Good places to stay in South America, hotels, hostels 
I travelled around most of south America in 1998-2000 here is a list of some of the special places I found to stay.
This should save you time of looking around
 

BRAZIL
 
It's best to go for pensions : the cheapest tend to be about 10 Real ($5 in April 2000). Rough Camping is generally unsafe. Youth hostels are generally more expensive and worse value than cheaper hotels, lacking in ambience and crowded  
BOLIVIA
   
PERU 
 
Hotels are pretty cheap about $3-4 . Go to Cusco it's the best place in The American continent.
near there stay at its a living Inca village Ollantytambo  
ECUADOR
It's cheap : basic hotels $1-1.50

CHILE
   
ARGENTINA
If you are going anywhere outside Buenos Aires it's best to have a tent as hotels and hostels are at least $10 ..camping you pay $5.

North to South

Buenos Aires  Albegue Orono1628 Espinosa (corner of Avda Juan B Justo and Avda San Martin Tel : 581 6663, 581 9387 ..$7 , Buenos Aires is the cheapest area of Argentina !
great atmosphere, rooftop terrace , good advice, kitchen etc. 2Km from center, but worth it. Call and they'll tell you what bus to take
 
Sierra De La Ventana   Camping  the best place I found was a really friendly bloke , from the staion follow the tracks across the bridge and walk down the steps and it's there $5 , the area is the Yorkshire Dales of Argentina . Not so interesting , but has a cheap night train to Buenos Aires

Puerto Madryn   Hotel Gran Madryn  (see webpage) A friendly place to relax, $20 per person
The Municipal camping :   2.5 Km south along the beach $3.50 , distant but cheap

Rio Grande  The fabulous Club Nautico  Camping INSIDE the club building (well it is cold), on the seafront keep going south until the river meets the sea , $5
great atmosphere and BBQs say hello to Benja,  Inti and todas los huevones (the gang)

Ushuaia Refugio de Alta Montana Cheap and snug hostel halfway up the glacier a 20 minute walk from (Tel :1560 30013)
$5 $7 inc breakfast ... expensive food , but has kitchen  
 
URUGUAY
Almost every town has free camping at the municipal park, which usually have river beaches. Friendly, but not the most spectacular region of South America

 
 
PARAGUAY
 Hotels are pretty cheap.
 
 Asuncion Hotel Espana  Facing the presidential palace
20,000 chclean OK  


South America Index ** mail me