We've always had a fresh tree. There are a couple of important safety notes:
On no account, put open flames on or near any tree you will spend any moments of your life not actually looking directly at. Yes, everyone's grandmother had candles directly on the trees (short candles, in small pans filled with water, in the only room in the house apart from the bedrooms, and only lit when they were at home!) Lots of people's grannies burned their homes down anyhow. You can do it, you just have to know that you're going to have to babysit it more diligently than an air traffic controller watches planes over O'Hare.
Use the newest electric lights you have. The newer the lights, the less heat they give off, and the less heat they give off, the lower your risk of lighting it on fire. Buy new ones if yours get hot at all. The new LCD lights emit no heat at all (and are super-cheap to power, in case the power bill in December is a problem).
Be aware of where you're putting it up. Keep it away from heat registers and air vents that will dry it faster than it will already be drying. The dryer the tree, the more of a candle you're getting.
Cut the bottom 1/2 inch off the trunk just before you put it into water - like all other cuttings, the cells close over when exposed to air, so they stop absorbing moisture through the stems while they keep losing it through the leaves.
You need to keep the reservoir of water full at all times. Depending a lot on the temperature of your home and the humidity, that may mean you have to water it twice a day, or only once every three days. If the reservoir dries up, the cells will close over and it will no longer absorb any water at all.
Wait. Do not put up a live tree at the end of November and expect it to still be a tree at New Years. That's like cutting roses in December and expecting them to still look like roses for Valentine's Day. The tree is dead already -- watering it just stops it looking dead for a few weeks.
The fresher the tree, and the later you put it up, the fewer needle falls you will have by Christmas. Traditionally, trees were put up on Christmas Eve and taken down before New Years. If you want to do that, you can frankly dispense with the watering completely.
Some people are allergic to the turpines that trees emit, and having them in heated, indoor air makes this a whole lot worse. Be prepared to remove the tree from your house if anyone shows symptoms that are a problem.
Select varieties that don't drop needles much. Scotch pines are better for holding their needles than some, as are the weirder varieties that look like Charlie Brown trees. Get your tree advice from a local nursery (instead of the grocery store or Walmart), even if you don't buy a tree from them.
I happen to like Balsam Fir, partly because I like the blue-grey needles better than the yellowish-gree ones, but also because the trunks are covered with sap blisters that you can pop to make the tree smell fresh again at any time, the boughs are far apart which gives space for dangling things to be visible, and the sap blisters stop our cats from climbing the trunks. We have hardwood floors, so I'm not overly concerned about needles, but balsams don't drop a lot of them (compared to the Douglas Fir which seem to create tons more than you can see!)