Panajachel serves as the main gateway to Lake Atitlán. It’s the largest and most developed town on the lake, so naturally it offers the widest range of accommodation options and amenities.
Whilst it doesn’t quite have the spiritual vibe of San Marcos or the party scene of San Pedro, Panajachel makes up for it in reliability, accessibility, and a stunning view of the three volcanos that surround Lake Atitlán.
This reliability and accessibility have something to be said for remote workers and digital nomads. Whilst there is internet connectivity in other towns, Panajachel has the most reliable and the fastest network. It also has the best connections transport-wise, so if you want to use Lake Atitlán as a bit of a base, Panajachel has great access to the other towns around the lake, as well as connections by land to Antigua and Guatemala City.
🇦🇷 Read more: A Travel Guide to Panajachel
Contents
- Hostels in Panajachel
- Regular Hotels in Panajachel
- Upscale Hotels in Panajachel
- Digital Nomad-Friendly Accommodation
- How Long to Stay in Panajachel
- A Note About Location
- Frequently Asked Questions About Accommodation in Panajachel
- Conclusion
Hostels in Panajachel
Best for: Budget Travellers & Lake Adventurers
While Panajachel’s hostel scene isn’t as party-party as San Pedro’s, it has several solid options for budget travellers. Most hostels are located within walking distance of the dock and Calle Santander (the main tourist street), making it easy to explore the town and catch boats to other villages around the lake.
Of course, wherever there’s a tourist stop and good wifi, there’s a Selina. Whilst I do have mixed feelings about Selinas (most people love them or hate them, but I’m very happy on the fence, thank you!), it’s good to have one close by. They’re organised and reliable, and even though we didn’t stay there, Ellie and I booked our transfer back to Antigua with them because it was the cheapest option we found.
There’s also a Viajero hostel here, which is a chain mostly found in South America rather than Central America. They’re quite similar to Selina in vibe, although maybe a bit more backpacker focussed than digital nomad focussed.
Best Hostels in Panajachel
- Hospedaje El Viajero – Clean, basic accommodation near the dock
- Hotel Posada Don Miguel – Great location just off Calle Santander
- Selina Atitlán – Popular chain hostel with co-working space
Regular Hotels in Panajachel
Best for: Mid-Range Comfort & Convenience
Panajachel has a tonne of mid-range hotel offerings, by which I mean fairly comfortable options that won’t break the bank. These hotels typically offer more amenities than you’ll find in other lake towns, like reliable hot water and consistent WiFi. (Where we stayed in San Pedro, there wasn’t hot water in the showers, and because Lake Atitlán is at 1,500m altitude it is not as warm as you’d like for a cold shower!)
Most mid-range hotels are situated either along Calle Santander or in the quieter residential areas just a few blocks back from the main street. The latter location offers a more peaceful stay while still keeping you close to all the action.
Best Regular Hotels in Panajachel
- Hotel Utz Jay – Beautiful gardens with traditional touches
- Hotel Regis – Central location with pool and restaurant
- Hotel Dos Mundos – Comfortable rooms near the lake
- Mario’s Rooms – Simple but clean with excellent location
Upscale Hotels in Panajachel
Best for: Luxury & Lake Views
Panajachel’s upscale hotels tend to be located either right on the lake or slightly out of town, where they can offer more space and better views. These properties often feature big gardens, swimming pools, and onsite restaurants, making them perfect for those seeking a more luxurious lake experience.
What sets Panajachel’s luxury hotels apart is their accessibility – unlike some of the high-end places in other lake towns, these hotels are still within easy reach of restaurants, shops, and transport options.
Best Upscale Hotels in Panajachel
- Porta Hotel del Lago – Lakefront luxury with full amenities
- Hotel Atitlán – Historic hotel with stunning botanical gardens
- Villa Santa Catarina – Resort-style hotel with extensive facilities
Digital Nomad-Friendly Accommodation
Best for: Remote Workers & Long-Term Stays
Panajachel stands out as Lake Atitlán’s most digital nomad-friendly destination, mostly due to its infrastructure and internet reliability, like I mentioned earlier. While other lake towns struggle with consistent connectivity, Panajachel offers the fastest and most stable internet around the lake, along with plenty of cafes and dedicated co-working spaces.
Quite a few places cater specifically to or welcome digital nomads, with dedicated workspaces, backup internet connections, and monthly rental rates. The town’s reliable power supply (less frequent outages than other lake towns) and abundance of cafes with good WiFi make it an ideal base for remote workers.
Best CoLiving and CoWorking Spaces in Panajachel
- Selina Atitlán – Purpose-built co-living community
- Raíz BC – A coworking space in the heart of Panajachel
- The Little Spoon – Best coworking-friendly cafe
How Long to Stay in Panajachel
Panajachel works well for both short and long stays. If you’re just visiting Lake Atitlán for a few days, Panajachel makes an excellent base – you can easily take day trips to other villages during the day. For longer stays, the town’s practical advantages (better shopping, banking, and transport links) are even more valuable.
I’d recommend at least 3-4 days to get a feel for Lake Atitlán, take some day trips to other towns, and do some activities. If you’re not short on time, you could easily spend more than a week here (especially if you want to explore the whole lake, or head to Santa Cruz to do some diving).
When I was travelling here in 2024 with my friend Ellie, we heard quite a few people say “there’s not much to do in Panajachel, it’s better just as a base” but we totally disagreed. We found there was a lot to do there!
🇦🇷 Read more: Things to Do in Panajachel
A Note About Location
Panajachel is relatively flat compared to other lake towns, so you don’t need to worry as much about being at the top or bottom of the hill (although, you do feel it a little more with it being 1,500m up!). The town can be divided into three main areas:
- Calle Santander (Main Street) – Convenient but noisy, especially on weekends
- Lakefront – Beautiful views but can be expensive
- Residential Areas – Quieter and more local, but still walking distance to everything
Where to Stay in Panajachel: Frequently Asked Questions
Is Panajachel a good base for exploring Lake Atitlán?
Absolutely! Panajachel offers the most reliable transport connections to other lake towns and major cities like Antigua and Guatemala City. With frequent boat services and the best infrastructure around the lake, it’s an ideal base for exploring the region whilst having access to modern amenities.
What’s the best area to stay in Panajachel?
The best area depends on your preferences. Calle Santander offers convenience but can be noisy, especially at weekends. The lakefront provides stunning views but tends to be pricier. The residential areas offer a quieter, more local experience whilst still being within walking distance of everything.
How’s the internet connectivity in Panajachel?
Panajachel boasts the most reliable and fastest internet connectivity around Lake Atitlán, making it particularly suitable for digital nomads and remote workers. Many accommodation options, especially those catering to digital nomads, offer backup internet connections.
What’s the price range for accommodation in Panajachel?
Accommodation options range from budget-friendly hostels starting around $10-15 per night, mid-range hotels from $30-60, to luxury properties exceeding $100 per night. Many places offer weekly or monthly rates for longer stays.
Is it worth paying extra for a lake view?
If it’s within your budget, a lake view can be worth the premium. The views of Lake Atitlán and its three surrounding volcanos are stunning, particularly at sunrise and sunset. However, you can still enjoy these views from public areas and lakefront restaurants if you choose more affordable accommodation.
Conclusion
Panajachel offers the widest range of accommodation options around Lake Atitlán, suitable for every budget and travel style. Whether you’re a backpacker seeking a social hostel, a digital nomad needing reliable internet, or a luxury traveller wanting stunning lake views, you’ll find something to suit your needs. Whilst some travellers might prefer the spiritual vibe of San Marcos or the party scene of San Pedro, Panajachel’s combination of comfort, convenience, and stunning natural beauty makes it a brilliant base for exploring everything Lake Atitlán has to offer.