Our first day in Ireland will be primarily spent visiting the Cliffs and driving to Dingle (we do not arrive at Shannon airport from Birmingham until noon). The next day will be spent touring the peninsula, staying in Dingle another night. Where should we stay? Dingletown only? Dingletown the first night and another town the second night?

Any advice would be most helpful. TIA!

I would spend the second night in Dingle in the same place as your first night. The pennisula can be done in a few hours, depending on how often you stop. (Beehive huts, Blasket Center, Gallorus Oratory, Louis Mulcahey, many photo opps etc.) If you stay in Dingle, you don't have to pack up on the second morning, which makes things a little easier. Will you be in a B&B? Many great places to stay in the town of Dingle!

Thanks for the response! We would like to stay at a B&B in Dingle . . . I am planning on going online or calling some tourism boards and having them send me some info on local B&B's. We really do not want to spend a fortune. We just want a nice, clean place that is run by friendly folks! I want to book soon, though . . . we will be there the first week in July!

One of our favorite B&Bs on our Ireland trip was in Dingle - it's the Ocean View B&B and it's walking distance from the town center, right on the harbour. It was only €42 for both of us incuding breakfast. Not ensuite but the bathroom is shared by only two rooms and there is another bathroom you can use also. Best breakfast of the trip. www.oceanviewdingle.com

In relation it varies what you actually want. The town would be more busy and and as such be more noisy. But if you want lots of pubs with traditional music then stay there.
On the other hand if you stay west of Dingle i.e Ventry you will experience meeting locals speaking Irish and experience in many ways'old Ireland'
Check out the websites below for more information
Regards
Ger
http://www.dingle-region.com
http://www.dinglewest.com