My boyfriend and I stayed here for one night and found it perfectly pleasant and very adequate for the budget traveler. Our room cost around $20/night, and you get what you pay for... do NOTexpect frills here. It's a simple place.

It's located on the main drag in Tozeur, half way between the tourist/museum zone and the old city so it's easily walkable in both directions and very centrally located. Although on a busy street, the rooms are located in the back, off a beautifully tiled and very quiet courtyard. We paid a few dollars more for A/C, but it turned out to be more like a very weak fan (not worth the money). We tried to sleep with an open window instead, but the flies and mosquitoes were out in force so we had to shut it -- it was a rather warm night.

We had a private bathroom, but it was about the size of a phone booth, and the toilet and shower are co-located in the same corner, which made for a unique bathing experience. Although pretty clean, I would never have used it without shower shoes.

The front desk was super helpful and arranged two Land Cruiser tours for us for a very reasonable rate. They spoke excellent English as well.

In sum, I'd recommend this place to backpackers and budget travelers. It's worth noting, however, that we met some people who stayed at the Hotel Arich, which was only slightly more expensive and looked nicer, and all of them said they loved it. I would probably go there if I went again, but I would still recommend the Residence Karim. No frills, not fancy, but it had some unique charm and a nice staff.