This is Mike...
Finding a long term rental anywhere can be a challenge and Granada is no exception. Renting a temporary place for a month was the best decision as it allows us time to get educated and search around. Granada is similar to many tourist areas in that there is a clearly defined peak and trough of visitors. We initially thought we could get great deals for a yearly lease as we were arriving during the slow time. What we found out is very important for anyone considering coming to Granada for an extended period of time. Essentially the the real estate companies here make commission per transaction. Thus, the more transactions they can generate per house means more money earned. This probably runs contradictory to what the landlords want but is how it is with the big real estate companies over here.
We initially went to a clean North American type real estate office only to hear they have rentals until December or January and so on. We are leery about doing a rental that ends when peak season begins and would have to start the process all over again at the worst possible time. We are a family and the less movement between rentals the better. We started asking many of the expats for their opinion and the advice they gave was priceless. Basically, speak with Nicas and or go to Nica based businesses for the best deals without the games. You know what? They were right. We found a place for a full year right away and in the neighborhood we were looking at. I don't usually market for other companies but Casa Granada http://www.casagranadarentals.com/ was a great and honest resource for us. We consulted with all the other large real estate companies in town but going local was best.
As for the rental, we are trying to negotiate different beds so the girls can be in the same room but in separate beds. The place we are inquiring about is less than 100 meters to the kids school and very close to a wonderful bakery. In fact, the rental shares a wall with Granada's most exclusive restaurant and cigar lounge. We don't want to get our hopes up too high before signing the lease but are optimistic we can get in after this temporary rental expires. In sum, if you are coming here for the long term, allow some time in a temporary rental so that you can choose the best property for your needs.