I went to Israel for 3 weeks in May of 2000. I started off in Jaffa and worked my way around the country clockwise, visiting Tel Aviv, Haifa, Tiberius, Jerusalem and Eilat. I also took some side trips to Caesarea, Masada, the Dead Sea, Ramallah and Petra, Jordan.
I highly recommend the mini-bus tour to Masada for the sunrise trip! It was really beautiful to see the sun rise over the Jordanian mountains after an invigorating trip to the top. We went to the Dead Sea afterwards to have a nice float in the briny water. Be careful about shaving or recent cuts, as you will get a burning sensation from this. I also had some burning in my armpits, who knows why, but other people complained of this, so be careful with the deoderant!
The Israeli people can come off as being very arrogant. I didn't really appreciate this while I was there, but I chalk it up to the fact that they have had a hard climb since declaring themselves an independant state in the midst of so much hostility. Just be polite as possible and everything will be ok.
I also recommend doing the bike ride around the Sea of Galilee. When and if you choose to do it, make sure that you go clockwise around the Sea. This way you get all of the major hills out of the way. If the ride gets to be too much, there are 2 ferry points that you can catch a boat back to Tiberius, which is the place to stay if you are going to be in that area.
I'll post more info about Israel when I've got time. Enjoy!!!