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I've never *knock on wood* had the rear of my MK1 come out during braking. Mine is an '86 but I've got '88 brakes on it. I've never had the rears lock up on pavement even under panic braking - only the fronts. Toyota has the brake proportioning valve setup to really keep all the braking to the front anyway. Getting less grippy pads in the rear will just increase your stopping distances and cause your rear brakes to overheat quickly. I wouldn't reccomend normal Semi-Metallics either as they just chew up your rotor. Porterfield R4S or Hawk HPS are about the best street pads you can get that will last a while. While you're down there upgrade to DOT4 brake fluid (I use Castrol GT LMA) for street use as it will reduce pedal fade under hard braking conditions. Also, don't use those slotted or drilled rotors as they don't really offer any performance gains.
Most of the "Twitch" comes from the amount of weight sitting over the mid/rear of the car. During hard cornering, bump steer will cause the back end to step out, and once the back end comes around, the bulk of the mass is there and wants to keep moving sideways. Also, having a stiff swaybar (or even just having a swaybar) in the rear or rear wheel toe out makes the rear more jumpy.
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