Should I advance my trip?

I am looking for a few affordable accommodation options in Vancouver. I want to spend my new year eve at Vancouver. But, the main purpose of visiting Vancouver will be to participate in the Dine Out Vancouver Festival. This time it will start around January 19th. It is actually a 17-day celebration. I am thinking of spending the first 3 to 5 days there. I am finding it difficult to find a hotel due to festivals and new year season. One of my friends suggested me to opt for hostel accommodation in Vancouver downtown. He is saying it will be a lot cheaper and, rooms will be available all time. But, I have never stayed in a hostel room. Of course, I am open to trying out new things. But, if something goes wrong it will ruin my whole vacation. So my question is should I advance my trip to the end of January and what are the chances for I am getting a nice and affordable hotel room if I do so?