we were in Zih/Ixtapa for 10 days - 2 of which we spent on isla ixtapa (mid june, 2006). it's the low season so there weren't many tourists. the water for all three beaches were crystal clear and stunning. playa coral has some reef, but it's obvious that it's not cozumel or cayman islands, nor do they claim to be. we saw a lot of fish, but didn't go in very deep where you can see starfish and seahorses.
we didn't order food (except for quesadillas) because we were full from breakfast. keep in mind, this island is not very developed - it doesn't have electricity. the restaurants get fish the night before and keep them on ice. we met another couple who have been going there for years and haven't had any bad experiences, but we were being super cautious and just ordered a bucket of beers :)
as the water taxi heads to the island, playa linda shines it's brightest: palm tree lined beach with the mountains behind them. wow.
the vendors WILL ask you to look at their stuff, but just shake your head no if you're not interested. browsing at their stuff will only make them more agressive to make a sale (i would too if i had to feed a family doing this).
i'm guessing that the description of the beaches in the previous postings were the result of a lot of people making the water murky. fortunately for us, the water was like the caribbean's! i'll try to post photos soon so that you can see for yourself.
it was a great experience



