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If you can afford it, try to live as far down south of the island as you can... my husband + kids have asthma, and we find the air down here much nicer than uptown... and don't worry about transport, many kids around here take the school bus to the peak school, it's not that far...
Places to look at : from order of closest to town to farthest : Repulse bay, South bay, Chung Hom Kok, Stanley, Tai Tam. I'm told Tai Tam is the least polluted of the island. There are flats there in the 50-80K mark, in the Manhattan and Pacific View buildings, filled with expat families. And those buildings have good facilities, and shuttles to go into town.
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