Ok, so we have NO carpeting in our home - except on the stairs (for sound absorption) and in the guest room. The kid's rooms and bathrooms are tiled. We have a stone type style in the kid's rooms with large rugs from Pottery Barn, so they can be taken out and cleaned....and that gives the feel of carpet, without really having it.
We have hardwood in the dining room, hall, master bedroom, living room, etc.
We really like the tile in the kid's rooms and bathrooms, since the water can destroy the wood. Our 2 year old daughter spilled some water and never told us, so we can see where the planks come together that there was water damage. Not a lot, but enough.
Also, when the kids have thrown-up, had an acident, spilled water, etc in their rooms - it's an easy mess to clean up without any residual stains, etc.
Whne we moved in, I was planning on putting carpeting in the bedrooms, but after a few spills and easy clean-up, I decided to leave it be. We also love that when the house gets cleaned, it really IS clean....and doesn't just look clean.
We have 3 kids (8, 4, 2) with another on the way.