[matese]

Welcome to YT. Yes it is normal for a dog to be skittish in new surroundings,new parents, new smells. Give him a couple of weeks to adjust. If you have young children that are very active it could take this lil guy longer to get use to the fast, quick movements of children. I NEVER leave my 5 yo rescue off lease. Yorkies are hunters, they will go after anything that moves, even a leaf falling from a tree. My boy is off leash only in my fenced in back yard with ME watching him. He is NEVER outside alone.He is a big boy, 12 pounds, but he gets into much mischief and will eat anything that fly's, crawls, moves. I do not advise leaving a tiny yorkie off leash as they are food for birds of prey, hawks, falcons, owls, they will swoop down, grab that lil dog and carry it off to eat it. Also very dangerous if there are dogs in your area that roam free, they can attcked and kill a tiny dog.
Yorkies are very smart, but as terriers their concentration span is limited. Before you start any training of this dog he will have to be comfortable in the home,not skittish and comfortable around the children. When training commands, sit, down, stay, wait, drop it, leave it, training should be no more the 5 to 7 minutes at a time through out the day with lots of praise and treatsif he is food motivated. One command only until he fully understands then you can teach a 2nd command, when he understands the 2nd one you can use both commands, then move onto a 3rd command. Cody at 3 yo with several 5 / 7 minutes training throughout the day learned one command every day. Adding up those 5 / 7 minutes training I would say totaled one hour of training time. Yorkies are eager to please their owners. Lots of praise, silly happy dance, clap hands to show what a good boy he is. Sorry, no advise on crate training, any pup I ever had was gotten as babies, they were pad trained first then house broken, no crate was ever used. Many members use Iris or E-pens for confining for housebreaking. I am sure they will be adding their experience, advise and suggestions.
I was very lucky with my rescue, he was 2.5 yo when I got him and was partially house broken, first day home he was making outside only, most dogs prefer to potty outdoors, many yummy smells for them to check out lol. I have my boy almost 3 years and I am STILL learning NEW things about him. Good luck to you. Yorkies are an awesome breed, filled with charm, personality and BIG attitudes lol.They will train YOU without you even being aware of it lol.