The Hotel Bavaria was perfect for us. It's a small, very well-run hotel with friendly staff and a welcoming atmosphere. The room we stayed in was a good size, with a comfortable bed, desk, two armchairs, and large wardrobe. The bathroom was small but efficient and well-designed.
We loved the generous breakfast and good coffee, and the short walk from the train station. Do ask about the construction if you're staying soon (we were there in late December 2012) because it was very loud during the day.
The Barvaria was also good for drinks or light snacks and a cozy place to spend time. The staff could not have been more helpful - we really appreciated their recommendations and advice. The location is one stop from the city center, but worth the short trip for the great value. We would definitely stay here again.