After staying for four nights at 3Sis, my travel companion and I struck out to find cheaper accomodations for another five nights in Chiang Mai. The room we found at Smile House, at THB 700/night, was less than half of what we paid at 3Sis. Smile House was, indeed, more basic, and breakfast was not included, but it was still a satisfying stay.
I wanted a quieter place, and got it at Smile House, which is located off a lightlly travelled alley and very close to a bunch of useful places: motorcycle rental, restaurants, bars, massage places, coffee shops. The bed was fine and the TV worked (only Thai channnels). There were a few niggly things, like a bathroom with no ventilation and a lukewarm shower, an AC that might not cut it in the hot season, and some noise from the room above ours.
Although it's called Smile House, I think one of the desk managers there tried not to smile on purpose. Ironically, though, she was very helpful and arranged for us a delightful cooking class and bus tickets to Chiang Rai. Unlike 3Sis, which processed a four-night room charge upon check-in, Smile House let us pay by the day.
The pool is small and was cold when we were there.