Hi Lydia it depends on what you like to stay at. I typically use vrbo for a house stay that is long but for this race i stay at a hotel because i am only there for two nights. I stay at Beach street Inn which is right in the middle of all the action (walk to everything for race stuff). It is pricey but can't beat the view. If you want to stay away from all the busy stuff there are lots of places to stay. Trip advisor is a good source. Hope this helps

Stay at The Carousel or The Edgewater. Both have good parking. Carousel is probably a little closer to the start and right across the street from the finish. Edgewater is closer to T2 bike area (enjoy the .3 mile run from the water to T2) and the exit from the water. Carousel was perfect last year, and the rate wasn't as stupid-expensive as it can be in the summer, just got lucky I guess.

The Carousel or VRBO are good options for staying near the race. Depending on the age of your kids they will likely really enjoy Santa Cruz Beach Boardwalk. If you are looking to stay a few more days you can move down to Monterey (45-60 mins) and stay on Cannery Row. Ton's of activities, restaurants, Monterey Bay Aquarium, etc. that are fun for the family.

Thanks for the suggestions!! Gonna survey the family and see what they want!:)

Love the Sea and Sand Inn on West Cliff. We stay there every summer.