I was in Venezuela in Jan. 06 and had a fabulous time. Margarita Island is nice, and if you are looking for a reasonably priced place to stay, away from the resorts I'd recommend Casa Kerstin. Very nice, small guesthouse, with a pool and nicely landscaped grounds. The owners are very attentive; we had a good time there.
http://www.vachome.com/e970031/Ive also heard good things about Casa Trudel, but didnt stay there myself.
Also, if time and budget allow make a trip out to Los Roques. It is one of the most beautiful places in the world, pristine beaches, not a lot of tourist, pure beach heaven...in fact it is so nice I hesitate to mention it here...in fact forget I said anything, it's a dump
Have a great time, the people of Venezuela are some of the kindest anywhere. If you have any questions let me know, I'd be happy to answer them and reminisce a little.
Ringer