Puerta Varas, Chile

Puerta Varas is the Santa Cruz (California) of Chile except it is on Llanquihue Lake and not the ocean. It has cute boutique shops for the ladies at reasonable prices and cheap bike rentals ($4/hr) or kayaking for the boys. The two restaurants we ate at we really enjoyed. Tempurawok over looks the lake. We sat on their deck and had an epic view of volcano Osorno. We enjoyed  excellent mojitos, sushi and the best empanadas in Chile. Much to our dismay we had reserved a bed in breakfast about 30min from this cute town and were only able to spend one day here. However, the boys went extreme river rafting so us girls were able to return to Puertas Varas and enjoy a fabulous lunch. This time we tried the Mediterranean restaurant directly below Tempurawok. They have great mushroom risotto and we discovered our favorite wine, La Joya from the Colchagua Valley- a great Cabernet!  
http://www.prestigewinegroup.com/brand-la-joya-reserve-20.html

We stayed at a cute bed and breakfast owned by expats that we found on Airbnb. The view from the house was gorgeous, bedrooms very comfy and breakfast was always delicious.
http://www.foxhillchile.com/

One of our favorite things we did in this area was pack a picnic basket full of good wine, cheese, meats, smoked salmon and drove to the top of Volcano Osorno where we watched the sunset while enjoying our feast. There are also hot tubs that you can rent at the top for $80 and have a magnificent view! But you need to reserve ahead of time to allow the tubs to heat it take 6-8hrs.