I booked this hotel from Xela and asked them to pick me up when I got off the bus in Panahachel. They came in less than 3 minutes. The hotel is on the main street, not far from the bus stop. Very naturally decorated. The room is new and clean, good size bed and bathroom with sky window. If you like people watching, the room facing the street has veranda and you can sit there and enjoy the view.

There is a small courtyard in the back, some customers like to sit there and hang out or have meals. The restaurant is in the front and you can have meals there too. The service is excellent, they also have laundry service.

The hotel is closer to a couple of internet cafes and clubs than to the lake side. I stayed there twice during my trip in Guatemala. With a price tag of $40, it's a steal! Much better than the more expensive ones near the lake.

Highly recommend it.

Stayed at the Hotel Primavera in Panajachel in July and had a beautiful room. The staff will also do your laundry (wash, dry, and fold). It cost around $4 for one load. The rooms were large, very nice and very clean but ask for a room at the back as the main drag gets really noisy at night. Great water pressure in the shower. If you get a room in the front bring ear plugs. The advantage of a room at the front is that it is great for people watching if you have a few moments to spare. Lovely little cafe just a few doors down (towards the lake) called Chinitas. The food is great and very reasonable. Highly recommend it. Take the boat tour but be warned that if you buy anything in Santiago de Atitlan you will be swarmed. I bought some material and we were followed back to the boat by about 8 women selling huipiles. I finally bought one and then turned my back and tried to ignore them, my friend got the best deal though. They kept lowering the price and she bought one for $5. Some people get all the luck. They still didn't leave until the boat took off.

Have just spent 3 nights here. A great little oasis, with a nice inner courtyard amongst the tourist shops of Panajachel. I paid US$30/night for a single and had a wonderful room. Clean, quiet, great bathroom, comfortable bed and cable TV. The only downside was that it didn't accept credit cards. Recommended.

2 doors away is Pana Pan, a great place to stop for pastries (muffins, croissants, bread) for breakfast.