Considering its size, Chefchaouen has a pretty good range of guesthouses, called pensions, and hotels. Located both inside and outside the medina, they generally cater to the middle and lower end of the tourism market.
No matter where you stay in Chefchaouen, the village's valley location ensures that noise travels far. Well into the night, the general noise of the village can often be heard from your hotel window. This also applies to early morning muezzin calls to prayer from the numerous mosques surrounding and within the village, as well as the typical rooster crowing. Hotels can be very cold in winter, but are usually well endowed with character and a very friendly, laid-back staff. High season in Chefchaouen can be exceptionally busy, so it's worth ringing ahead and making a reservation rather then traipsing around the medina looking for a room.
