Hi, the last time I actually stayed in Umbi Village was in 2004, back when it was the only hotel in shark's bay and all around was sand (university days, we thought it was awesome to drag our mattresses out and sleep on the beach, 15 years later, I would wake up with a sore neck).
However I've been staying in the area every 6 months in the last 5 years, and recently completed a course with another school; but on the umbi beach, and know the Umbi dive team (Sunshine divers) very well. Caveat, I've never actually dived as a client of the school, but my dive center boat shares with them almost daily, and my regular dive guide is best buds with one from sunshine, so we've gone in the water as a combined group many times.
First, I'd split the hotel from the dive operation, those are 2 separate choices as any diver operator in the area will gladly pick you up from any hotel in the large area of Hadaba all the way to Nabq at the other end. On my last trip is switched dive operator to get one that could teach the course I wanted, but stayed at my usual hotel. They picked me up no problem.
However in order to answer, I would ask you what are you looking for?
For the dive center; are you more laid back and want to explore with a dive guide that is watching to bring you back in line only as needed, or do you prefer a more rigid structure where everyone is following the guide in a line? Egyptian dive guides tend to be more laid back (not unsafe, just less military). The extreme opposite are the german operations. Mind you I've also had an egyptian guide that gave us a 20 minute briefing including "when I say the maximum depth is 30m, I don't want to see anyone come back on the boat with 30.1m on their computers"... ummm yes sergeant!
On the hotel side, are you looking for a quiet area, a nice beach, night life and restaurants etc? What is important to you? There are so many options. Umbi is a VERY budget hotel - accommodations are VERY basic, but absolutely adequate if your only interest is diving. The major plus is that in that price range, they are directly on the water. If you want that same price range, but access to night life, you could go with Na'ama Blue hotel (or many other similar in the area), right in Na'ama bay for the night life, restaurants etc, same price, but 3 hotels back from a beach (15 mins walk).
If you want a nicer hotel and are ok with being further from the action, look at Hadaba and Nabq. A few dollars more per night, but a huge increase in luxury (beautiful marble bathrooms, large balconies etc). Just don't look for anything to do at night, unless you want to book a seat on a shuttle that will take you into Na'ama. Cheap but runs only 2 or 3 times per night, and takes 30-45 mins to get there.