As mentioned, Corfu has something for everyone. Accomodations are from basic self-catering to hotels and a handful of time shares. For the most part it shouldn't cost much more than 20 UK pounds (25 US dollars) per night for a decent self-catering apartment, of course depending upon the current exchange rates.
In the north, there's a big mountain - on the top lives an old monk. If you can make the drive (you need a 4 wheel drive vehicle), he will normally treat you to a glass of his home made wine. Beware - he only speaks Greek so be prepared to make gestures.
You can easily drive the whole island in one day, being in the region of 27 miles long and around 10 wide. There are many resorts to choose from and the main towk (kerkira) Corfu town is definitely worth a visit, with architechture from all over the world (depending upon occupancy at the time).