Sounds like what you are trying to accomplish with individual components is classic 'over-engineering'.
A manufactured transfer switch, automatic, or perhaps manual would be the 'preferred method'.
Your statement "The service is 225 amps for the house. The generator/transfer switch are rated at 100 amps. Generator controlled circuit breakers will drop enough circuits in the house to keep the generator happy."
Please explain what a 'generator controlled circuit breaker' is??