Hotels

Israel has tons of upscale hotels, but inexpensive and moderately priced hotels are in short supply, especially in Jerusalem. There are a few hotels with atmosphere and ambience in every price category, but most choices are generic and bland. With the tourism slump from 2000 to 2005, most hotels fell behind in updating, but as tourism returns, worn rooms should start to be tended to again. Since 2001, official rack rates for hotel rooms have become fantasies -- except during important Jewish holidays. The eleventh commandment now reads: You shall not pay full price at a hotel.

Many hotels listed here can be booked as part of El Al, or other packages, or through the Internet and discounters, at substantially lower prices. Especially in off seasons, there are discounts to be found in all price categories if you plan ahead through a good travel agent. Jerusalem's hotels are busiest at Passover and Easter, in September or October during the Jewish High Holidays (Rosh Hashanah, Yom Kippur, Succot, and Simchat Torah), and at Christmas. Many hotels consider July and August regular season.

Note: All official hotel prices in Israel are quoted in U.S. dollars. Foreign travelers are expected to pay by credit card or foreign cash; if you pay the equivalent amount in shekels, you must also pay an additional value-added tax (VAT) of 15.5%.

Christian hospices or guesthouses are a good alternative to hotels -- Jerusalem abounds with them, and guests of all faiths are welcome. Guesthouses were originally built to accommodate the pilgrims and tourists who began to arrive in great numbers in the 1880s. Many are housed in atmospheric 19th-century building complexes with evocative Jerusalem architecture and style. Atmosphere is, of course, sedate; better hospices are like extremely well-run small hotels, with comfortable private rooms with bathrooms. St. George's, Jerusalem's Anglican guesthouse, has a bar, but most do not. Tip: Unmarried couples can forget about sharing a room at most Christian guesthouses. You might be able to fudge separate last names on passports, but no visible wedding ring, no double room at most places, especially if you're under 25.

Bed-and-breakfast accommodations in a private home or apartment are an interesting alternative to a hotel. Prices are considerably lower than hotels, and you have the chance to experience the lifestyle of one of the city's many unusual neighborhoods. Hosts are often senior citizens with lovely, spacious (by Israeli standards) homes, and a genuine interest in working with visitors from abroad.

A room in an apartment that has its own private bathroom should be about $50 (£25) for a single and $90 (£45) for a double, with breakfast and service included. A small studio or private flat would be about $120 (£60) for two people; long-term rates are available. Really unusual places with private entrances, gardens, views, and especially nice decor, or accommodations for families, could be much more.

Rental Agencies: Good Morning Jerusalem, 17 Ezrat Israel St., Jerusalem (tel. 02/623-3459; www.accommodation.co.il), is a bed-and-breakfast and holiday apartment rental agency. With listings all over Israel, including in Jerusalem, they will reserve accommodations for you and try to match your requirements regarding noise, neighborhood, kashrut, and so on, to the listings they have available. (The office cannot vouch for the kashrut standards of any particular household, and accepts the claims of its participating hosts.) The office is open Sunday to Thursday from 9am to 5pm and Friday from 9am to 1:30pm. With advance notice, the office can make arrangements to meet or facilitate nighttime arrivals. You can also reserve an entire apartment for yourself (rate is according to number of people; 1-week minimum stay) from Good Morning Jerusalem through the Israel Tourism Center, or ITC (tel. 888/669-5700 or 201/556-9669 in the U.S. and Canada; israelhotels@worldnet.att.net). There is a $35 (£18) fee for this service, but you save on overseas phone bills and can discuss the neighborhood and kind of apartment you would like.

Home Accommodation Association of Israel (www.bnb.co.il) is an affiliation of 24 homeowners, many with very unusual properties and locations. You deal directly with the property owners: The website includes contact information, photos, and descriptions for each property.

Jewish Home Swap (www.jewishhomeswap.com) is a free service that gives people an opportunity to save on vacation costs by exchanging their homes with other people. The emphasis here is on homes with kosher kitchens and locations close to Jewish religious services.

Hotel Rates in Israel -- Israeli hotel rates have officially been quoted in U.S. dollars for decades, although this policy may change if the dollar remains unstable. Hotel bills paid in foreign currency or with foreign credit cards by non-Israelis are not subject to 15.5% VAT; if possible, always pay for your room with a credit card. If you pay in shekels, you will have the VAT added to your bill. A few B&Bs and small hotels may post a shekel price list. If they do, check if paying in foreign currency will allow them to eliminate your VAT.

Pricing Discounts -- Hotel prices in Israel are not cheap, but the eleventh commandment for travelers to Israel is: Thou shalt not pay full price. Packages and discounters, or travel agents specializing in Israel, can get you into many of the most interesting Israeli hotels at prices far lower than the rack rates.

Family-Friendly Hotels

At the Dan Hotel Chain, which in Jerusalem includes the King David and the Dan Panorama, up to two children can stay free in a room with their parents; the only charge is for breakfast. To keep the little ones busy, try Ramat Rachel, which offers a big pool and playground facilities. The Mount Zion Hotel has a roomy in-season pool (visited by interesting local families with kids), as well as a children's pool. A number of its rooms are extra large and can accommodate families.

Lev Yerushalayim, right in the center of town, is a suite hotel -- all rooms include a kitchenette and a living area containing a couch that converts into a bed. In the luxury category, the alcove rooms at the new David Citadel Hotel offer extra space for families planning to bunk together. The Inbal Hotel offers year-round swimming and is next to Liberty Bell Park, with a playground for young children.