With several options for hostels near and around the city center, it was difficult to choose. Some of the places we were looking at were:
Hostel Casa Verde Santa Ana: a short distance from the city center with dorms around US$14, single private rooms for ~US$33, and twin private rooms for ~US$47
Pool House Hostel: a little further from the city center, but inexpensive. Perfect for that budget backpacker with dorms around US$8 and private room with shared bathroom for US$18
Velvet Hostal: close to the center with only private rooms ranging between US$30-35 with ensuites
Hostal Las Puertas is where we ended up staying. It was a little more quiet and was able to be booked through my credit card (earning those points). For a Deluxe Queen room, which sleeps up to 3, was $72.64 for two nights. We really enjoyed our room and private bathroom. Plus, the location was in a really great spot and I highly recommend this place.