First time poster... came here looking for a VG to join, but meh :P
If you don't mind hostelling it for a bit before you start looking for accomodation proper, may I recommend j-hoppers.com. Last time I was there, the owner was still running the Kyoto hostel. He's done a bike tour around the world for 200+ days so he knows how it feels like being in a foreign land without the ability to communicate so he and his staff give that extra level of service to help you around. They pretty much booked us into a really nice ryokan, a couple other restaurants and directed us to the local bath house (they do have showers individual showers at the hostel though) that we would never have been able to get into since we couldn't speak any japanese.
And while, yes there are several festivals every season, Kyoto makes it easier for you a bit in that every 25th and 29th, they have a flea market at the two largest shrines in the city. Not quite a festival i know, but has the same general atmosphere.
And lastly, if you plan to stay in Kyoto, ignore this. But if you plan to travel north and south 'a lot', you'll want to get a JR rail pass. If you even have to do one return trip beyond tokyo and back, it'll save you some money.
Cheers and good luck

Also... yeh, what Rush Bolt said. Osaka. Plus, Kyoto is just one sprawling grid. It's a bit like Canberra... you can't really get lost, but everything still looks the same.