2 Best Hotels in Isla del Sol and Isla de la Luna, Lake Titicaca
You will be amply rewarded for your climb up the steps from the port—the higher you go, the cheaper the hostels, or posadas. They are almost all quite basic so, in most cases, you will be trading the bells and whistles of upper-quality hotels for a peaceful retreat with gorgeous views. If you go without a reservation, you'll likely find women or children waiting at Yumani's port to invite you to stay. The north side of the island is more barren but also has attractive options, including a place on the beach itself.
Hostal Phaxsi
If you don't relish the idea of hauling your luggage up to the village, consider this option in Yumani Port, where several large rooms—housed behind adobe walls and small verandas facing the lake—have pastel color schemes, plush beds, spacious en suite baths, and air-conditioning. This hotel definitely sets the bar higher than most of the surrounding, soulless concrete blocks.