It does depend on what you are after?. Do you want a cheap holiday or a good holiday cheap?.
We have done several DIY's to Rhodes in recent years staying in Lindos. We always check the tour ops brochure for a comparison against what i can sort the DIY for. This year we are going in August. The cheapest brochure price we could find came to approx £1850 for 2 weeks for an apartment for the 4 of us (no air conditioning, night flight both ways). We have arranged a DIY for the 4 of us for approx £1500 plus taxis from airport (about £50 return).
This is in a private villa we have stayed in before so we know it is a superb apartment. The £300 may not seem such a great saving, but we have a day time flight each way. Also air conditioning is included in the apartment price, also a TV (not that we will use it), a good working fridge, toaster, sandwich maker, a full set of crockery and cutlery and free access to a washing machine, things you dont always get booking via a tour op.
The important thing is that the holiday is tailored to what we want, a better flight time and better facilities in our apartment. Things that help to make the holiday more relaxing and enjoyable.
To book our holiday with the flights and standard of accommodation we have got through a TO would have meant paying substantially more than we will be paying. The alternative would have been worse flights and lesser accommodation for around the same money.
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