I love staying on property. It's nice having the benefits of staying on property such as extra magic hours in the theme parks and park transportation.
However, with 12 people I would consider renting a large house off property. It would give you more room to spread out plus it's easier to keep the family together. Although I have never used them, I had heard good recommendations concerning All Star Vacation homes mentioned by the previous poster. They have nice homes within a few miles of Disney, some fairly large. I've stayed off property in nearby condos and wound up spending about the same amount of time getting to the parks as I did when I stayed on property.
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