Here is the spot to stay in Rome. Hotel Abruzi. It is directly across the square from the Pantheon, and walkable to the Spanish Steps, the Trevi Fountain, Piazza Novona and many other sites. In other words it is very centrally located, and has great views and is in the middle of the real Rome.
The rooms were classically smaller as you will find in a old local Roman hotel, however they were clean and very comfortable.
The staff is wonderful, the included breakfast is a sit down and order breakfast at a local restaurant.
We have been in Rome several times now and this is by far the best place we have stayed for convenience and service.
1 warning, there is a flight of stairs that you need to take to what I believe is the slowest elevator in Rome, however we are on vacation and enjoying the real Rome, we were in no hurry.
Make sure to request a room looking over the Pantheon, although I believe they all do.