I have been working from home all week and I admit it has been nice to work in my pajamas. I know for a fact though, that I see my family less when I work from home versus when I work in the office. Working from home, the laptop is constantly going and my focus is drawn to it instead of my family.
Although working from home is nice from time to time, I don't think working from home on a permanent basis would be for me. I am not sure how those folks who do work from home permanently manage to get a good balance between work and family.