When using the Mustang 8.8 it's easier to use the Fox body version
Setting it up is pretty easy. Took me a little over 8 hours to cut off the old brackets, line up and weld the perches, paint the axle housing, build the whole thing from scratch (it was a bare housing, I added a 31 spline True-trac, Superior axles and FRPP 3.55 gears and girdle), and install with the Cobra brake package.
The Mustang 8.8 does not have an offset. It is the perfect width for '67-'68, and '65-'66 with late model 5.75" bs wheels. The housing uses 2-7/8" diameter tubes, and smaller end caps then the Ranger and Explorer rear. It's really a light weight, but strong differential, that is also more efficient than a 9".
If I was planning more than 500 ft/lbs of torque, I'd weld the tubes at the center housing, If I was planning more than 700 ft/lbs of torque, I'd build a 9".
I think people make a lot bigger deal out the difficulty level than it really is. A little common sense, patience and accurate measurements, and it's no more difficult than building any other portion of the car. It's a hell of a lot easier than body work
Not sure what problems or complications others have run into. The biggest issue I had was finding the information to correctly shim the carrier, w/o spending money on a bunch of exotic tools. That was as simple as a trip to the local library reference section.
Here's a shot bolted in
http://www.mustangforums.com/upfiles/16598/369B316C969644799B7653F8A0EAE3A8.jpg
And here's a shot from the side with the 4.75" bs wheels.
http://www.mustangforums.com/upfiles/16598/20573526C7F84A779FA992A15CCAC618.jpg
Again this rear housing is from a '91 GT.
Good luck,
Scott