We stayed three days in Iguacu (which is the default stay time since you need one day to visit the Brazilian side of the falls, one other day to visit the Argentinian side and the last you can go to the Itaipu Dam or to Paraguay).
The small pousada is very comfortable, located in a quiet neighborhood,with a nice pool and not-so-bad rooms (for Brazilian standards...).
It's located near the bus stop to both sides of the falls, and near to Foz city centre, with a very good churrascaria and a big market.
The breakfast is really really good, plenty of fruits, cakes and sandwiches.
I've said be careful with the owner because the nice Evelina, a multilingual (Portuguese, Italian, French, English, Spanish, whatever... ) speaking lady is always available to help guests go visit Iguacu, but she's also a tourist agent.
So if you ask her too many informations you may start your journey with all the tickets purchased by her, or ending in a guided tour (she's the guide of course) to the falls.
I'm not saying that's bad, but getting around there is very easy (passing the border between Brazil and Argentina too, everything is perfectly organized and people is always available to help tourists) so you may prefer doing that by yourself, not arranging a tour.
That's what we found to be a little unfair, she and her staff presents things much more complex than they really are, just to say at the end "but of course you can book the tour with us".
Just to make an example, at the checkout the person at the desk was surprised that we were paying a low price, just to discover that we didn't take the Argentina tour with Evelina. We felt like they know exactly what to sell to tourists, and try hard to do so, and they expect everyone to pay the same.
If you want to have everything arranged by others, that's the place to go, otherwise you've been warned :) In both cases the place is good, and it's really worth the price.
This review is the subjective opinion of a TripAdvisor member and not of TripAdvisor LLC.