Hostels costs around 8-10 bucks a night and are simple bunk bed affairs.
If you’re looking to stay and live for a while then get an Israeli friend to translate the website http://www.homeless.co.il for you. Tel Aviv has experienced insane housing inflation of late and a room in a shared apartment might now cost $600 with a studio going for $1000 a month – prices went up by 30% in the last year alone. And there are queues of people for each room or flat.
Prices can be half that outside the city. For this reason Tel Aviv is one of the most expensive cities in the world in ratio to what people earn.
Once you have a place it’s fairly easy to get furniture from what people leave in the street and from the flea markets.