Are you bringing a car? Sometimes the shuttle system at the DTD hotels can be a pain. You also have the choice to walk to DTD and take a bus there but they only go to the hotels so you would have to take a bus to a hotel and then to the park which is a waste of time. The price of the room also depends on the when you there. The Wyndham for one night (May 11-12,2012) with tax was $131.33. Every value hotel will be different depending on the type of room. However, for one night at All-Star Movies in a standard room (May 11-12,2012) with tax was $144. The difference is not that big at all. I always prefer to stay on site. Since this is your first Disney family vacation I think it is more magical if you can make that happen. There is also a possibility that a special offer will be available for your dates. While the values only have counter service dining options you can always make an ADR for a character breakfast or something of that sorts. I would suggest getting a quote for your exact dates from the possible DTD hotels and compare it to the Disney hotels. The value hotels also have great themes and large decorations. They are at the age where they would love that. Also, if you stay off-site and you plan on driving to the parks you have to pay for parking but if you stay on-site you can take the bus to the parks. For the $12.67 per night I would stay on-site. It could only add to the experience! Have fun!