Little House in Rehavia is OK. We stayed there and found it adequate (including the free breakfast), plus it has a good location:
http://www.jerusalem-hotel.co.il/Hot...avia/index.asp
It also has a couple of affiliated hotels:
http://www.jerusalem-hotel.co.il/
For reviews of these and other properties, you might go to Tripadvisor.com and put in "Jerusalem hotels" or specific hotel names in the search box