We spent 2 nights. We enjoyed Puerto Varas for its small town charm, quaint location on the lake and stunning view of Volcan Osorno. We happened upon Ellenhaus from 'Rough Guides'. Our room was cosy and simple, with comfortable bedding. The housekeeping staff were quick to correct any requests. Main drawbacks were paper-thin walls (conversations cannot be of a sensitive, private nature, and woe-be-to-you who has a snorer next door), and inadequate hot water pressure for the showers. Among the 'plus' qualities include the breakfast with the delicious home-made 'kuchen' and the ping-pong table upstairs. Oh, and beware the late night hours policy after a night out!