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A small town, Ayodhya is spread over an area of only 10.24 square kilometres (Delhi is 1483 sq km) and has a population of 49,650 (2001 census). In 1901 the town had 21,584 inhabitants. Ayodhya is located in the Faizabad district of Uttar Pradesh and the district headquarter Faizabad is 6 kilometres to the south-west. Ayodhya and Faizabad are referred to as twin towns.

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The river Saryu, also known as Ghagra, a tributary of the Ganga marks the northern boundary of the town. Ayodhya has a railway station and the National Highway 28 skirts the town on its the eastern periphery. The nearest airport is in Faizabad.

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A temple town, Ayodhya is dotted with temples and ghats on the banks of the river Saryu, but there are only a few educational institutions. The largest being the Kasu Saket PG College. The nearest university is the Dr Ram Manohar Lohia Avadh University in Faizabad.

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The disputed Ramjanmabhoomi-Babri Masjid site is located west of the centre of Ayodhya town.

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The disputed site, where the Babri Masjid once stood, is now strongly guarded and an area of 47 acres around the site is barricaded with barbed wire and steel fences.