The search feature was changed back to the original over 2 weeks ago.  It is just as it always was now.  I will take it that you have not tried it lately.  You might want to try searching with Google.  Put in the website name and then the keyword you want to search by.

The classified option with no pictures is only for the index listing page.  It turns off the thumbnail view of the pictures.  I just checked it an it appears to be working fine here.  There is no option to turn off the pictures when you view the individual ad listing.  Maybe I am misunderstanding you, but it is working correctly when I view it.