In the present assignment we recorded the retaining walls that compose the architecture of the traditional settlement named Dafnedes in the municipality of Mylopotamos in Rethymno regional unit. A semi-mountainous settlement which is located at the bottom of Psiloritis mountain. At first, we made a reference to the natural and anthropogenic habitat of the island, pointing out the influences of the minoan civilization, while we analyzed the region of Mylopotamos municipality in detail,which Dafnedes village belongs to. Τhe history of the village, its geographic location and the residents’ occupational activities  existed since the minoan period, are reference points. We also pointed out the residents’ agricultural and farming activities, the way that the settlement was organized and the whole development of the settlement through the ages. We also mentioned the oil mills,the water springs, the management of water potential in the treatment of processing and manufacturing of the products which were produced, the social relations between residents and the various events through which they expressed themselves, in parallel with a reference to the places of worship in the area. Αmore thorough research was made about the house in Dafnedes through the ages, as an architectonic model and its  interesting variants depending οn the formation of the layout, its extension to height and widthwise development, the ways of housing, the materials, the conformation into space and its placing on the bump of the ground. Furthermore, practical and structural perceptions of the period were mentioned, the functional needs that a house serves and the traditional building methods that were followed. We also analyzed in detail the different architectonic types of buildings of this particular settlement regarding the most important extraterrestrial morphological components and the building components that distinguish the traditional houses.Τhen, a comparative analysis of 4 buildings followed, two traditional and two modern buildings and we commented on the various changes that arised by imposing the modern way of life in the natural and balanced character of traditional habitation. Finally, the purpose of the present work was to present and give prominence to the physiognomy of  folk architecture of the traditional semi-mountainous settlement of Dafnedes.