Hey Crimson,
Loads of good advice on this forum. You might want to start with a search on the topic, as this has been discussed a lot in the past. I'm sure those that have raised their kids from those same ages, to now being teenagers and even adults, will chime in here in a few weeks, once they start following the forum again.
The friend who got me going intially has 2 young kids. Their first year, when they had just one under one, they camped at the High School (family camping spot), but the following year they got a condo in town. They said that worked out good as they could easily walk back and forth when their little girl needed some quiet time. Staying up at Mountain Village can be good and you'll have more options, you just have to figure in a longer commute time, which with little ones, can be a drag.
So that's my 2 cents ... stay in town!
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