We bought a Europass (rail) and traveled throughout parts of Switzerland and Italy, and it worked out great for us. We traveled light - if you look at the Rick Steves website (Rick has a show on PBS regarding Europe travel) he has tips on clothes to bring and how to pack. So we each had the equivalent of a carry on bag on wheels, and small daypacks. We picked hotels or B&B's near the train stations, or in areas where we could walk to. We did some side trips using local rental cars and even have taken local buses. Most everyone speaks English and are willing to help.
Some people really like tours, but we have found it cheaper to do the tour itinerary on our own, and we like having the flexibility. If you plan well in advance, you can generally get tickets to the important museums/attractions ahead of time, sometimes online. And not being with a group of people we found ourselves intermingling more with the natives which was an enriching experience. In Italy we took local trains to Cinque Terre which is where the Italians go on vacation. Its very beautiful, on the Mediterranean, and we ended up renting a pullout bed in the living room of a local Italian woman who was the cook at a restaurant in one of the small towns. It was an unforgetable experience. We went on our own to local markets to buy food for lunch, we bought a map and did some hikes in the Cinque Terre region that most tourists would never see. In Switzerland the owner of the B& B in Muerren we stayed in gave us good tips on hiking opportunties. But we tend to be on the adventurous side. Many people need the comfort level of a tour. Good luck and enjoy!
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