1. You can design a hostel logo how you see it yourself. If I like it I can tell you what we can change. Choose everything yourself.
2. If your want to do what I want try to write big letters INTERHOSTEL, not Interhostel. INTER-one colour, HOSTEL-other colour.
I would like to have a logostyle like baseball, icehokey or basketballs teams has a logo. Why not? Look Thombo logo nr.4 and 5. Page1, political candidate logo
Colours may be like american flag is red, white, blue.
Logotype can consist of 3 colours.
You can also look energylab logo from ludibes. Page 18, nr.5 He has very good colour: like skype green sign and blu colour.
Do logo in this way
Your can try to do logo in animated cartoon style, also.
Write letters INTERHOSTEL may be round, but people have to see this word from far away on a flag. Your can see logo hostels in the internet. House, bags, tree, bed do not know if I need them or not. Depends of how it is looks.
May be some round logo. It has to be cool and interesting.
Sites: hostelworld.com, hostelbookers.com, gomio.com, hihostels.com