Sounds like a great idea, other than the pool part. There may be a hotel or 2 with a pool but the weather is unlikely to be warm enough to make swimming regularly sound like fun. I would stay in a hotel with a kitchen with great rooms and views and then head to the pool as an activity if nothing else seems as fun.

I spend time on the lake every year. My photos with blog and travelogue links on the main page of each collection are below in case you're interested - all my recommendations are embedded there. Happy trails!
http://www.flickr.com/photos/staceyholeman/collections

Also, last year I put together a page on my Trip Dreams blogsite because I was leading a group of folks who provide scholarships to students through Beca Project. www.becaproject.org I wanted them to see ahead of time what would be available to them on the lake. Some of the options were associated specifically with Beca Project and our group but most of the site should be of interest to you including the hotel options if you choose San Pedro. Have a great trip, whatever you decide!

http://tripdreamsofahopefulist.blogspot.com/2011/09/lake-atitlan.html

Working on your Spanish ahead of time is a good idea. You could get along fine without it since you'll be on the main tourist trail but having some Spanish will make your trip richer. Have you considered studying Spanish with your son? There are some outstanding schools and the cost is incredibly low. The option to stay with a local family exists, also, an amazing cultural experience. Some school's have excellent teachers for children, too. Cost for 4 hours of Spanish/day (M-F) and a week's stay with a family including all meals (except on Sunday) is $150-200/week per person. Here's a link to my beloved Cooperativa School in San Pedro:
http://www.cooperativeschoolsanpedro.edu.gt/

Great area. I have totally fallen in love with it. I agree with the other posters that skipping the pool and possibly doing some Spanish study would be good things. For most of the people in the area, Spanish is their second language (they speak Kachikel) so, for many, their Spanish is basic and easy to understand.

I would start in Panajachel as it is pretty easy to find people with basic English and just "look around" as you wish. Transport is cheap (Q5 for a Tuk Tuk in Pana, Q5 for a pickup ride to San Antonio, Q10 to Q25 to other destinations on the lake.

http://a42.com/site/pg/s/73 offers some general Guatemala information with more about the Lake Atitlan area in the local section. It's a magic place -- have fun there.

You can infer alot about an area by looking at it on gmaps and you tube.

Thanks for the replies.

So, would you recommend we stay in Panajachel, or San Pedro or other?

I hear you on the pool thing.

Thanks again!

Panajachel is a good base for exploring but not my favorite town on the lake. I have never stayed more than a night coming or going, though, so I haven't explored beyond the main drags which are filled with touts trying to sell you things. I prefer San Pedro but go there often enough to have lots of friends in the community so that's obviously part of the attraction for me. There's a very gringo area near the lake but the upper part of town is very traditional. If you're considering Spanish School, you won't do better than the Cooperativa linked above in my opinion. Happy trails!

PS Thanks for starting this thread! It's so refreshing to have a Guatemala thread in the sea of Costa Rica and all inclusive Mexico ones.

Thanks for the suggestion. I was thinking San Pedro as well, but there are fewer hotel options it seems.

You only need 1 good one. I'd try the Mikaso 1st since it has a nice share kitchen:
http://www.mikasohotel.com/

Hotel Sak'cari El Amanecer is another great choice. They're both right on the lake but Sak'cari has kayaks for guest use:
http://hotel-sakcari.com/

If those aren't in your budget let me know.

I was just checking out Mikaso. THanks!

We are taking an 8 and 9 year old boys touring in Feb. We chose http://www.posadadesantiago.com/ in Santiago, Atitlan because it had a pool and hottut,Beautiful grounds and neat cabins. While it is the second largest town on the lake you have to take a boat to get to it so less tourist but I am hopeing it will give us enought culture to satisfy that area. We also decided to spend a bit more for a water taxi from Panahajale direct to their private dock since having kids you have to make it easier as you know. Good luck! Alison