I agree completely, in fact I just took it down a notch. When we put up the stars for the hotels, we used the self-reported ratings but when I get a free moment I'm going to re-review them all. Actually, if you go to our hotel booking engine and see the stars our hotel provider gives, they are pretty inflated as well. For example, it gives Alba Suites a 4 star rating while 3 I think would be almost too generous.
Shoot for the moon. Even if you miss, you'll land among the stars.