We looked around Tamarindo for the best hostel and landed on Coral Reef. It's off the beach so the price is about $10 a night cheaper than most places for a private room, and the place was an nice if not nicer than the spots we scouted down the road on the beach. We surfed every day and just the 20%? discount at the surf shop next door made the 5 minute longer walk to the surf worthwhile. Clean rooms, clean bathrooms, nice common area. If you're looking for a hostel in Tamarindo this place is solid.