I'm searching for less expensive accommodations near Fussen. I find the rates in Ruette about the same as Fussen. Is anyone familiar with the town of Pfonten west of Fussen? I'm looking for hotel recommendations in Pfonten or other towns close to Ludwig's castels?
Have you checked out Rick's recommended accomadations? We stayed at the Gutshof zum Schluxen in Pinswang and loved it on a Rick Steve's tour last fall. You can hike to the castle. It was one of our favorite hotels on the tour.
This a hotel that I used to stay in under former management. I really liked the location between Füssen and the castles. There was a trail around the lake and up the backside of Hohehschwangau that was a very pleasant walk. The prices appear pretty good.
The hotels in and around Fussen/Reutte are about the same all around. However, I've found rooms in the Reutte "Holiday Region" (which includes Reutte, Hofen, Ehenbichl, Lechaschau, Breitenwang, Wangle, etc., all the way down to Weissenbach am Lech) for as low as 19 EU per person per night. These are "privatzimmer" (private rooms, i.e. B&B's) that I've found on http://www.tiscover.at and http://www.privatzimmer.at (the last one is in German only).
As a matter of fact, I've found rooms from those two sites and the German tourist bureau website for Wurzburg, Rothemburg, Reutte, Salzburg, and Munich, all cheaper than the recommendations in Rick's book. If you want a big, impersonal hotel, you'll pay the rates that you've found, but if you want to get down amongst the villagers and actually live like an Austrian/German for a few days you'll both pay less and have a better experience, IMHO.
Addendum to my post above: The private rooms I mention above are very nice, just as good (if not better) than any recommended B&B, and in the same vicinity (some I found were on the same street/city block as Rick's recommendations). Many have family rooms with two or more double beds and/or pullout sofa beds. They are also all inspected and certified by the national tourism board of their respective countries, so you're not gonna get ripped off (and if you do, you'll have some legal recourse).
We stayed in Fussen, in August 2008, at Suzanne's B&B.
I see her mentioned in Rick's book and the listing doesn't do Suzanne or her place justice. She was very personable with us when she had the time to be but very "efficient" when she was juggling the responsibilities of running the B&B.
Suzanne helped us avoid wasting time by explaining our site-seeing options and bent over backwards to arrange a rental car (hard to find in Fussen) and to arrange taxis and routes for seeing the things we wanted to see. I think she saved us at least a day of wandering.
The B&B was reasonably priced and a short walk from the station. We sat on the balcony and watched a thunderstorm light up the foothills of the alps which was clearly visible from the balcony. The air was crisp, the place was clean and bright, and we had a great time.
I've been through the town of Pfronten many times on the bus from Oberstdorf to Füssen, but never stayed there. It's lovely, and there are many daily bus connections (about 30 min) from there to Füssen. If you can understand German you can find accommodations on their website at www.pfronten.de.