The apartment is located in one of my favourite neighborhoods in Madrid (Chueca) and there are lots of nice restaurants and shops around. Despite being a busy area, the apartment is relatively quiet. The host is quite responsive and communication is good. This time around we cought him on a bad day and had some arguments, but I have stayed with him before and he is usually responsive and accomodating.
It is worth noting that the apartment is a walk-up to the fourth floor. It is not ideal if you have a lot of luggage of mobility problems (there is no elevator).
The pictures are quite accurate. It´s a small apartment but well decorated (no TV, but that´s accurately informed). The reason I rated it a 3 star is because of the cost benefit. I have stayed in much better properties for roughly the same cost. I most likely will not return.