Nac is awesome, I loved it there. I lived there for awhile after I graduated from college. It's a very homey small town-feel kind of place. Nacogdoches ISD is very good. I believe it's Fredonia that has education students from the college come in and work with the kids on a regular basis, and that's pretty neat. It'll be rather obvious when you drive through it, but the north side of town is "better" than the south side. I personally would choose Nac ISD over Lufkin or any of the smaller districts outside of town. Granted, Nac isn't a glowing metropolis with a million and two things to do, but it's a town with a great deal of character and it's close enough to Tyler and Houston that you can get away if you ever need to.
Restaurants to check out are Union Cafe and Auntie Pasta's. Also Szechuan's has very cheap, delicious Chinese food. If you need recommendations for good apartments/townhomes or a salon I can dig up my old info. I always liked the stuff off of University. Go antique shopping and get ice cream downtown. Check out the fine arts/drama schedules at SFA for stuff to do. Nac has a (small, small, small) mall in case you're ever in a bind and need something basic. If you're outdoorsy, check out Lake Tonkawa or make a weekend trip up to Jefferson, TX to go antique shopping and camp on Lake O' The Pines. Check out the Fredonia Hotel for a romantic night away. Fredonia's bar, Nine Flags, is a nice and pretty chill environment compared to the other bars in a college town. Check out SFA's azalea garden in the spring.
We hope to retire there and after typing all that out, it's made me nostalgic!!
Hope that helps! Let me know if you need anything!