Residencial Victoria (Av. Valparaíso 40, tel. 0322/977370, US$12 pp–US$15/26 s/d without breakfast) has rooms with either shared or private bath but no breakfast. Residencial Blanchait (Av. Valparaíso 82-A, tel. 0322/974949, www.blanchait.cl [1], US$14/23–17/27 s/d) also has rooms with either shared or private bath, but breakfast costs extra.
Recently upgraded, Hotel Monaldi (Arlegui 172, tel. 0322/881484, US$11 pp–US$30 s or d with breakfast) is the former Residencial Villarrica [2]. In addition to its dorm-style hostel facilities, improved Hotel Capric (Von Schroeders 39, tel. 0322/978295, US$26/34 s/d) has rooms with private bath that are really better value.
In the largely residential area north of the Marga Marga, Hotel Mediterráneo (5 Norte 683, tel. 0322/682273, US$31/35 s/d with breakfast) has 18 plain but tidy rooms with private bath and cable TV, but it is close to busy Avenida Libertad.
Downtown Residencial Ona Berri (Av. Valparaíso 618, tel. 0322/688187, US$15 pp–US$34/37 s/d) has both shared and private baths. Hotel Quinta Vergara (Errázuriz 690, tel. 0322/685073, fax 0322/691978, www.hotelquintavergara.cl [3], US$28/38 s/d) is adjacent to the grounds of Viña [4]’s famous performing arts venue—a disadvantage during the weeklong summer song festival.
Recommended Hotel Asturias (Av. Valparaíso 299, tel. 0322/711565, fax 0322/ 711590, hotelasturias [at] chile [dot] com, US$30/41 s/d) has private rooms in addition to hostel accommodations. Near the Miramar Metro station, Hotel Rokamar (Viana 107, tel./fax 0322/690019, www.hotelrokamar.cl [5], US$34/45 s/d with breakfast) occupies a handsome older building.
A few doors west of the Mediterráneo, at the reddish stucco Queen Royal Hotel (5 Norte 655, tel. 0322/682450, www.queenroyal.cl [6], US$38/47 s/d), rates include a buffet breakfast and wireless Internet access. Another block west, all rooms at the highly regarded, intimate (nine-room) 
Hotel Residencial 555 (5 Norte 555, tel./fax 0322/739036, residencial555 [at] vtr [dot] net, US$35/47 s/d) now have private bath.
Alongside the Teatro Municipal, Hotel Español (Plaza Vergara 191, tel. 0322/685145, fax 0322/685142, www.elhostal.cl [7], US$37/47 s/d) is a classic Francophile construction.
Links:
[1] http://www.blanchait.cl
[2] http://www.moon.com/destinations/chile/sur-chico/villarrica
[3] http://www.hotelquintavergara.cl
[4] http://www.moon.com/destinations/chile/-chilean-heartland/vina-del-mar
[5] http://www.hotelrokamar.cl
[6] http://www.queenroyal.cl
[7] http://www.elhostal.cl