I know that I am a bit late with a reply to this but thought I would just the same.
I am mum to 3 kids plus a step son. The oldest are 14 and the youngest is 9 months. I work from home aswell as look after bubs.
I will be honest with you - it is tough but it is do - able and worth it. I work for a large company that allows us to do this - they are into the work/life balance thing ina big way =D> .
There are days that I feel that I am losing control and doing too much and not giving bubs the attention he needs(like yesterday when he lost balance and bumped his eye on the window sill and gave himself one hell of a black eye ) and there are other days that I think - what the hell work can wait.
The hard thing about working from home is getting people (including DH) to understand that I AM working regardless of being at home or in the office. I AM ALSO looking after our son which in itself is a full time job aswell as then having to do the housework and look after the older kids and cook and blah blah blah - you know the rest. If you can do it and want to do it - then go for it! You can always change your mind or modify the hours to suit you.
I have worked out that we women are great at multi tasking! GOOD LUCK and sorry about the long essay!