For indoor action photos, you need a fast lens. Just buying a D-SLR camera with a kit lens is not going to be adequate. A fast lens is a lens that has wide aperture (small f/number). For zoom lenses, you need f/2.8 for indoor action shots. You may be able to get some shots with a f/4 lens but will need to use high ISO settings (prob 3200 and above). The yellow tint is due to indoor tungsten lighting, this occurs with all digital cameras. You need to change the white balance setting to tungsten, or you can shoot in RAW.
The f/2.8 zoom lenses can get expensive. For toddlers and babies, you don't need to zoom far since you are likely staying close to them (to keep them out of troubles/danger). So a general purpose f/2.8 zoom lens will usually be adequate. I use my Canon 17-55mm f/2.8 IS lens for my son when he was a toddler. As he grows and plays sports, I start to use my 70-200mm f/2.8L IS lens more often. Canon and Nikon lenses are more expensive. So you can look into 3rd party lenses like Sigma.
This Sigma lens has a pretty good zoom range but it is f/2.8-4 instead of f/2.8. This should still be better than the kit lenses, and costs less than half of the Canon or Nikon 17-55mm f/2.8 lenses.
http://www.bhphotovideo.com/c/product/670047-REG/Sigma_668101_17_70mm_F2_8_4_DC_Macro.html
I have a Canon Power Shot SD850 IS that takes fantastic pictures with lots of great features including zoom that generally fits my needs. However, I have 2-year old twins and a 10 month old and I need a camera that will give me all that I have but better "burst" or continuous shooting for their constant movement. I just tried (and returned) the Nikon 3000D but pictures taken inside generally had a yellow tint and overall quality was not as clear as my Canon. I think I want to stay with Canon but am uncertain as to what will fit my needs. I am willing to spend up to $1000 if I can get something that will give me the flexibility of great zoom (optical) and the burst shooting with good low-light quality. I would greatly appreciate any suggestions/experience that anyone may have.

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