I think that sounds like a great trip. My wife and I did a somewhat similar trip two years ago - two nights each in Dublin, Kilkenny, Dingle, and Galway. There are, of course, other places you could stop and stay at along the way, but I think you've got a great itinerary to see the best of the island.
I would recommend stopping in Kilkenny at least for a few hours to see the castle and St. Canice's Catheral, among other things. I would also definitely see the Rock of Cashel - it was great.
No doubt I would stop at the Cliffs of Moher on the way from Dingle to Galway - we did, and they are spectacular. Note that you can take a ferry from Tarbert to Killimer, which was not very expensive and saves a decent amount of time over driving through Limerick. We followed Rick's drive through the Burren, and while the landscape is pretty incredible, it wasn't the best part of our trip.
For Dublin, we stayed at Staunton's on the Green, which we thought was great.. It's on the south side of St. Stephen's Green, so it's walking distance to almost everything in the city, but very quiet at night. http://www.stauntonsonthegreen.ie/.
For Dingle, we stayed at Browne's B&B, which I would highly recommend. It's an easy 15-20 minute walk from the very middle of town (so note that there are more centrally located ones). But the hosts were amazing, sat down with us and talked about what we wanted to do when we were there, gave us loads of advice about the town as well as the Slea Head drive, etc. Breakfasts were awesome there. http://www.brownesdingle.com/.
I wouldn't recommend where we stayed in Galway (the Connacht Hotel).