Although the accommodation in Yangon is generally more expensive than in Myanmar's other cities, hotels here are still relatively cheap and plentiful. Visitors should have no trouble finding a room upon arrival though during the peak tourist season in December and January the more popular hotels book up. Tourists are expected to pay in US dollars, and will find that their room rates are usually higher than those for local Burmese.

Yangon's most prestigious hotel is The Strand. This gorgeous colonial building was built by the Sarkies Brothers back in 1901, and remains the city's oldest and most famous hotel. Myanmar even named it a national landmark, and although the rates are extremely high, the colonial style and level of service is unparalleled.

Two other upscale hotels worth considering are the Governor's Residence and the Savoy Hotel. Both are located near Shwedagon Pagoda and housed in renovated colonial mansions. The Savoy is Yangon's newest boutique hotel, and a very charming place to stay. The Governor's Residence is in one of the city's most exclusive neighbourhoods and has fantastic facilities.

There are also some excellent hotels in Yangon that won't dent your wallet. The Classique Inn is a small boutique hotel in the embassy district with nicely furnished rooms and a quiet atmosphere. You can also stay a bit out of central Yangon along one of the city's lakes. The Hotel Nikko Royal Lake Yangon sits right on the banks of Lake Kandawgyi, with amazing views of Shwedagon Pagoda in the distance.

Budget hotels dominate the lodging scene in Yangon. Most of them are slightly outside the city centre, but since downtown tends to be noisy and busy, this is a bonus. Check out Pazundaung and Botataung neighbourhoods for some of the cheapest deals. Remember that not all budget rooms have charm, so do some research before arriving.

Mid-priced hotels are also easy to find, and well-dispersed throughout the city. There is a cluster of them around Sule Pagoda and to the north of Shwedagon Pagoda. These hotels are often worth the extra money as they usually include breakfast, have more reliable electricity (because they have their own generators) and nicer rooms.

The luxury accommodation in Yangon tends to be located around Lake Kandawgyi or in the heart of colonial downtown. Hotels such as The Strand are legendary and well worth the cost if you want to experience the timeless colonial charm of Yangon. Even if you choose to stay out at the lake, it is just a 15-minute taxi ride to the heart of the city.