Where to Stay - Menaggio or Bellagio?

Either town will work perfectly. I would base the decision solely on the availability and/or price of accommodations.

Menaggio might be a bit cheaper than either Varenna or Bellagio. I know you might prefer an apartment but check the hotel below. I stayed here 5 years ago.
https://maps.app.goo.gl/rTc9nL7aUS9xPWvt5?g_st=com.google.maps.preview.copy

Mennagio is usually less expensive, has a nice beach and boardwalk and its mid-lake views from Lake Como’s western shore looking toward Bellagio and Varenna are impressive.
The New York Times recently ran an article on how staying in Menaggio can be a way to experience Lake Como without breaking the bank. There are even a couple Agriturismos just outside of central Menaggio-one with rates around $100.
Menaggio is just a 20-minute ferry ride from both Varenna and Bellagio.

https://community.ricksteves.com/travel-forum/italy/hotel-du-lac-closing-reopening-as-casa-du-lac-april-1-2025

We are anxiously awaiting the reopening of the above Varenna property. I have made back-up reservations elsewhere , so we al least won't be sleeping on the street, or on a boat, or whatever. As soon as I hear anything, I'll post the info.

I didn't realize how small Varenna really was until I was looking for alternative lodging.

A few years back , we stayed in Varenna at Davina Vita Apartments, which is more room than we needed. Only problem now is that the restaurant below is rather loud, especially on the weekends. The location is fantastic- best view in the town!. When we first stayed, precovid, the restaurant shut down at 10pm, and all was quiet. But now, weekends can -or can't be- noisy. If you sleep soundly, or with ear buds, you could be ok. Breakfast is at the restaurant, and that was wonderful.

Roberto, that Menaggio property really looks nice. Thanks for sharing. You're always so helpful.

Roberto -- Thanks for the referral. We just booked Hotel Garni Corona in Menaggio. It sounds perfect for us --right in the center of town close to the ferry landing with lots of restaurants nearby. It has a wonderful view of the lake and a balcony for coffee in the morning overlooking the lake. -- All for a reasonable price!

Know that Varenna has quite steep stairways leading up from the lakefront to the main piazza. There is a nice passarella for strolling, but it isn't a wide open area. Bellagio has a more wide open lakefront for strolling but steep stairways leading up from the lakefront filled with shops and restaurants. Menaggio has a flatter central town and a long, flat lakefront for strolling. You might search online for photos of each to get a better understanding.

Glad it worked for you. To get to the ferry you need to walk about 1/4 of a mile south passed the Grand Hotel. Not far and it’s a flat terrain.
In July the local orchestra has a free classical concert right there on the Piazza Garibaldi every night so you can eat and enjoy the music too. If you are interested in visiting Lugano there are buses to Lugano. About one hour ride.

I've stayed in both Bellagio and Varenna and loved them both.

We've only visited Menaggio, but I didn't particularly enjoy the town, it lacked a lot of what Bellagio and Varenna have and was far too busy with cars and so on.

Just my personal opinion, but that is probably why it is cheaper.

I’ve stayed in all three towns multiple times in my lifetime, and always and exclusively in July and once even in August, I’m not sure how many people here know how crowded (and expensive) Varenna and Bellagio get in July.

We liked Menaggio but it was 14 years ago we were there!
You can take a bus from the town centre up to really high up above the town to where the enormous cross is visible.
Up there are many tunnels and fortified trenches or bunkers from WW1 to explore, plus a wonderful view over the lake, town and mountains.
Then walk down.
Ask for details at the Tourist Info Centre if it’s still there.

We intended to stay around Lake Como this October, until we found out how expensive lodgings would be. Yikes! So instead we stayed in Lugano. Our apartment there was much more affordable.

Obviously food and other daily expenses are immensely higher in Lugano, as it's Switzerland. But we found Lake Lugano itself to be much more beautiful, with steeper slopes next to the lake but also better walking paths away from town. It's certainly a smaller lake, and it's not Lake Como, but it's really relaxing and gorgeous. If you can accommodate $40 for a plate of pasta with sauce pomodoro, Lugano is a great alternative. And you can get to the town of Como easily by train.