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TK Amalfi has as many case vacanza (vacation homes) for rent as it does hotels (75 each)—and you can find a three-bedroom villa amid the lemon groves for as little as €116 per night.
A short-term villa rental offers the chance to live like a local for a few days or weeks—and can be remarkably affordable, especially for large families or small groups, splitting the cost of a house five or eight ways. (For couples, look into a rental apartment instead.)
Keep in mind that many have a two-night or three-night minimum, so if you search for a longer stay you will get many more results.
There are lots of terms for renting a house on vacation, so on any site be sure to check not just the "Villas" section but also anything "Vacation homes", "Cottages" "Self-catering," "Short-term lets," or anything else that looks promising.
With seasonal variations; rates for nightly, weekly, and monthly stays; and wide choice of sizes (some sleep two to four, other eight, some sixteen or more)—not to mention a variety of styles (from basic and budget to truly posh) and amenities (pool? sea view?)—the price of a rental villa can vary quite wildly.
That said, you can expect to pay about €116–€360 per night on average.
Even for a couple, that makes a villa rental competitive with a stay at a local hotel. But when you start filing up all those extra bedrooms, villa rentals gets even more price-savvy.
A group or family of four will be looking at spending €24–€70 per person on average; for six to eight people, the prices drop to more like €19–€45 per person.
Note that there is sometimes a one-time cleaning fee of €20–€40.
The one thing to remember with any rental is that you will have fewer services than a hotel—no housekeeping to clean the rooms (just take out the trash on trash day), concierge to arrange things, or staff to cook you (overpriced) breakfast.
On the other hand, you get to live like a local, have far more room than a hotel, often a pool, cook some of your own meals to save on daily restaurant bills (or just go to a bar each morning for breakfast), and it almost always costs much less than a hotel for parties of four or more.
(If you're just a couple and want the same level of savings, look into renting just an apartment rather than a whole house.)
There's so much good intel out there, I've made a whole section of tips, hints, warnings, and resources for renting a villa in Italy.
» More on Italian villa rentals
TK
Planning your time: You could see every official "sight" in the town of Amalfi in 60–90 minutes—though it is a lovely place to relax for a while, maybe take a cappuccino on the piazza overlooking the steps up to the Duomo.
Amalfi also makes an ideal place to spend the night. It has several good restaurants, and the town is just large enough to keep the feeling that there's a bit of local life beyond the tourism, making it a joy to wander (the others—Positano and Ravello especially, may be more postcard-quaint and pretty, but Amalfi feels more real).
Besides, it is the one place on the Amalfi Coast where you have to switch buses—either to return west up the coast toward Postiano and Sorrento, to made a side trip up to pretty Ravello, or to continue east along the coast to Salerno.
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