If you happen to be visiting the Sedona area during the warm (aka:hot) season, consider heading up the hill into Oak Creek Canyon and staying at the Butterfly Garden Inn. My family stayed here because a friend of ours was getting married in the canyon. This is not really an inn but a series of cabins in the woods, sleeping from 2-7 people. We stayed in a one bedroom that slept four and had two full size beds. Our cabin had a small kitchen, dining table that sat 4, and one bathroom. All cabins seem to have their own barbeque and porches as well. They are rustic but comfortable. Small dogs are allowed in select cabins for a fee. Just make sure you let the owners know ahead of time so they can put you in the right cabin.
Breakfast is included daily with your stay and is delivered in a little picnic basket at your front porch at 7 AM. How cute is that? Our basket had fruit, yogurt, granola, scones, croissant, cereal, and a variety of juices. All the breads/muffins are made at 4AM by the cook on-site.
The only downfall to staying at this spot was that the cabins have no AC and there was a major heat wave going on at the time. While Sedona was 109, it was only 93 up in the canyon which was a welcome reprieve. but our cabin did get hot during the day. We did have a fan which helped but there were two different rooms with beds so that meant the kids had no fan. Luckily, it cooled off quite a bit at night and we were all able to sleep comfortably.
Families with young kids will appreciate the playground, grassy area with picnic benches (perfect for lunch) ping pong table, and lounge area with games. We appreciated the A/C in the lounge.
A big highlight of staying at Butterfly Garden Inn is that it is directly across the street from Oak Creek which is incredibly scenic and refreshing on a hot day. The canyon itself is reminiscent of Sedona with plenty of towering red rock mixed with forest. Famous Slide Rock State Park is just 5 minutes down the road.
Bottom line: I was pleasantly surprised by this location. I think it would make for an excellent place to explore the canyon, Sedona, and Flagstaff. The inn seemed to cater to families which made us feel at home.