I don't want to like AirBnb and similar, but every time we've tried to go back to hotel or traditional B&B the experience has been poor and expensive. I guess the alternative is to not travel at all... we don't very often and we're only visiting a city in the same (small) country and also seeing friends so it's not like I feel we're massively touristy people paying to travel half way around the world then skimping on the accommodation.
I'll preface this by saying that I don't have kids. But, from my experience travelling with my parents when I was a kid... you really don't "need" three rooms.
That maybe the expectations you have now, but using AirBnb is pushing the externalities of those expectations onto the community you are visiting.
What? I've stayed 6 deep in a single room with two beds. Mom, dad, and us four siblings. And there's more than a decade between the kids. Three hotel rooms would have been an unimaginable luxury.
I'm firmly in the camp of piling the family into one room. There's no better way to bond.
What's so wrong with houses and apartments being for locals and long-term stay, and tourists just staying in hotels?