I posted this a few years ago on the forum in an answer to a question from another member, perhaps it might help you decide:
Unfortunatly as far as I know there is no accomadation in Hermannsburg. However they have started to build a Caravan Park in town (was mostly finished in November 2005) but I´m not sure if there are any cabins for hire. Try phoning the Ntaria Council on ++61 8 8956 7411 for more information.
While you are in Hermannsburg go and visit the "Hermannsburg Mission" founded by two Lutheran missionaries from Germany in 1877. The complex has been well maintained and worth a visit. After that make sure you try the home made "Apple Strudel" that is made from a secret receipe that has been handed down for generations!!!!.
If you have a 4WD then "Palm Valley" (Finke Gorge NP) is a absolute must and should not be missed at any cost. Take main road out of town East towards "Gosse Bluff" after about 1 K´s you will find the direction sign on the left hand side. The drive into the gorge approx 16km is just fantasic, you will not be sorry you went. The drive is not hard but can be very rough as you actually drive on the creek bed. The crossing over the Finke river just befor the homestead can get quite boggy with soft sand but if you get stuck someone will always come and pull you out. The camp site is set back about 4km from the “Palm Vally” walk and has, believe it or not, flushing toilets and hot showers!! From the camp site there are a number of bush walks, every one is worth doing.
The drive into Palm Vally itself is also very rough and care should be taken that you dont rip the oil sump out or damage the underneath of your vehicle on the rocks. The hard drive is rewarded with fantastic views and scenery. Once at the carpark you will find two walks available, the shorter goes up the valley and back again. My advice is make sure you do the circular walk it is just amazing! you will not be sorry.
Leave your vehicle at the camp ground, get up very early and walk down to the valley instead of driving, loads of bird/wildlife and you can enjoy the scenery at leasure, especially the driver who would normally have to concentrate driving on the track, .
The Palm Vally trip I´m sure will be one of the high-lights of your Oz trip, its certainly one of my NT favorites!
One word of warning: On route there is a track that cuts across via “Boggy Hole” to the Ernest Giles Road. The track as the name suggests is very sandy and should only be attempted by experenced 4WD drivers with all the recovery equipment on board! But saying that, the trek is well worth doing (I enjoyed it ) if you are capable but ALWAYS check with the ranger before setting off.
If you have no 4WD there are one or two day tours out of Alice but I have no idea of the cost.
Enjoy your trip!
Best Regards, Aussie1