That's one of our favorite areas to either begin or end our stay in Germany. Rudesheim is often filled with tourists, but, since that's what we are, it's OK. However, we prefer Assmannshausen and always visit the Krone Assmannshausen, a wonderful historic hotel. It's definitely in the high end, cost wise, but we at least have lunch there and wander through the rooms for visitors. Actually, there's a very reasonable pension, Haus Johanna, right down the street, on the Rhine and lovely. We have most often stayed on the Rhine in St. Goar at the Schloss-Hotel Burg Rheinfels, a wonderful old castle across from the Lorelei - have dinner there and overlook the Rhine lit up at night. We should be in that area til April 12 and if I find more, will e-mail it when we return. Enjoy!