I've been here over two years (actually part of that was in Perry South) and I've had no problems. Now I'm in Observatory Hill proper (I can almost see Mr. Bill's from my front porch, and I can see the actual observatory from my house) and it's usually pretty quiet. Needs more businesses, though.
I see the scared mice are up to their usual B.S. on this forum.
Edit- I just realized how old this thread is. Anyways, I doubt it's gotten much better/worse since 2007. There are neighborhoods in the city I'd rather live in, but I love my house, would never be able to afford my view anywhere else, and it's so easy to get to work from here (North Shore). Yep, you could do a lot worse than Observatory Hill.