Well, I decided to venture and download SimPE. I was wondering if anyone would be able to give me a step by step tutorial on how to restore the family - if even to just the family bin to start. SimPE knowledge base was not particularly helpful and contradictive. And I haven't been able to contact their support team.
First I made a back up

I have found all the missing families using the sim browser. This is what I have discovered so far.
After loading the Neighbourhood under Tools using the Neighbour Browser and then locating the individuals in the sim browser, the headshot has a small
blue square that indicates it as an unlinked character.
It has another little
pink /
red square beside it that indicates it has no character data.
The Household column shows "Default" (current families in the game have the actual household name such as Goth).
The Kind column indicates "Townie" (current families are do not have anything listed)
Under the Available column is it listed as "no character file, unlinked" which would make sense which corresponds with the 2 small squares.
When you load the problem individual from the the Sim Browser, the snapshot background is
blue. Current individuals are have a
grey background.
Using a family that was actually in the family bin, I brought them up under Family Information sub menu after loading the neighbourhood to look for clues and similarities on how to get my family back there.
I was also able to see under the Family Ties Menu that the family ties were intact but...
One of the the suggestions from the SimPE Knowledge Base was to simply plop them into another current family. This shows them in the pop up screen bar when the game is loaded but not the family screen shot loading popup or actually in the game.
The next thing I discovered was that under the More button for the individual, in the Extended Browser, that the Unlinked? is set to zero for current individuals and my problem sims were set to 1 so I took my test family and set them also to zero.
When I did this, the snapshot backgrounds turned red. At first I thought yikes!! But I discovered that under the Sim browser that the Available column now just reads "no character file" instead of "no character file, unlinked".
So I think I am making progress.
I'll let you know if I get any further or if anyone has more suggestions.
thanks.