Is there a way to register for music lessons online? The instructions I found seemed to suggest that I need to mail a physical letter to do it - I didn't know that was still done. Since I'm coming from Israel, anything involving mail is long and cumbersome. If online registration isn't available, is there perhaps a way to fax it instead?
Unfortunately, no. Every incoming freshman needs to go through the steps of filling out required paperwork and mailing it beforehand during the summer, then auditioning at the start of the fall semester, and then submitting forms to the registrar's office shortly after their audition (if they were deemed advance enough to take instrument/voice lessons for credit at the Peabody Conservatory).
In reply to your questions from your original post:
1. I used to try being a classics/music double minor (before I decided that I wanted to focus more on classics and take several more classics courses than the minor required); in a nutshell, the music minor requires you to take music theory courses (but you can place out of them), music history courses, and private instrument/voice lessons (or participation in a music-based extracurricular activity that's approved as a way for you to fulfill the minor requirement.)
2. How good you need to be to take lessons depends on the instrument you play, as well as how good you are compared to other students auditioning to take lessons in the same instrument.
3. Since I'm a pianist, I've never looked into joining ensembles at the Homewood Campus (I do play the piano for my church's choir here, but that's an entirely different turf, as you could guess). I do know, however, that not every student who has auditioned for a musical ensemble has gotten into one; I just can't gauge whether it's because their competition was steep, the students simply didn't have sufficient musical background needed to play in the ensembles, or a combination of the two factors.