In keeping with its status as the least expensive Bay Island, Utila [1] has a plethora of budget rooms for the backpacker crowd, most about US$6–15 d. In recent years the range of rooms has broadened, with several new midrange places and a few higher-end (though still decidedly low-key) resorts. Most of the hotels are in small, wooden buildings, often converted houses, so their proliferation is not visually overwhelming.
One tip for divers: All the dive shops [2] have either lodges or affiliations with hotels and offer free accommodation with a beginner’s Open Water certification course, or discounted with other courses or fun dives, typically US$3–5. Although many local families who own small hotels have been put into a difficult situation because of this, it suits budget travelers just fine. All rent out rooms to nondivers as well.
When inquiring at hotels, one important question is whether the establishment has hot water or not. While hot showers may not normally be a question of great importance to some travelers, they can be awfully pleasurable after a day of scuba diving [3], especially in the rainy season when it’s cooler.
Note that while check-out time on the mainland is typically noon, on Utila [1] it’s usually 10 a.m.
Links:
[1] http://www.moon.com/destinations/honduras/the-bay-islands/utila
[2] http://www.moon.com/destinations/honduras/the-bay-islands/utila/recreation/dive-shops
[3] http://www.moon.com/destinations/honduras/the-bay-islands/utila/recreation/diving-utila-s-reef