Personally I love it here, however, I would not live in Palermo. That is where most of the tourists and expats go and the thieves know it. It also floods a lot when we get any substaintial rainfall (which you probably have already realized since you got here a week ago...).
Criagslist is a good place to look for roomated or shared apartments or houses in the city. I have had some luck there.
As far as crime goes, you do have to watch out for yourself a lot here. I know all the tourist guides tell you that its still safe, and to a point, it is, but it can be dangerous. Most of the crimes are petty theft like pick-pocketing. They love to operate in crowded places such as buses and the subway so keep a good eye on your belongings and the people around you. A big thing is to blend in with the locals. Criminals love to target tourists here.
Night is just quieter and you have to keep your wits about you to stay safe. If you see someone how looks shady, just stay clear of them. It´s also a good idea just to take a casual glance behind you every know and then.
SSR is not completely wrong about the pizza, it can be pretty bad sometimes...But there are a few great restaurants in the center that have excellent pizza. For the most part, if you order food to your apartment, don´t order pizza.
And yes, the customer service here is appauling. I waited tables in the states and I can not stand eating out, especially at places where I´m forced to pay for a tip when I saw the waiter 2 times.
My best advice is to have fun and don´t sweat the small stuff here.