I missed this the first time around, but here’s my two cents:
I love it here. It’s not perfect by any means, but it’s a laid-back city that will often surprise you by charming your socks off. I’m not a native; I grew up moving all over the place, moved here in 1995 when I was 23, moved away for a few years, and moved back in 1999.
Re. neighborhoods, it depends on what you’re looking for. I live in Midtown and wouldn’t live anywhere else; I’m on a quiet, safe street with huge, ancient trees hanging over everything, and on a nice evening half the neighborhood will be sitting on their front porches and enjoying the weather. There’s a park about 50 yards from my house where I walk the dog every day.
But at the same time, I’m literally ten minutes from pretty much anywhere I want to go. In that time I can be at a warm, friendly neighborhood bar; a fabulous but moderately priced Vietnamese, Indian, Chinese, Italian, barbecue(!), or Cajun restaurant; a small, elegant restaurant for formal, intimate dining; any of several movie or stage theaters; a huge park; an art gallery; the baseball stadium; the Pyramid, where the Grizzlies play (for now); or pretty much any other attraction in downtown or Midtown.
If you want a more suburban setting, Memphis has lots of suburbs that are, uh, suburban. They’re safer, of course (although I’ve been the victim of only one crime in the nearly seven years I’ve lived here), but to be honest I don’t know much about the suburbs. I never go there, as everything I need is pretty much right here.
Also, re. the local arts scene: what vibrotronica said.
Good luck, and feel free to send e-mail if you have more specific questions.