Vilnius is a small city so there aren't many youth hostels offered. We finally decided on Hostelgate. The hostel is 10-15 minutes walk from the train or bus stations (also the airport bus). The hostel is centrally located and is very close to a supermarket, money exchange offices, etc. It's tiny, like a three-storey house, but both rooms, kitchen and living room are great. The three of us were mixed in a room of 6 people. The bathroom was outside and there were only 2 bathrooms (including a shower), but we never had to wait. They have internet, but there is a fee, and they don't include breakfast or towels.