VISA- it is very simple to get Azeri visa. The price is from 40$, depending on your citizenship. You can get it at Baku airport without any LOI/hotel reservation etc, cos it is reductive visa regime in Azerbaijan. See links:

http://www.mfa.gov.az/eng/dipser/represent.shtml#12
http://www.azerb.com/

ACCOMMODATION in Baku- from different forums tips, i have found that there are too expensive hotels in Baku, such as Radisson SAS, Europe, Hyatt etc. But there are also several small motels, such as Velotrec, Araz, Canub, but all they have each minuses.
First, the location - Velotrec and Araz are not in the city centre/the conditions - all these motels have bad renovation, rooms, suffering with severe damp problems, browned paper peeling from the walls, paint chipping from the ceiling, rotten windows, doing nothing to keep out the noise of the busy road below and dirty curtains hanging precariously from two or three points on the curtain rail and bed linen, oh, i think it was not washed after previous clients/the price-from 40-50 new manats per person per night. To pay such price for these motels is a crime, it is too overcharge for what you get. So, we decided to apply to the Real estate agencies, which had a lot of good recommendations in different forums and were offered very good daily apartment just in the centre of Baku, close to Fountain Square. See links:

http://www.travelazerbaijan.land.ru/
http://www.delaet.biz/extra/travel_info_Azerbaijan.html
http://www.bakurealestate.net/
http://www.uncorneredmarket.com/2007/09/baku-old-and-new/
http://acturca.wordpress.com/2007/06/06/baku-to-the-futurehttp://www.bakurealestate.net/

BAKU CITY - After getting two important things: visa and apartment, we began our trip. First three days, we visited the Old city, Maiden Tower and Palace of Shirvanshakhs, Fountain Square and Boulevard. Then we went to Gobustan, Mood Volcanoes and Ateshkakh.
See links:

http://en.wikipedia.org/wiki/Baku
http://www.baku.ru/

NABRAN - Then the fourth day we went to Nabran - it is the place or rest with the forest and Caspian seaside, close to the Russian border, so there were a lot of Russians girls :)) We went there from the city centre from MUM (Central Department Store) by 57 bus and went out at Shamakhninka, it is the bus stop from where the buses to Nabran go. We stocked up in Baku, cos we heard that the food is too expensive in Nabran and decided to make a camp ourselves just on Caspian seaside, cos we had our own tents. We stayed just at a forest in 5 minutes walking from Caspian Seaside in our own tents. No any hassles from anybody. Everybody around were very friendly. There were also several camps and a lot of different public sanatoriums and private holiday homes, where the most of former USSR's citizens had a rest.

To be continued...