
My children are still young and of course want to be in the same room as me, and with ALL of their toys. My compromise is this...
Find for them toys that you don't mind having in your living room (all others can stay in their rooms). This dollhouse is one that I had made for my daughter by my brother (cost me $3o) and I painted it. The inside is a mix of nice dollhouse furniture (from the one I had as a child) and plastic dolls. When not in use it sits in the corner of our living room and adds some character to our home. It cost quite a bit less than the large plastic fancy houses and this is one that my daughter will have for years to come and will one day be able to pass down to her children. The house is very simply made with 2 floors inside and no windows or doors, they're just painted on. So next time you are in search of that perfect toy for both you and your child - look to your friends and family for a little help, or search out what is hidden in your attic from your childhood - clean it up and make it their own. Children love any and all toys and it doesn't have to cost a fortune or mess up the look of your home.
For my daughter's next birthday she is receiving the old baby doll highchair from her aunt with a fresh coat of paint and the doll cradle my aunt made for me as a child - all cleaned up and with new "linens" I made from fabric she picked out at a local fabric store.
As for boys: I am still working on that one as I step over the pile of 30+ Hot Wheels in the middle of the floor. :)