YES !!!
This doesn't get mentioned enough.
(perhaps because some travellers want the cocooned, jacked directly into smartphone all evening/night experience, I don't know ...)
I can understand that if you want to leave your fellow travellers behind at the hotel reception desk, then hostels don't seem very attractive. And a good deal at a
Travelodge (2 sharing) will seem much better value than beds in a YHA.
This is one aspect which, especially when solo, made visits to some YHAs memorable. Because you were all either on foot or bike (particularly in more rural Hostels) even if you had some sort of language barrier, mostly you had some kind of rapport. A bunch of us were at a rural Hostel in Wales on a soaking wet evening when I got the coal fire going and we all sat round the fire with our clothes hanging and steaming while we warmed up. Among us was an American guy who'd never seen a coal fire before and he was just amazed that you could get rocks to burn. It probably made his holiday.
The warden turned up later and wasn't best pleased about us using some of his coal stock. Still, we and our clothes were warm and dry and the place had had an airing.
One fine summer evening I approached Holford YHA through the woods and could hear piano music drifting through the trees. It was magical. One of the Hostellers was an accomplished pianist and entertained us through the evening with various bits of classical and popular music.
On random occasions there were beery nights at pubs near Hostels. I fear that following such occasions I might have been one of the farty snorers.
One time a group of us tried to assemble enough schoolboy French to give directions to a French cyclist to the next YHA. He might still be looking for it.
I got a lecture in Shrewsbury YHA from an Australian dorm mate about the perils of eating salami when I made a sandwich for my tea. "Yer don't wanna eat that, mate. It'll do yer in!" He was horrified when I ate the rest of it. I think he might have lain awake all night waiting for me to stop breathing. It seems to be an Australian thing, as for a long time such meat products were not allowed to be imported.
I met a Dutch guy while doing a mini tour of North and Mid Wales and we followed the same route for a while, and stayed in a couple of Hostels. We even corresponded for a while. His English was impressively good.
At Ludlow YHA a young woman with an MG dragged me out to sample the night life. She was pretty forceful, it was hard to say no. I'd like to say that we got married and had 10 kids but no, we were just ships that passed in the night.
I could go on (and on, and frequently do) but just to say, yes, a lot of it was about the people you met as much as anything.
Don't forget, most YHAs didn't have a TV (very late adoption) let alone the things we have come to expect today, so people actually had to talk to each other! The very idea!
I can appreciate a good deal as much as anyone but I have just realised that it's even longer since I stayed in a Travelodge than it is since I last stayed at a YHA. I must put that right ASAP.