From the hostel, go straight until you pass the two big antennas (Next to the police station). You will see a road on your right with a sign "Alto de Piedra", ignore it and take the next trail on your right: That's the one called " La Piquera" Go uphill for an hour more or less until yo reach an intersection with a little house and a wonderful scenic spot. Go straight; follow the main trail, with Cerro Tute up above, on your right. At some point, you'll meet a broad trail on the right that seems to go uphill to the top of Cerro Tute but it doesn't, stay on your trail. Then, you will start the way down - called "La lagrimosa" ("The Tearful One", you will understand why the next day: sore thighs!!!). At the bottom, you'll meet a broader road.
If you decide you want to come back, go left and follow the road downhill. After about 30 min, you'll see a phone booth on your left; if you feel like another 45 min to an hour hike**, go toward the phone. You'll see a tiny trail going down, follow it until you reach another broader trail: turn left. You are now on the trail that will take you back to the village.
You will arrive at the big intersection with the "Bienvenidos a Santa Fe" Follow the main road uphill to come back to the hostel.
** If you are already tired at this point, you can skip that part and follow the main road downhill for about 15 min. you will arrive to the paved road that goes to Santiago. You can just wait there
for a bus to come back up into town.