To give the sort end of it: As there is, anything inside Pingyao's old city walls is a great location (the whole city is only 1 square mile). This hostel/hotel has clean, fairly nice rooms. The one con is the front desk (very little English unless the [owner?] Bob is around). That said...Lonely Planet #1 recommended Yama Hostel is right across the street. So what we planned in advance, and liked - stay here, cheaper and seemingly nicer rooms, and definitely nicer courtyard. If you need to book anything (onward bus tickets, etc)- just stroll across the street to Yama Hostel. If you need breakfast too - stroll onward, better menu and lower prices.
Pros: Location, nice rooms for the price/location, interesting courtyard.
Cons: Front desk a bit unhelpful for booking onward tickets/etc. Bathroom had low water pressure.
Bottom line: I'm happy we stayed here. Use Yama's services (excellent), but enjoy Zhengjia's seemingly nicer, and definitely bit cheaper rooms. I also offhand, like staying in a hotel/hostel that doesn't seem to contain 95% of Pingyao's western visitors, as Yama seems to...though many would enjoy that, especially those traveling solo/without knowing Mandarin I imagine.
This review is the subjective opinion of a TripAdvisor member and not of TripAdvisor LLC