No lotion, my son's skin didn't need it.
Yes... baths every night. It was part of our wind down ritual.
Occasionally in the daytime as well. Poop from bum to nape of neck, for SURE it's bathtime! As he got older (6mo/7mo) some baths were just fun time. I didn't have a bathrub when he was little, but I had a big toy bucket with rope handles. I'd half fill it with warm water and bubbles and I'd drag it and him room to room with me while I cleaned/ read/ etc. Water baby! On those days, we STILL did a bath at bedtime.
Some people have very dry skin, or dry skinned babies and will SCREAM not to bathe your child every day/ say you shouldn't/ no one should, etc.. Thing is, that applies for THEIR kids... but not everyone's kids. But people with dry skin tend to forget that :)