I have stayed at the Candy Cane Inn (even before they refurbished it) and it is a GREAT hotel!
Their continental breakfast was much more expansive than most, the pool area is beautiful, and the rooms were good-sized and very comfortable. They have great amenities and a fantastic location overall.
If I can't afford to stay at a Disney hotel, this is my second choice.

I haven't been there since they refurbished it, so I imagine it's even better now! The walk to the front of DLR is very quick and painless, too, which you will appreciate at the end of the day!
I can't recommend CCI enough!