Pudu Hostel is a bit like a being in the countryside, except you're only 3 minutes' walk from the main street in town.
To the center of Bariloche you can perfectly get walking. Supermarkets, pharmacies, banks, everything in little walking distance. If you feel like heading off for the day, the main bus stop (to the ski slopes, Llao Llao, Colonia Suisse, Bus Terminal) is a 3 minutes walk.
From the bus terminal: Take bus N° 10, 20 or 22 and get off in the Street San Martin, infront the Hotel Edelweiss. Then just follow the street Salta (which is going up) till you find the Pudu on the right side.