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Great little town with nice people and amazing views. I recommend going out on the hikes, especially doing the Condor Trail which gets you close to the majestic birds We cooked at our host and got all we needed from the local supermarket. Groceries prices are high because all the products have to be flown from Coyhaique and there are very little fresh veggies available, but I didn't see this as an issue.
Enjoyed a 3 day stay which we felt afterwards was about right to see most things and get a real feel for the town. We made a mistake in booking a trip to the O'Higgins glacier on our last day. Sadly it was postponed due to poor weather at the glacier and went the day we left. When you book best to give yourself an extra day afterwards just in case! The Carretera Austral down from Rio Bravo to Villa O'Higgins is lovely with good views, lakes, water falls etc. the ferry across the Mitchell fjord is easy and beautiful. The road needs care but is fine and anyone with a 4x4 will find it no problem. There are very good walks available from the town, no real need to take the car. The trails are well maintained and simple to follow. Most are shown as easy.... I think moderate is probably more accurate. But lovely views through woods and valleys to wonderful views. Eating out is a bit of a challenge. The Entre Patagonia restaurant on the left immediately you enter the town looked the best bet to us after a good look around and it was lovely. Nice inside, good atmosphere and very pleasant attentive staff. Food was quite good although limited supplies was obviously an issue the second night we went with some items on the food and drink menu not available but you have to just remember where you are. Fuel for cars was readily available with 2 fuel stations open in January when we were there and at a reasonable price too. Villa O'Higgins seemed very safe day and night. It was fine to wander around and didn't seem at all threatening.