M.B.
Although I didn't have kids when I lived in Encinitas (we moved in 2006), my husband and I loved it there. It is very family friendly-lots of parks-lots of kids. The neighborhood we lived in was full of kids and all of the neighbors knew each other and were very friendly. Proximity to shops and restaurants were great. Lots of activities-parades, Oktoberfest, 5ks, etc. You'll love it!