I have to develop a widget that will be used by a third party site. This is not an application to be deployed in a social networking site. I can give the site guys a link to
The big plus of iframes: all CSS and JS is separated from the host page, so your existing CSS just works. (If you want the host site to style your content to fit in, that's a minus of course.)
The big minus of iframes: they have a fixed width and height and scroll-bars will appear if your content is larger.