Malcesine is a lovely little town on the east side of the lake near the north end. It is ideally situated for hiking, as MOnte Balco rises 5000 feet above the town, and you can take a cablecar up to the top, hike around, and walk down (or ride halfway down and walk from there).
The boats serve this town and you can visit all over the lake.
Look on Tripadvisor for reviews of the places to stay---there are many, both right on the lake an dup the hill, but still with views. We stayed (3 nights) at Hotel Villa Carmen, which is north of town, with nice views on the lake from the balcony, and a nice walk into the town along the lake. You won't find revies of this one. If we were to go back, we would stay at Hotel Castello, which is on the lake at the base of the castle. But there ar lots of places to stay---choose the one that fits your budget and has a nice location.