In terms of translation, I enjoyed the Fitzgerald the most but if you're looking for a bit more contemporary language (not THAT contemporary, it's still in verse and the same text) you'll find it in the Fagles edition. I haven't read the Iliad but I just finished the Odyssey for the umpteenth time and it's wonderful.
This may seem totally crazy but over the summer I worked with 3rd and 4th graders and ended up being pressured into reading the Percy Jackson books, and while not totally accurate in terms of mythology, the basic ideas were there and it was a nice review prior to reading the Odyssey again for a class this semester.