I do some hand work but only if I want to go for the "rustic" look. SOmehow, my curves get a little choppy.
For machine applique, I like steam-a-seam 2 and I secure with a blanket stitch. If the piece is large, I trim the interfacing so the center of the piece is not stiff. I hear that steam-a-seam light also cuts down on the stiffness.