2 suggestions, based on having been staying there repeatedly :
Afamia***, Damascus - near Hedjaz station, just behind the main post office, 10 mins walk from the main souq and old town - just a pity that it takes them always several days before the reply on inquiries/bookings, but excellent value for money :
e-mail : afamia.hotel@mail.sy ; ask for a 'business room', very pleasant renovated rooms on the 2nd floor ; we paid in 2007 : USD 42,- per night, excl. breakfast @ USD 5,- p/pers. ; but hotel rates have apparently gone up considerably in the meantime, expect, I guess, at least USD 60,- ( see my own request, posted 18th July, 'Price level for tourist services' and reactions ) ;
Noria***, Hama - very central situation, mid-sized hotel on the 4th floor, just over the best ice cream parlour in town, very friendly management and staff, warm welcome, smallish but cosy rooms ( ask definitely for rooms at the back side, as road traffic starts very early in the morning and is very loud ! ) ; rate for September 2010 : USD 65,- double/twin room, incl. tax and breakfast ; e-mail : admin@noria-hotel.com ( under same management and also popular, somewhat less comfortable, a bit further down the same street : Cairo hotel ) ; very convenient by the way : reliable and friendly laundry shop almost opposite elevator door on ground floor, can be nice mid-way your trip !
When returning to Syria ( now postponed for some reason ) we don't even consider other places.
Driving a car is something we even wouldn't consider in Syria ( but we did in Jordan ), as this seemed more or less a suicidal adventure. Public transportation is excellent on trunk routes - frequent and cheap buses, and on some routes also even cheaper and definitely very comfortable trains, although not frequent - see www.syrische-eisenbahn.de for three lingual information on fares and schedules.
Enjoy your trip to marvellous Syria.