My question is, where exactly do you want to be, within the city, so that you can walk to most of the interesting sites. Also, any recommendations for specific hotels that are relatively inexpensive, convenient, and nice?
Catherine:
I have stayed at the Hotel Aberdeen several times. Including on a Rick Steves tour. It is very close to the main railway station and the subway. We walked to the major sites, but it was a bit of a hike to some.
The hotel is clean, on a quiet street and the staff speaks english.
Rick Steves' Rome book really sets forth your options in different neighborhoods in a very clear manner.
I honestly recommend picking it up because each neighborhood and style of accomodation has its own character. You want to carefully select on more that geographical proximity so that you have the experience that you want. For example, if you pick something near all the sites, but it has an "industrial" feel, you won't feel as satisfied perhaps than if you picked something a little futher away that had a "neighborhood" feel to it.
Anyway, the RS book is a really good place to start along with any other recommendations that people may post here from their own first-hand knowledge.
I love the area around campo dei fiori. Walkable to sites, plenty of locals around, good restaurants, great morning market, beautiful winding streets--it was all exactly what I pictured Rome would be. I loved the atmosphere of the area. My sister-in-law likes the area around Piazza Navona--also very central but with a more lively evening crowd. Near the campo, we stayed at Smeraldo, a Rick Steves recommended hotel (smeraldoroma.com). I would definitely recommend it.
I agree with getting Rick Steve's book and following his advice. I've followed it on every one of my trips except my first one and I've had better locations at better values! You can trust all his advice-I've learned that over the past 7 years of going to Europe 10+ times. It is the best at laying out all the little details and hotels with little maps, etc.
My top pics for Rome:
Nicolas Inn, www.nicolasinn.com
Fellini Inn, www.fellinibnb.com
Gullivers Lodge, www.gulliverslodge.com