While some of my fellow posters are correct about the roominess of a 197 vs. some of the other options, I still think given your situation the 197 merits serious consideration. With a family as young as yours a 197 will still be fine for a few years. The $10k you save now will mean a lot down the road when you might want to upgrade.
Looking at it from another perspective, having the experience of owning and skiing behind a 197 is worth its weight in gold. It is a purist's ski boat with only a handful of equals. It really does spoil you for anything else in terms of wake and handling and makes you truly appreciate what a great heritage and foundation the whole MC line is based on.
"For every complex problem there is an answer that is clear, simple, and wrong." (Henry Louis Mencken)
2005 X2, Viper Red, MCX, Acme 1285, PPass, rear 750 sacs, KGB, IBS, Bennett Wake Plate
(previous) 2001 X5, 1991 TriStar 190