I highly recommend Graziano's place. It has a beautiful terrace with the view on Etna and the sea. The place was clean, the beds were comfy, the kitchen was well equipped. Casteloma is a very nice place. More quiet than Taormina, which we liked. It has some nice restaurants, narrows streets one can stroll and lost themselves in. For the travellers with cars, we got a residents card that we displayed in our car and didn't have to pay for parking.
Graziano's father who greets and meets and checks in all the guests was very nice and helpful.