Here is a great one to add to your family library. It has pretty pictures and the story is fantastic.
On a side note, this weekend when we were retelling the christmas story of Mary and Joseph, Olivia was sharing the part when they are searching for a place to stay. The question of "what is an Inn?" came up, she perked up when she realized it was like a hotel, she does love her some hotels. Then she said "Mary burped the baby," but what she really meant was Mary birthed the baby. Oh we got a few good laughs out of that one.
And then came the question about the sheperds following the star. "Mom, did the star move around the sky like the moon does when we are driving. Sometimes it is on my side and then it is on sister's side, and it can be really confusing. Do you think the sheperds ever got confused when they were following it? I know they did not have a car, so they could not look out the window, but if they rode a donkey, could it still move around? My oh my, her little mind does try to sort it all out.