We arrived in Recife and took a taxi to Olinda which is a beach resort. It was quiet when we arrived and neither of us were that impressed (looked a bit run down). We had booked a pousada before arriving (Pousada d´Olinda) and it was good (with swimming pool).
We didn´t do much in Olinda, had a quick look around, spent some time at the pool, went to see a film with a canadian couple, and had a good steak dinner with a few other travellers.
Pousada d´Olinda - Good rooms with A/C, good breakfast, pool and centrally located.