I stayed at the Lake Motel in Wolfeboro, NH with several family members in June, 2005. From the road, the motel doesn't look like much, but we were all very pleased with the rooms, and the pleasant and attentive staff. Many people come to Wolfeboro to see Lake Winnipesaukee; this motel is actually on the smaller Crescent Lake, but the motel's lakefront is very attractive. There are several boat docks, a gazebo, and a small beach for swimming. There's a diner and ice cream window adjacent to the motel under separate ownership that is cheap and good for breakfast; it serves all three meals, and seemed busy just about all the time. Since it's on Main Street, you can walk to the village on sidewalks.
The town is quiet but pleasant. The area by the town docks is a good place to walk evenings; there are take-out seafood restaurants and ice cream stands, and visitors enjoy going there to watch the lake. If you have the time, I'd also recommend the "Urban Bridge Trail," which starts behind the town railroad depot, and now goes a number of miles through some scenic areas.
I also brought my dog; with the extensive property at the motel, it's a good place to bring a well-behaved pet.
While Wolfeboro may be a little dull for younger kids, a number of familes were staying at the Lake Motel, and the kids seemed to enjoy the beach.