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Clearwater International Youth Hostel
I stayed here mid-April, just at the end of the peak season, but it still seemed quite packed. There are about 10 beds in a room and one bathroom, so it's cramped in there. There isn't much security in the rooms either since everyone keeps the room's door unlocked.
On a positive note, the hostel staff are friendly and offers a lot for hostellers. You can rent bikes for $5 a day and go almost anywhere on the island. They also have coupons for a free sightseeing cruise on the Show Queen. Once or twice a week, they have a BBQ for $4 a person. It also looks like they try to put together a volleyball team.
While it's not the most homey hostel, it gives you that beach bum atmosphere. It also seems good enough for the many people who show up for couple of days only to find themselves staying there weeks or months longer.
Unique Quality: Pool, free parking, walking distance to beach, etc.
Directions: Go towards Mandalay area
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