In the heart of Barcelona: "Cheap accomodation" Barcelona Hotel Tip by Labrix
Barcelona Hotels: 954 reviews and 890 photos
I have a friend who had been in the Hostal Grau. They have rooms and apartments for rent and it's really cheap, besides, it's in the HEART of Barcelona, or as the Catalonian people say "al rovell de l'ou" (direct translation from the catalan: at the egg yolk).
Here you have the website, but don't be impressed for the pictures, as it's older that what it looks like.
You can try also the Hotel Banys Orientals, it's a little bit more expensive but much more beautiful, and the relationship quality/price is really good. It's also very well located, in the Gothic area of the city.
About looking for cheap flights, try with this page.
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