Beach bungalows - great location!
The island of Ko Tao, in the Gulf of Thailand, is a pretty little island that's a perfect spot to park yourself for a week, or two, or more. Look to stay at the "OK II" bungalows - rustic, yet cheap, accommodation built upon boulders right on the water, within easy swimming distance to a lovely beach. The island is known for diving, but the snorkeling off of the rocks in front of your hut is some of the best you'll find.