I am torn with making decisions on accommodation. The last time I was tasked with this, I booked a cheap hotel room that looked nice on the web and said that it was near town. But in reality, it was 30 minutes away from the city via cab and it was not at all nice. I got scoffed by B and reprimanded rather heavily for making the wrong choice. After that incident, I kinda got scared trying to book for accommodation. This time, I make sure I do my research, make sure that its recommended by the travelers and at the same time, make sure that it is within our budget and not obscenely expensive!
So now I am still searching for the Sydney accommodation.. I dunno what B does, but he always manages to find nice stuff.....
Whilst Kathryn's home-stay is a choice, these are some hotels that come recommended (in order of preference)

14 Kings Cross Road, Potts Point 2011, NSW
www.diamant.com.au
This brand new premier boutique hotel is located in the hear of Sydney's most vibrant quarter. Enjoying Sydney's famous views from every direction, the Diamant is Sydney's most desired hotel address.

Valentine on George
767 George Street, Sydney 2000
www.valentineongeorge.com
Valentine on George is a boutique hotel featuring 15 comfortable appointed suites which brings together the efficiency of the 21st Century with innovative design, communication and entertainment centre, featuring the latest technology. Be it for business or leisure, all suites are equipped with the highest standard and state-of-the-art business and lifestyle facilities.

267 Darlinghurst Road Darlinghurst Sydney 2010 NSW Australia
www.medusa.com.au
Sophisticated travellers have long enjoyed the indulgent pleasure of boutique hotels all over the world. Sydney has Medusa in Darlinghurst.
The Kirketon Boutique Hotel
229 Darlinghurst Rd, Darlinghurst
www.kirketon.com.au
The Kirketon Hotel is an award-winning boutique hotel that exudes class, excellence and value. Positioned at the doorstep of Sydney's cafe, restaurant, bar and niteclub distritct.
I think I am now more geared to stay at the Diamant... looks pretty posh and within the budget! :)
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