I don't think you will find a hotel or motel for $25/night in or around New Orleans.
However, the India House Hostel should fit your budget:
http://www.indiahousehostel.com/
Note that almost all of the negative reviews are from people who stayed at India House during the year after Katrina. The hostel was flooded by the storm and probably should not have re-opened until the repairs were complete
Motel 6, is still a bargain. http://answers.yahoo.com/question/accuse_write?qid=20080420072722AAksN41&kid=B5dLOm_hLWd8C0lI.l8v&s=comm&date=2008-04-22+10%3A54%3A50&.crumb=
$75 to $99 is more like it.
you can sleep in a tent for $25
they will be sold out around jazz fest etc.
and they sometimes require 3 night reservations.
New Orleans West KOA
11129 Jefferson Highway
River Ridge, LA 70123
Information: (504) 467-1792
Fax: (504)464-7204
Email: noeast@sonic.net
Or By Phone: (800) 562-5110
From I-10 take Exit 223A Williams Boulevard (Louisiana 49). Go south on Williams Boulevard to end (Louisiana 48 / Jefferson Highway), turn left 0.75 mile to KOA on left.
Try a motel 6, but $25 a night is not going to get you anything but a fleabag. At least at a motel 6 your room will be clean, basic and comfortable, but it will be more then $25 a night. Spend more on your room and less on partying. You can have a good time in new Orleans with very little money.
I saw one in Gentilly for $25 a night a year ago. It may have been Knights Inn. It was a real 1 star dump. You may be better off sleeping in your car.
About $50 a night is more like it. For $25 a night you wouldn't want to use the bed or bathroom. Yuck.
I don't think you would find any that cheap.
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