I have a few tips in general for people.
If you're looking for a hotel with a more local feel -- AND don't mind walking or using public transport -- I would stay in Vinohrady, in the area between Flora metro stop and Namesti Miru.
To put it simply, there are not throngs of tourists in this neighborhood. The prices in bars, cafes, and restaurants are 1/3 to 1/2 of similar things only 1km away in the center.
Trams and the metro are easily accessible and can take you anywhere you want to go. (As another aside, it is usually quicker to take the tram instead of the metro if you're going anywhere near the center of Prague, although the subway trains go much faster.)
Plus, if you're up for walking, you can walk from Namesti Miru to Staromestska Nam. (old town square) in 25 minutes, and Vaclavske Nam. (Wencesles sq.) in 10 minutes. Prague is a relatively compact (and safe!) city, so walking is an option.
In particular, here are some places to look at
Hotel City Bell (3 blocks to Metro, 3 blocks to tram, and in one of the best little neighborhoods in Prague)
http://www.hotelcitybell.cz/english/...ell_prague.php
Hotel Ametyst (4 blocks to metro and tram), same neighborhood
http://www.hotelametyst.cz/
Hotel Chodska (2 blocks to Metro, 1 block to tram)...right in the heart of Vinohrady, tons of cafes, restaurants, bars, etc. nearby, as well as parks, beer gardens, and some shopping.
http://www.hotelchodska.cz/
A handy tool is the map site "mapy.cz" I find it much better than google maps. In Prague, like in some other European cities, the numbers don't necessarily line up on opposite sides of the street. So if you're at No. 51 on your side, the building across the street could be No. 4, or No. 102. They're in order, but they don't start over with each new block. This website shows the street numbers. Plus, it shows hotels, restaurants, metro stops, tram stops, bus stops, ATMs, theaters, etc. Also has a good photomap: (click Fotographie on the left side). The hotels, restaurants, etc., are clickable and often will lead you to an independent website.
I'm always happy to answer specific questions, particularly about beer gardens, neighborhoods, walking and transportation. Not so good at really expensive restaurants and shopping.