I lived in Forest Hills, Queens for a few years before I moved into the upper east side of Manhattan and cant think of a better place - I still miss it at times.
It is gorgeous, charming, safe, great restaurants, inexpensive (relatively) and is on the E express subway line into the city AND has a long island railroad stop into penn station. Check out Parker Towers.
I live in Forest Hills.
I've lived or spent a substantial amount of time all around Queens (Astoria, Jackson Heights, Flushing) as well as Brooklyn and Staten Island... and I lived for 5 years in Manhattan.
I can tell you that there is no better place to live in NYC than Forest Hills. It's a wonderful mix of some rather wealthy people, and middle class. Has good food, shopping areas, and is VERY VERY safe. As a matter of fact, the only thing that stopped it from being the safest area in NYC last year, was the fact that we had 1 (one) murder... where a woman had her husband killed.
I live pretty much across from Parker Towers, actually, and I love it. It's clean, safe (cops are less than 5 min away), and pretty... with the most parking space I've ever seen in NYC (due to a large number of private houses in addition to apartment buildings).
The rents are far from being the cheapest in NYC, but they are competitive, and the area makes up for it. If you're going to drive, there are a number of garages available, and there's sufficient street parking as well (might need to walk a few blocks). I haven't had trouble parking my car. If you're going to drive, Manhattan is as little as 16 minutes away (via Long Island Expressway and Midtown Tunnel) if there's no traffic. I normally take the express bus ($5 buys you a 20-25 minute comfortable seated ride into Manhattan)... and I only drive late at night or early in the morning (due to work emergencies), because of the difficulty and cost of parking in Manhattan.
If I had to choose, I wouldn't live in New York at all... but since I have to live here until I finish my degree, I can't think of a better place.