Budget
Casa del Agua
Small guesthouse a 1/2 a block from the Cathedral. Has a great pool to relax in after a long hot day in Granada. All rooms have a private toilet and bath with hot water. Each room comes with a flat-screen HD television. A/C is available in the double rooms for $6. There is a large full kitchen with appliances and utensils so you can make use of the fresh food at the market that is a few blocks away. You can book the entire place for a group and there are studio apartments with a private entrance available as well.
Bearded Monkey
A crowded hostel, restaurant, and bar. Free internet use, hammocks and a big and well-selected DVD-Library, great food, try the homemade Lemonade. Staff seem a bit surly. Big business, some long term travellers regard the atmosphere as "rip-off". While this is a great place to meet other travelers, it is not ideal for those who are looking to catch up on sleep. Bring some earplugs and an eye mask because loud music and bright overhead lights stay on until the wee hours of the morning. Also reports of bed bugs.
The Oasis
A bit more expensive than the other hostels, but very nice. Clean and safe, free 15 minute phone call home on their Internet phone to US, Canada and Europe, free Internet, a small restaurant that mainly serves breakfast, modern colonial style interior, a courtyard with hammocks and another courtyard with a small pool. Multiple tv's with a large selection of dvds to choose from. Great view from the rooftop pila as you wash your clothes. They also have private, air conditioned rooms for around $20/night.
The Dolphin GuestHouse
Apartments in Nicaragua. Beautiful views of Nicaragua lake, mombacho volcano, and cathedral.
La Libertad
A nice, clean, quiet hostel in an airy and spacious colonial building. Well-equipped kitchen. Warm atmosphere with wifi and three computers with internet. Unlimited coffee in the morning included.
Hospedaje Central
1 block west of the parque central in "calle la calzada". don't expect fancy, but it is comfortable enough. it is run by a nice family. it has an unbeatable location, sitting in the main street where all the cafes, bars, and street performers can be found. it has a front bar/restaurant as well but isn't a very lively place to be normally. 5 usd per night in dorm. 12 usd for a room with private bathroom. free wifi in room and free coffee. the food is not the best, but the mojito happy-hour is unbeaten: cervezas c 10 per bottle or c 22 for a litro, 2 mojitos for c 25.
El Tiangue
Calle atravesada near intersection of calle estrada. no frills, but great price and location. 10 usd for a private double room spotless bathroom two doors down. three blocks from parque central, around the corner from the oasis, gated entrance. upstairs from the street market, 2-3 blocks from busses and grocery store. awesome quick, cheap food is across the street about $1 for a full meal, in a green building that can be easy to miss during the street's busy hours. 11 jan 2009 update:security is an issue here. we had all our credit cards and cash stolen from our locked and dead-bolted room. the owner could not explain how someone could access our room when the security was sitting outside it.
El Dorado
In calle xalteva, opposite the supermarket lacayo. very clean. dormitories cost from us$5. single rooms start at us$12. free coffee. a courtyard with hammocks and cable tv. tourist information and a very friendly atmosphere. dorms are very stuff even with the fan running all night. beds are really really comfy though and the showers downstairs are kept extremely clean! very fun place to hang out and relax. closed for renovation as of january, 2011
Hospedaje Esfinge
Across from the mercado on calle atravesada this very quiet and quite large place is fairly nice for a budget option. in early 2009 a double with shared bath was 13 dollars, and was festively painted. a safe place, but near the worse part of town. the entrance is watched 24 hours a day by the wife and husband owners and another man. quite time begins at 10, which basically means you have to turn the tv off and if you want to go out, you just have to knock to get back in.
Hostel El Rinconcito
Hostal El Rinconcito is a new hostel in Granada that is run by a trustworthy and honest family. Hostal owner and staff are friendly and helpful. Hostal offers WIFI and cable television. Door closes at 02.00 AM, but you make an arrangement here with the staff very easily. *******updated******* Its a really nice place with comfortable clean rooms, the offer wifi, free kitchen, laundry and accessible prices, its a bit further from the central park but its just 3 blocks away. staff are always smiling and always asking about what you want, they like to talk with foreign people and make a good friendship. web: (http://www.facebook.com/h...)
Casa Sacuanjoche GuestHouse
Private bathrooms, ceiling and standing fans, cable TV, free WiFi, purified water, Perfect for long term and volunteers
Midrange
Hotel Casa San Francisco
Beautiful boutique hotel with pool, wi-fi, complimentary breakfast, air conditioning, hot water, tv/cable. The first boutique hotel in Granada, serving travelers for 10 years, check out trip advisor. Great staff to take care of your travel plans, also offering, longer term housing. www.hotelcasasanfrancisco.com
Hotel El Almirante
In a renovated colonial house in the historic center of Granada. The hotel rooms have bathrooms, flat screen TV and safe deposit box. Swimming pool, free wireless internet access and cable TV.
Hotel Jerico
The rooms have air-con, big bed, sofa and free wi-fi. Two computers in front for use too. The place doesnt have much atmosphere, but for the price, it might be the best deal in the area. Its also far enough down the main strip that it doesnt get noisy.
La Islita Boutique Hotel
(http://www.laislita.com) Chic, Intimate, Stylish; cozy boutique hotel; eight rooms with comfortable beds, AC, WiFi, cable TV, private bathroom, continental breakfast; stunning rooftop terrace. $50-$75/night
Hotel El Club
The hotel features 11 rooms with wireless Internet. This hotel doubles as a disco, so be ready to party.
Hotel Spa Granada
In the largest intact surviving colonial house in Granada. The room rental includes a 30 minute massage and access to the largest pool in the historic center of Granada.
Hotel Casa Vivaldi
(http://www.hotel-granada-...) Discover one of the most comfortable hotels in Granada, Nicaragua: an oasis with the biggest pool in town surrounded by tropical vegetation will offer to you beautifull moments of relax, away from city daze. $44-$54/night
Hotel con Corazón
Hotel con Corazón is a beautiful hotel 15 rooms in the center of Granada. A double for $64/71 including taxes and a extensive breakfast. Swimmingpool and WIFI included. It has a special twist, discover how your visit helps Nicaragua build a brighter future with your stay.
Hotel La Pergola
An antique colonial house built in the XIXth century that has been restored conserving the characteristic of the wonderful houses of Granada.
Top end
Hotel Plaza Colon
Beautiful boutique hotel.
Hotel Spa Granada
La Gran Francia
Right in the middle of town. beautiful. $90-$200/night
La Alhambra
Right in the middle of town. beautiful. $50-$80/night
Hostal San Angel
A nice hostal just 50 meters from the town center. A private room with en-suite goes from USD$ 12.00 per night with breakfast included. It's cleanish and the owners are very nice and the owner speaks a bit English. They also have an internet computer and wifi.