Low Prices in Panajachel

A friend who is visiting Guatemala reported that he has found a house to rent in the lakeside town of Panajachel for only $310 a month, including internet service. From pictures, the town looks charming, with a view across Lake Atitlan to a large volcano. It is located in the southwestern highlands of the country.
If you don't want to stay for a month, there are plenty of low-priced hotels as well. The Hotel Tzutujel, which advertises itself as a good place for backpackers, charges just $10 per person but does not specify how many to a room.
Another place, the Hotel El Chaparral, has private rooms with bath, and the cost for a single is less than $20 a night, about $25 for a double. Both hotels are located very near the lake, not surprising considering that the town has less than 15,000 inhabitants.
My friend has noticed some changes in the town he doesn't like--more noisy scooters, higher walls around houses, but these may not be things a newcomer would remark upon.
Guatemala is one of the Latin American countries I have yet to visit, but it looks as if it should be high on my list. My mother visited long ago and was fascinated by the mountains, the small villages and the handmade textiles, some of which I still have.