My wife and I both loved our stay at Euro Youth Hotel. The location and price are hard to beat, but a few things surprised me. First, everything, even the shared bathrooms, is immaculately clean. I don't know how they achieve that. Second, the breakfast is an incredible deal. Finally, even though there is hopping nightlife right on the first floor, it was perfectly quiet in the room, so that's the best of both worlds.
The interior is nice, the people who worked at the front desk were always polite and helpful, the laundry facilities worked great -- in short, everything was as good or better than I would have expected. I very, very strongly recommend this to other travelers and I will try to stay here again if I come back to Munich.
One thing to note: make reservations in advance. It seemed like every time I walked past the front dest there was someone with a backpack who was upset that there was no room for them.