I agree, the Homewood is excellent, probably the best property down there. Have also stayed at the HGI there, and the HI, which is quite lovely and historic, but is a typical HI with not too many amenities.. The rates can vary widely depending on time of year, weekend/weekday and such. Points will always be a bit high being a tourist area. I'd do a combo of points and money.
Eat dinner at the Old Pink House! At one of the bars if you have a mind to. You shan't be sorry.