Look around Sham Tseng / Goldcoast / Ting Kau where you can find good value for money still. Only consider Tung Chung as last resort (I lived there before moving to Bellagio in Sham Tseng, and I wish I had done this move earlier - why bother with the aircraft noise and isolation?)
Living on islands (DB, Park Island) will prove too inconvenient if you like to go places on weekends.
In the Sham Tseng area, environment is superb and, not only can you own a car inexpensively here, but it is actually recommended at least to take your kids around on weekends.
With the Western Tunnel, if you are up to it, you can drive to Central in 30 min even during peak hours on weekdays.
But then like in any place in HK, cost of the car park on HK island might be an issue.