If you're looking for luxury, you'll find the most options along Avenida Bustillo, the main road outside town that runs parallel to the lake and leads to the Llao Llao Peninsula. The larger hotels in the city (such as the Panamericano) tend to cater to tour groups and aren't especially luxurious or service oriented, but their location is advantageous; staying in town puts you steps from the many excellent restaurants and shops in this tiny metropolis in the mountains. If you're planning to rent a car, then by all means stay outside the city and drive in at your convenience. You can also take the local bus or a quick taxi ride.
A handful of hotels in and around Bariloche are owned by unions and offer discounts to members. These hotels -- such as Argentina Libre, Curu Leuvu, Puente Perón, and the larger hotels on Avenida Bustillo toward Llao Llao, including the Amancay and Panamericano (not to be confused with the Panamericano that's downtown) -- can take on a clubby workers' atmosphere, which is unpleasing to most visitors. During the high season (Dec 15-Feb 28 and Easter week), prices double. Many hotels consider the winter months of July and August to be a second high season, with prices to match.
The cheapest rates are from March 1 to June 30 and September 1 to December 15. Dates vary; inquire before booking and always ask for promotions or discounts for multiple-day stays. Rates listed here are generally for high season.
Outside the City Center, On the Road to the Llao Llao Peninsula -- At this writing, the newest luxury hotel in Bariloche is opening its doors. El Casco Art Hotel, Avenida Bustillo, Km 11.5 (tel. 11/4815-6952 for reservations in Buenos Aires; www.hotelelcasco.com), will appeal to those who love nature and fine arts. It's a full-service hotel with 33 enormous suites, a spectacular restaurant, and more than 200 masterpieces by prestigious local and international artists.
Cabanas
The southern shoreline of Nahuel Huapi Lake is dotted with cabin complexes for visitors. Some have only one or two cabanas for rent, while other have up to a dozen. They're a nice way to be self-sufficient, prepare your own meals, and make yourself at home. Some can be very affordable, especially outside the high-season months of January and August. Bungalows and apart-hotels are similar options. Try the fun El Bosque de los Elfos, Avenida Bustillo, Km 5 (tel. 2944/442356; www.bungalowsdeloselfos.com.ar), or Cabañas Abril, close to Playa Bonita at Aries 160 (tel. 2944/461070; www.bariloche.com/abril). Cabañas Arcadia, at Av. Bustillo 5782 (tel. 2944/441817; www.arcadiapatagonia.com.ar), has five cabins built in the typical rustic wooden architecture of Bariloche.