression, it gets much better!
Price was not the lowest, but it is Chinese new year and Hong Kong is pricy all around. And toilette is a bit tinny.
But overall no discussion: great place! They even have a TV in the room! Never saw such a thing in a hostel!
5 out of 5!

Kyoto has what other budget guesthouses in Hong Kong should strive for
-Friendly staff
-Clean sheets and towels
-Good wireless internet access in room
-Well functioning AC
-Steps from MTR
-Lively street scene in the area; good international restaurants, grocery, shopping, bars, etc

Negatives:
- It is in the Chungking Mansions which did not seem as seedy as it's reputation. Touts on the streets in front were not overly agressive. Kyoto is on the 15th floor so it would be long run down the stairs in an emergency. We felt safe enough.
-Small 8 foot by 8 foot (roughly) room without space for a chair or other place to sit other than on the bed.
-No common area elsewhere to relax

Kyoto is a few dollars more than other hostels/guesthouses in the area. We thought it well worth paying a little more and would stay again.