What is the best area to stay in Rome? Any hotel recommendations?
I think the Pantheon area is the most central but this area and the area near Piazza Navona is also the most expensive. I'm not crazy about the Spanish Steps area - filled with shops & the streets are usually very crowded - which is also pricey. You can save some money if you stay near the Vatican, however I found this area to be quite dead at night. The area near the Roman Forum is cheaper than the Pantheon area and still retains a bit of a neighborhood feel. Termini Station has lots of budget hotels and hostels and although it's not the nicest area of town it is perfectly safe.
What is budget for a hotel? It would be easier to recommend a place if I knew your budget.
I would strongly recommend the Hotel Aberdeen. Owned and run by several lady cousins who are very knowledgeable about Roma, it is about 6 blocks from Termini, a block from the Metro and bus stops. Across the street is the Denfense Ministry so there are guards day and night. It is one block from via Nazionale which with a few jogs and a few name changes runs right thru Roma from Piazza Repubblica to the Vaticcan. Grocery stores, restaurants, pharmacy and ATMs close by. I never stay anywhere else anymore and I have stayed all over Roma.
We stayed at the Hotel Lancelot in Rome a little over a year ago, and found it to be very, very nice. Family-owned and operated for years, very friendly and helpful staff, fantastic breakfast, one-menu dinners, very clean, has an elevator, about a 5-min. walk from the Colosseum, very quiet area. I don't have a clue what prices were, as the trip was a gift.