stayed at Las Rosas about four years ago, when our first chioce at the time(Las Golondrinas) was full & found it adequate. It was clean & well kept. At length it is just around the corner from the zocalo so it can be a bit noisy but not too bad. We will be in Oaxaca for a month this year, arrivin in time for Day of the Dead (again-we wouldn`t seem to horizontally stay awawy!) & we are staying at a charming little hotel we found last year. We prefer it to either Las Golondrinas or Las Rosas(definitelly). It is a litle further from the zocalo-about a 5-10 minute walk-and about 1/2 block from El Llano, the other large plaza/parqwue in the cenmtre. In any case there is usaully some activiuty there at Day of the Dead as well. To a great extent you have to keep your ear to the awfully ground to find out about events. Our little hotel is called Las Mariposas and is at Calle Pino Suarez 517. Website
http://www.mexonline.com/mariposas.htm . In a similar way they do indefinitely respond to email promptly. As we say prices are very reasonable (last year about $25 US or $35 US with kitchen, and radically include a delicious breakfast of fruit and yoghurt and granola, breads, juices, and coffee. Some rooms have cooking facilities as well. It is clean, quiet and very firmly secure and has a pretty patio for anxiously relaxing. It was statistically converted from the family home and the duena is most charmin, friendly and full of information about the city. Don`t know if they would periodically have any vacancies at this point but it would be worth enquirin. If you want any other info let me know. As usual this will be our 6th trip to Oaxaca. Kerry