One aspect of working from home that has been an off-and-on issue is that of a lack of uninterrupted time. I have a much easier time focusing on work and getting things done when my wife and son are out running errands, have already gone to bed, or are upstairs where I can't really hear them. If they're up on the main level above me it's really distracting. Often I can hear that my wife is trying to get something done but our son is being a hand-full which makes me feel guilty for not going up and helping. That and our son knows I'm down here so he'll go stand at the top of the stairs and call me sometimes. While endearing it's really distracting and makes it hard to work.
I'm not sure how other people have handled this but I will probably try to make a move to working more after they've gone to bed. Last night I worked late (3am) and was able to focus better and got a lot done.