Garmisch is a fantastic place to visit any time of the year. In Winter and around Christmas it is the embodiment of the winter wonderland we are think of. The town is full of things to do, so there's no lack of pursuits both indoor and outdoor.
The Garmischer Hof is where I stayed most frequently when I was there. It was not that used to having American official travelers there since there was a sizable American military recreation center nearby, and that afforded me some freedom in getting around. The Hof was a smallish place and has been expanded several times over the years to its present size. The restaurant specialized in fresh wild game and is a real experience, assuming you're game for game
There's a wonderful US Army/ Department of Defense facility there called the Edelweiss Lodge and Resort, available for active duty and retired US Military personnel at very inexpensive rates. Some retire Defense Department civilians can also stay there, depending on availability.
Go there and enjoy the Alpine air.