what about flaps settings at takeoff?
That must depend on aircraft type. Talking only for my category (two-seater high wing microlight, 80 HP Rotax, 150-160 km/h cruise):
My instructor (who was a PPL'er before flying microlights) taught me to take off with half flaps. Then at my license test flight, the examiner, after confirming I passed, had me take off with full flaps and observe how much less runway length was used - his reasoning was that the sooner you lift off, less energy will be spent on rolling resistance. This technique does require pushing the nose down immediately after lift-off, but I do imagine it gains me most altitude in the shortest time. Which is what is most wanted - my field too has an all built-up area right after take-off, in one direction.
Edited to add: I was also taught to take off with full stick back. As soon as the nose wheel lifts off (perhaps at 70 km/h indicated), I lower the nose until the horizon is where I know it will be during sustained climb, then I patiently wait for the main wheels to lift too, which will be with some 80-90 km/h indicated. More "stick forward" at perhaps 10-20 feet above the runway, and gently build up speed while reducing flaps, and climb out at 110-120 km/h - VSI will show anything between 4 and 7 m/s. All this with full power on the Rotax 912, power is only reduced when a powerless glide to a safe field is assured (or at least looks so).