Okay, for the most part, lodging in Peru is inexpensive. Other than a couple of "splurges", we were able to book each hotel/B&B for under $100 each night. Aguas Calientes (Machu Picchu town) is a bit different. We're spending a night there before going to Machu Picchu, which is a 30 minute bus ride. The hotels are pretty overpriced in Aguas Calientes- the whole town survives only on tourism. The hotels (in 'tourist season') range in price from about $50 to about $600. The $600 ones are supposedly really nice. Our hotel is somewhere in between. Anyway, there's a hotel a mile from Machu Picchu- it's the only hotel where you don't have to take the bus. The rooms aren't anything special- it's the location. You can't see Machu Picchu from the rooms, but you get to avoid the bus. http://www.tripadvisor.com/Hotel_Re...hu_Picchu_Sacred_Valley_Cusco_Re.html#REVIEWS The rooms start at $1000 a NIGHT. So, if you were planning on a visit to Machu Picchu, would you spend $1000 to stay there? Keep in mind that you can stay in Aguas Calientes in a nicer, higher class hotel for one third to half that price.