Can't resist getting in here...I'm living in Egypt, spending most weekends diving in Dahab. I think you could have the best of both worlds by staying in Dahab and maybe making a day trip to Sharm to dive the Thistlegorm. I did a trip like that with a day of diving and 1 night on the boat, had a great time. I'd recommend either the Hilton or the Swiss Inn in Dahab, they both have their own beach. I dive out of the 'DiveIn' dive center http://www.diveindahab.com , partly because their 'house reef' is one of the best around.
Good luck!
Good luck!
