Having stayed in plenty of places in Myanmar that charged a similar rate, I feel I can give an objective review. My room had a good view of the mountains, a comfy bed and a decent pillow. The breakfast was very good - a pancake, egg of toast, fruit and tea or coffee.
The staff were very friendly and helpful. Having arrived very early in the morning (04:00), I was able to check in early for the price of half a night, including the breakfast that morning; a fair deal.
Wi-Fi was lousy, but that's the case everywhere in Myanmar, and completely understandable. The shower's hot water was quite a low pressure, but not a real issue.
Obviously very close to the station and a short walk into the centre of town.
One of the better budget locations I have stayed in Myanmar - nothing genuinely negative to say. Would definitely stay at the Railroad Hotel again.