Choluteca's in-town hotels are pretty utilitarian, but pretty inexpensive, too. (You get what you pay for.) Hotel Bonsai, with rooms surrounding a courtyard, is the best of the lot. Look at a couple of the rooms before you decide: in a few of them, the bathroom is only partially walled off from the rest of the unit. Spring for air-conditioning, too—it costs only a few dollars more. Some of the rooms have only fans, and you'll definitely want more than that in the heat.
½ block south of Parque Central, Choluteca, Honduras