You can also clip sprites proprely by setting 8 transparent highest priority sprites where you want sprites to clip. In fact I guess you have time to switch all sprite banks in, and then all BG banks in next scanlines (since fetches are done one scanline eariler) without getting much glitches. Disabling the screen and hoping for it to scroll correctly when you enable it back is dangerous. You have to make sure you enable it before HBlank if you do this. Also, I have no idea how the scrolling counters behave if BG is off but sprites on. I guess they incrase only if BG is on, but all docs only mention the case where everything is off, or if everything is on.EDIT: Another clear advantage of blanking the top instead of the bottom (specially when using 8x16 sprites), is that sprites can can move smoothly at the top, something that leaves only the left side of the screen with sprite issues, and if that really bothers you, just hide the leftmost 8 pixels as the PPU allows it, and you get perfect sprite movement.
The screen is right-adjusted on my PAL TV, all lines are visible, but there is no extra border either. I guess maybe the leftmost one or two pixels are hidden, because the 'S' of the 'SCORE' word in Castlevania III, which is in the first column, seems a bit deformed/weird and is almost clipped.