Best location to stay in Lake Como and recommended hotel/B&B

Varenna is a great town and a good, central location to visit Lake Como. I have stayed at Albergo Milano and it was a well run and well appointed hotel. According to their website, the lowest rate for September would be 140 euros per night. Check the Rick Steves Italy guidebook for other choices that might meet your $100 threshhold. Also take a look at Booking.com for more choices.

You won't regret Varenna at all. It is easy to catch the ferry around the lake. It has incredible views of the lake along a very accessible walking path. I stayed at the romantic Hotel Villa di Cipressi which has beautiful gardens and you can see them without being a guest there. Check Rick Steves guide for budget rooms available in Varenna. I haven't checked Airbnb but I bet an Airbnb rental wld be awesome! My parents stayed in Casa Rossa (annex to Albergo Milano) which is closer to your price and I thought it was very nice. Albergo Milano was very nice as well with particularly view-endowed balconies.

Ok you made me look on Airbnb. Sure enough, there are a couple of nice-looking places that are still avail for Sept! To be sure, I would read reviews carefully. Airbnb is really great.

We stayed at the Hotel du Lac last month and it was fantastic. We were right on the water. Ask for room number 1. Don't scrimp in Varenna if you can help it.

I had a good stay at Albergo Beretta, below the train station and near the dock, but about a 10-15 minute walk from the "center" of Varenna. It was fine (no elevator as I recall), and the walk along the water was largely level and was lit even at night (the "high road" between the hotel and central Varenna was a bit hilly and took longer). I don't know the price now, but in 2009 it was definitely within your budget.