In recent years, hotel prices have skyrocketed in Puno. Budget travelers will find the cheapest options to be hostel dorms. If you want a private room or extra amenities like WiFi, expect to pay a much higher price. The most luxurious lodges are located on the shores of Lago Titicaca, in the Huaje sector. However, most Puno hostels and hotels are more than willing to bargain outside the high seasons (December-February and June-September). Always check out the place first (in particular, ask if it has hot water and the hours it is available). The city has water only six hours per day, though most hotels have their own tanks. Still, conserve water.