Where is a good vacation destination in Latin America for a young family?

I’m planning a vacation for my husband, my two-year-old son, and myself. We would like to visit a Latin American country. I can speak basic Spanish (not fluently, but I can usually get my point across). We want to go someplace relatively safe where we can talk to people and experience the culture. Of course, we love warm weather and beaches, but that’s not a must. Can anyone suggest a friendly, laid back vacation destination in Latin America that’s not too touristy? And maybe suggest some fun activities? Thanks!

Safest Destination but Touristy – Punta del Este is one of South America’s premier seaside resorts, and its beautiful beaches, dazzling casinos, world-class restaurants, and upscale shops have lured tourists for almost a century. And, perhaps best of all, it’s located in Uruguay, one of Latin America’s First World countries; a country with one of the continent’s highest standards of living, lowest levels of corruption, and best infrastructures.

Anywhere else in Uruguay will not be as much as a tourist destination (except maybe some areas in Montevideo) but very beautiful and tranquil.