I spent a two nights here recently with two other friends, while we were making our way through Italy. This hostel wound up being a lot better then others we stayed at. It is very, very close to the Vatican and about a 20 minute walk from most of the major attractions in Rome. The neighborhood is fine and it is relatively close to the metro, only about 5 blocks. If only in Rome for a weekend or a few days I would suggest it. The staff was nice also. My only problem was that I was not able to use the internet due to rules they have about when and how much you can use the computers that are kind of ridiculous and very limiting.

We stayed here for 1 night recently in a 6-bedded room with bathroom. The hostel was basic, but clean and friendly. The shower was hot (altho very small!!). The best thing about this hostel is the location- 2mins from the vatican and 2 mins from a metro stop! Really good!! The area felt quite safe too (we ended up walking back to the hostel quite late due to the metro being closed and didnt feel too uncomfortable [2 females])

Word of warning! The metro was closed at 11.15pm- the guide books said 11.30pm!! Check what time it actually closes, it may be earlier!!

Stayed here in an 8 bunk dorm for three nights in mid June (tourist time) and loved it! We met some very friendly people from all over the world, and yet we fell asleep easily every night, and slept very well. Helpful signs on the walls with tips on where to get groceries, laundromat, how to get to the beach, even how to pronounce common Italian words... Only down sides were lines for the two bathrooms which were not too clean, and lines for internet on the two computers. (we made good use of that time by planning our day and eatting breakfast at the communal tables next to the bathrooms, though). Last but not least a complementary bottle of wine at checkout for a thankyou. All in all, a very memorable hostel, one I would definitely return to.

Despite the friendly staff, the place was extremely small and stuffed with loud, obnoxious travelers who crowded in the tv area, which was in the middle of the 4 room hostel. You could also hear the cars wizz by on the streeets at night. Although there was a rule establishing that you would get kicked out if you came in loudly after midnight, the staff failed to uphold that rule, leaving me sleepless half the time.
The two showers were also unkept and did not have hot water all 3 nights. The only positive aspect was the location, right across from the Vatican.