Lake Como, Italy

I would think Varenna is more expensive because it is more central (lots of ferry service to Belaggio, Menaggio, other spots on the lakes). Also more restaurants, more expensive vacation homes, closer to Milan. So there is any number of factors why Varenna commands higher rents. Other than that, consider maybe you've found a hidden gem.

The midlake area is the most famous, most touristed and therefore the most expensive. Varenna, besides being the most accessible by train, is also the most full of Americans (Rick Steves' fault) along with Bellagio and Laglio (George Clooney's fault).
Colico is in not on the lake actually. It's a little distance from the lake shore (maybe a mile) and that might be the reason why you found such cheap accommodations. With a car it wouldn't matter much, but if you rely on public transport walking a mile each time you want to be on the lake or to the ferry/hydrofoil may not be ideal. Colico Piano, the town actually on the shore, has a nice area on the lake near the dock with some restaurants and cafes'. I didn't find the lake water to be too clean upthere (if you like to get inside and swim like me), maybe because of the Adda river pouring its waters right there. So I preferred Bellagio. I stayed also in Lecco, on the far south tip of the Lecco branch. I don't like Lecco either. If you go for the cheap apartment in Colico, rent a car. I know renting a car will cost money, but it will give you the flexibility of driving around and see more. Unfortunately we can't have it all in life. If you save money on one side, they get you on the other. But you get what you pay for. Before renting that apartment request the exact address and plot it on Google maps to find out where it is. If in Colico Piano it's ok, if in Colico proper, then you should get a car.

We went to Lake Come 3 years ago and stayed in Varenna. I didn't find it terribly expensive. In fact, we had the least expensive accommodations in all of our Italy visits in Varenna. We stayed at a small B&B called, "The Orange House." We'll be heading back to Varenna in May and have reservations once again at The Orange House. Piero and his wife are extremely friendly and accommodating. It's location allows for good train service as well as being a major stop for the ferries. We took day trips to Como and Bellagio.

Thank you for your replies. Based on your input, I think we will choose other accommodations.
Does anyone have any insight to Bellano? Are there cafe's, restaurants, convenient to walk and catch the ferry?

Thanks Again.
Nicole

We stayed at the Orange House in Varenna too. We found it reasonably priced and I know they can put an extra bed in the upstairs room. It's a B&B, but it only has 2 rooms and the owners live off site. They are very nice and helpful, especially Piero who speaks good English. The breakfast is good. If you're looking for something that allows you the use of a kitchen, this would not be the place. It is ideally located within walking distance of the train station and the ferry. It is located in an apartment type complex. My guess is the other units are lived in by the owners. Piero told me they bought the place for the garage. He then planned to sell the unit until his wife told her dream was to have a B&B.

Nicole,

It's not likely you'll find too many here with first-hand information on Bellano or Colico, as most here seem to prefer either Varenna or Bellagio. I've never considered Varenna as being more "expensive" than other towns in that area, and it's likely that any town in a particular area that caters to tourists will have similar prices. The cost of visiting a particular place is often variable to some extent, depending on which type of hotel is used, etc. For example, when visiting Rome I can choose to stay in a €300 per night hotel or a €35 per night Hostel.

I don't have any information on Bellano, but you could check THIS website or THIS website which may provide the type of information you're looking for.

If you decide to consider Varenna or Bellagio, I'm sure the group here will be able to provide more information.

A'ole pilikia