We had a fabulous week staying here over New Year. The house is so characterful and wondrously decorated it even induced us to be tidy! I can't imagine a more charming place to stay. It was full of useful and beautiful things, not the usual holiday cottage tat, and looked like someone lived there and loved it.
We used the wood-burning stove and (very good) cooking facilities in the ground-floor kitchen quite a lot because we did great long walks in the nearby mountains everyday and were mostly too exhausted to go out. Also we tried 2 (very nearby) places in Canillas for dinner - edible but only just - maybe it's a seasonal thing. If you don't like cooking it's worth the short and beautiful walk to Competa. We had a BBQ on the roof terrace for one evening meal, a bit chilly in Dec/Jan by the time we'd finished eating, but worth it for the view. It was warm enough to have breakfast on the terrace every morning and on the few occasions we were back in daylight, enjoyed a beer or three watching the sunset.
It's a one-up, one-up, one-up, one-up, one-down, so if you aren't happy with lots of stairs it's not for you, but we got used to it. And the house is organised with a mini-kitchen on the top floor so you don't have to carry your breakfast up 4 flights of stairs every morning.
A few walks can be done right from the house. We used permutations of the Walk! the Axarquia guidebook and went up Lucero from Fabrique de Luz, only 10 min drive, and did several other walks within similar driving distance. If you don't fancy using guidebooks but like walking the GR249 between the villages (Competa-Canillas De Albaida - Salares - Sedella) are very well marked, and from what we saw of them, very nicely routed.
Margot was also very helpful with advice about walks to do, and everything else.