My partner and I encountered only a little homophobia when we were in Italy in 2003. (One waiter in Vernazza shunned our table after he asked us why we didn't have any women with us and we told him that we had each other.) Italians won't care what you do behind closed doors as long as it's behind closed doors, but Italy is still heavily influenced culturally by the Catholic Church. In other words, public displays of romantic affection between two men will be extremely looked down upon almost everywhere in Italy. Generally the more northern and the larger the city, the more progressive it will be.
Also, sometimes a "double" means two twin beds in the bedroom. They might ask you if you want the beds pushed together (called "matrimoniale"). We didn't get a blink when we said "matrimoniale" for our rooms.