I have been towing with a 3/4 ton Suburban (with the giant engine) for 12 years. I have a 2H BP with dressing room, but a big, heavy 2H (it’s a straight load built on a 3H slant load frame). I am by no means a towing expert, and my Suburban is 12 years old so things have changed, but I have been very happy with it for towing and for general use. When we bought the Suburban gas was 99 cents a gallon and we drove it everywhere. As gas went up, we stopped using the Suburban unless we needed to haul or needed more space for people or cargo.
It tows beautifully - very smoothly. When I ride in friends’ trucks when they are towing I’m always surprised at how bumpy the ride is. The long wheelbase on the Suburban has been great for towing and I’ve never felt like my vehicle can’t handle the trailer behind it.
The Suburban has been wonderful for road trips with the dogs (we have no kids). We currently have the third seat folded down and a dog barrier up behind the second seat and because there are just two of us we throw our stuff in the second seat row. I have also had four people in there with a ton of stuff in the cargo area. It holds a lot. I find it to be a really versatile vehicle - for people, dogs, Ikea purchases, trips to the feed store, etc. It was also great for horse shows - I could throw so much stuff in there rather than in the bed of a truck.
The downside? Yes, the gas mileage sucks. The newer models are better and the 2015 Suburban will be coming out soon so I’ll be curious to see what it gets. (But you can no longer get the 8.1 engine that I have.) And yes, if you’re parking in a city it can be tough. It’s a giant vehicle. And the price of the new models has gotten ridiculous. I configured a new one with almost all the options and it came to over $70,000. Geez.
Anyway, I admire a powerful truck but for my needs an SUV is much more useful. I would imagine that as your kids get older and you are taking them to soccer, baseball, orchestra, whatever, with all their stuff you will appreciate the room in the cargo area. If you do go for a larger SUV and you have the third row, you’ve also got room to take their friends with you and comfortable take road trips.
Good luck.