stayed in the cabins this past Christmas.
it is wonderful. bring a couple strings of lights yourself to throw on your deck or windows, easy and cheap, makes you feel more like you're part of the fun
do plan at least one evening for doing nothing but driving around the sites and enjoying the lights. you can drive your car through most loops but it is sort of frowned upon to have so much vehicle traffic as so many folks are walking in the dark and driving golf carts. and you can't drive into all of the loops
you can rent a golf cart for while you are there, call disney at the outpost (where you check in) 407-824-2742 to reserve up to one year ahead. Christmas week would be tough to get one, but i only booked a month ahead for second week of December and no problem. they are expensive- $60 a day- we sometimes rent for the length of the stay and sometimes only for the days we plan to do MK, as we have a car also. We drive to the other parks, but to get to MK, it is best to go to the docks and take the boat/launch. there is no vehicle parking near there, so you need to either take a bus or golf cart.
if you are not renting for the length of stay, or for MK days, at least rent for going to see the Christmas lights- it stands as one of our favorite nights at WDW of all time.
Make sure you ask at check in where the "castle guy" is this year. he built a replica of the castle and has lights on his castle, trees, and overhead lights times to music. a must see, but his location changes year to year.
also, the busses that run through the campgrounds to get you to the main bus station and to the docks, the swimming pool, the stores, etc, are very efficient. we took them a few times and never waited long, and the trip is pretty quick. so don't be worried about transportation. if you are using the busses however, i recommend putting in a request for close to the bus stops. why walk all the way around the loop to get there if you don't need to. although the walk isn't bad, late at night with sleeping kids can be tough
