This place is a real gem. We booked it thinking it had air-conditioning (it doesn't), but in fact you don't need it because it's a traditional cave house which keeps it naturally cool (we were there in August).
What they do have (and you need) are a couple of dehumidifiers, to keep the humidity at a comfortable level.
The space is really nice - just like in the photos. The living area inside is very comfortable, and the outside area is also pleasant to hang out in.
Katerina was very responsive as a host, answering queries usually within an hour. We were there for a week and midweek the house was cleaned and we were given fresh towels as well as a fantastic spread of treats from the local bakery!
The centre of Karterados is pleasant a 15 minute walk away along footpaths through the old village. There are supermarkets and some nice restaurants there. We hired a car for our trip, and were glad we had - it made us much more mobile and meant we could explore the whole island easily. There is a place to park about 100 yards from the house.
The house was everything we had hoped it would be: stylish, comfortable, traditional, quiet but within walking distance of restaurants.