I understand and wouldn't be spending time if I didn't want to help.
Where do I start...I go with tires. As you realized, 20s aren't the best performance but certainly aren't horrible and as you said, the lighter weight is huge when it comes to a live rear axle, so you're ok there. the 255s Falkens, well, only a marginal incrase in contact patch and they aren't known for ultra high handling. They are a budget friendly tire.
Nose dive will increase with bigger brakes on your current setup.
Your rear end is loose. Usually, a result of to much spring and sway bar. But I know for a fact, I run them on my DD, if you are using Eibachs newest prokit, after a couple of weeks of hard dring the rear springs set in damn near perfect for a DD with the stock sway bar. So, whats left? Stiffer control arms and shocks. The Ford Racing "A" kit shocks and Steeda rear shocks are known to be a little harsh on bumps, great on smooth tracks. This leads me to believe that your live axle isn't being allow to articulate to keep traction over bumps in corners. This happens a lot to people who want the best performance setup and realize it doesn't work so well in the real world.
I would suggest you start by getting a set of adjustable shocks or a set of GT500 shocks (2010 or newer) as the valving is great and low cost. I can hook you up with the part number if you would like.
This should balance out your car and then you can build from there.
BTW-If your rear is loose with TC on, I wouldn't turn it off! In fact, the rear is probably a lot looser than you think.