At our first house we actually had a real LIVE tree, root ball and all, probably ~5' or so and then we planted it after the holidays were over. We did that for a couple years.
Later, when the kids were young we had a 11'+ cathedral ceiling in the great room and usually have a big real tree (10' +). It was an outing to tromp around the local Christmas tree farm, cut the tree, drag it back to the parking lot, lash it to the top of the mini-van, etc. The kids loved the big tree with all the lights. A couple years, I actually tied it to the wall so it wouldn't fall over.
As the kids grew older the trees grew smaller. Last year I had to convince DW to have a 8' real tree. No tree so far, may just make due with the 3' fake one we have up now that we are empty nesters. Bah humbug.