I can totally recommend Dario's place! We were 4 people and we had plenty of space. The apartment is so charming with details everywhere.
The location was absolutely perfect, we barely walked 5 minutes to the city center. And there are many nice Bars and Trattorias to go out to :) Dario himself is also a really nice and helpful person. We really enjoyed our stay in Palermo at Dario's place and hopefully we'll come back some time.