I'm not sure whether this issue is specific to my setup, but I've made as good a search into the matter as I can without understanding much about Lisp.
When I get to the (require 'sage "sage") line in my .emacs file, I get an error saying that the symbol sage-command's value as a variable is void. I've traced this error to a line in sage-load.el (line 102 in my sage-load.el) that says
(eval-after-load (quote org-latex) (quote (sage-org-latex-setup)))
A workaround I found is to add a line at the top of sage-load.el that defines sage-command to point to the sage binary.
Also, I'll just add that I've been using sage-mode since .7 and the rate at which issues are being created and fixed these days is amazing. Thanks to everyone working on this right now.