We CD'd our twins, at home, for the first year & a half (give or take) of their life. And it really wasn't that bad. When they were tiny, anytime mom or MIL came over they would catch me up on folding (more of an issue right at first becuase even the infant prefolds were too big so I was using some flatfolds (the cheap gerber ones) so they HAD to be folded. Prefolds can just be left in the laundry basket till needed LOL). The one thing that I know was key to me was having a conveniently located laundry room. Ours is right outside our bedroom. If I'd had to remember to go down to the basement (like our townhouse was) it would never have worked for me (shoot, I could barely keep up w/ regular laundry for just dh & I when it was in the basement LOL).
I found that we really didn't need any more diapers w/ twins than we would w/ one, most of the recommendations for # of diapers (3 dozen if I remember right) are the max that will fit in the washer/dryer and leave enough to use while they wash. Really no need for more than that, you just have to wash more often with two. You DO ideally want twice as many covers though (or at least a couple more). I think I had 6 per size plus some not so great ones I'd gotten off ebay & as hand-me-downs & such. The extras only got used if we had an extra bad day & all 6 of the decent ones got poopy.
We rarely used cloth when we went out, just because w/ twins I was toting SO much other stuff, including 2 kids, and wanted the absolute smallest diaperbag I could get by with.
We stopped using cloth when they were getting really wiggly/hard to change, combined with the fact that one would be grabbing, walking in, etc. the wet diaper while I got the clean one on the other one. At that point dh started flat out refusing to use cloth & would put them in a sposie anytime he changed them (which at that time was first thing in the morning & sometimes in the evening). Combine that with the fact that they were only napping in the car at that point & most days I would run errands after their nap (so we were out of the house for 3+ hrs each afternoon), so were wearing sposies then and we just weren't going through enough cloth to have a full load to wash on a regular enough basis to keep them from getting nasty. So we switched to all disposables. I'm thinking about switching back now that they're old enough to know not to touch the wet/dirty diaper, & their poop's more solid (that was the other thing I HATED was the solid food, but still sticks to the diaper, poop!), and I'd like them to start noticing (& not liking) the wetness so we can move toward potty training & such. Plus we're often home all day now so wouldn't have that break in the middle of the day where they were in sposies. But can't talk dh into being on board, so not sure . . .