skaunit: Right off the bat I was thinking of "Tower of Terror" when I read about your idea. Could be cool. Depending on how your home looks, it would be cool to have a retro theme going on for the event.
I'm in agreement with the replies that question if people will connect the luggage strewn about the yard as having been thrown out the window by ghosts. You're going to need to play that kinda careful to get the story across accurately.
However, I like the idea of the luggage looking haunted. I could see low lying fog (via a chiller) coming out of the suitcases with erie green lights seeping through the joints. Perhaps the fogger can be multi-tubed so as to hook into multiple pieces of luggage from one source machine.
As far as animations go, I like the idea of the luggage slightly opening and closing. Perhaps there could be a way to wire the clothing so they can have some movement too — a long sleeved collared shirt could be rigged like a crank ghost so it appears to be floating around on its own.
Right off the bat I was thinking you need a hotel sign of some sort. It would be cool if you could come up with a name in lights and have a few of the letters "dead" so that it says something else (i.e. Motel Hello > Motel Hell). Also, a vacancy sign would be a great topper to the sign.
For the lit sign itself, I would recommend building a 2' x 4' box frame with the face covered in a clear acrylic sheet. Inside the box you would have a couple shop lights facing the acrylic. Find someone in the area who can cut adhesive vinyl (most sign shops can do this), and have them reverse cut the name of your hotel from a 2x4 piece of black vinyl. You would get back something that looks like this:
Stick the cut vinyl to the clear acrylic. Then using colored bulbs or gels behind the acrylic, you'll get a convincing backlit sign that would illuminate quite nicely.
I also think you need a spooky bellhop. Perhaps that could be the person answering the door for the TOTs, but they should be all dressed up in a red vest with matching cap to make the connection.
Finally, if you're really wanting to do up the interior, I would make a front desk, complete with a bell, and keys hanging on the wall behind the desk. Don't forget to have the register/guest book for everyone to sign.
I would re-watch "The Shining" for ideas about a haunted resort. You may want a few stories to pitch to the people that visit, along with apparitions that appear (crank ghost) or thunderous noises that emit from a hidden subwoofer (as in The Haunting).
I know you were only asking about the fogger. Hope you can do something with all that ranting.