The first place I stayed was the YHA Hostel in Bondi Beach. It’s a little out-of-the-way (as in, not on the main strip in front of the beach.) However, I actually enjoyed that a lot because we could hear the ocean instead of the people partying late into the night. It’s a run-down sort of hostel where everyone is on beach time (as in, not in a hurry,) but I like that as well.
It was a short walk down to Bondi Beach if you went one way, and a short walk down to Bronte Beach if you went the other. Both are beautiful, but Bondi Beach is certainly the more crowded of the two.
The best part was taking the coastal walk along the cliff-sides and seeing all the fabulous views. You can walk through Waverly Cemetery as part of the coastal walk as well, and that is a beautiful place full of old gravestones from early colonial days.
I walked all the way to Clovelly Bay, since I planned to snorkel there. It is a significant distance and there is a lot of up and down-hill, so I recommend a moderate fitness level or a bus pass so you don’t have to get back the same way if it’s too much for you.
Still, you can’t beat the views of the coast in the Sydney area! The sandstone cliffs are striking, and the little beaches inside coves are full of cheerful families and surfers. It’s really a delightful walk.