Paint.

It is never too late to dream a new dream.

It looks like you're on a lake, which is nice. The ceiling does seem to be darkening the room. But it is hard to paint knotty pine - it won't be inexpensive to have it done. You're only showing one room. Is there pine trim throughout the house? If you had it painted in your living room would that just lead to your wanting to have it painted everywhere? If so, get a quote for painting all of it so you're not surprised later when it all adds up. It's not uncommon to change one room and then everything else looks wrong. If you don't want to create a cascade effect maybe leaving the pine alone is the way to go. But if you're really hoping for a big change, it would certainly brighten the room to paint it.

Paint the ceiling but make sure it’s properly sealed or else the knots will bleed through after a while. It won’t be inexpensive to do this. We had a knotty pine ceiling in our sunroom and painted it Swiss Coffee. That was 30 years ago and we’ve never regretted the decision. You’ll be amazed by how much lighter your room will be!

If you post measurements of the room and photos of all four walls, there are some really talented people here who can help with a new layout. Your love seat is quite squashed in the corner, and the TV might be better off on an actual wall.

I like the pine you can redo the floors and furniture to update it

Not that you care about trends but painting any wood walls white is out and everyone is loving natural woods

What is your design style?

I refer people who want to paint knotty pine walls, ceilings, etc. to Sarah Richardson. Years ago, she renovated a cabin in Northern Ontario. Her husband was Team Knotty Pine. She was Team Paint the Pine! In the end, she white washed it. STUNNING. I refer you to YouTube where you can see how she renovated, modernized, yet kept tru to the Cottage’s Charm. Google Sarah Richardson Cottage Life Renovation. Enjoy!

Have you considered restaining the pine ceiling a lighter color?

Like previous people said, its really important that the ceiling be primed properly otherwise the knots will pop through eventually. I have some that keep showing through after 5+ years even though ive tried alllllll of the knot hiding suggestions.

Its not bad on a wall to touch up, but the ceiling is miserable.

Oh my, such wonderful comments and ideas! I don’t have measurements handy but can post later. Honestly, this is the last main living space that needs updating, all other rooms were dark, lots of wood and crazy colors. I’ve added pics looking from the living room into the rest of the house, dining area (with table pushed to the side so dog can play fetch lol) and then kitchen. Also another view of living room. I would say my style is leans toward a modern farmhouse with maybe a bit of beachy vibe to it. But I had no idea that painting knotty pine would be so ‘not inexpensive’. So would also consider doing something to remove the orange from the pine. I’m also thinking of building a small chase in between the windows in the 2nd pic to accept an electric fireplace that provides heat. That room is cold in the winter!

I painted a knotty pine ceiling white on my home in Michigan. Lots of caulk, but no regrets.

I'm in the "leave the knotty pine ceiling alone" camp. I think it lends a lot of coziness to the room. You have a wall of windows that brighten the room with natural light, plus you have two windows on another wall. If you need more light at night, you could change the overhead fan-light combo, and get some floor or table lamps. It might be worth consulting with a lighting specialist to see what other options there are. In my opinion, there's too much white paint being spread on natural wood in too many homes.

The pine ceiling is heavy and is limiting your floor choices. You wanted to paint it twenty years ago. Paint it now!

Eh. Knotty pine is either really your thing, or it really isn't. Some of us who love wood trim would still struggle to live with knotty pine. Ptreckel's whitewash idea is a great solution. I'm assuming there is a little less prep involved, since you aren't trying to block knots showing through.

Restaining pine will be a lot of work too. You would have to sand off the existing stain. If you don't mind a little pine, another option could be to drywall over the pine ceiling, and then paint, whitewash, or keep the pine walls and trim.

https://sawdustgirl.com/white-wash-pine-wood-ceiling/

Painting the entire room including the ceiling shown above by chloebud is very nice, and here's another option leaving the ceiling planks as is and painting the beams, walls, and trim. I don't know what's behind the curtain but I show french doors instead of the curtain, could also be a built-in if that's a closet. That wall would also be a good wall for the large TV, maybe that can be worked out for that wall, post a floor plan showing dimensions, windows, doors, entrances to the room and we can suggest possibly a better furniture layout.

I worked with a client a couple of years ago who had all redwood walls she didn't want to paint. We went with colorful furniture and accents to brighten it up, and did a couple of built-ins with peacock blue paint:

Portola Valley Artist Haven · More Info

Portola Valley Artist Haven · More Info

Kilz first, then lighter paint.

I say paint. Your home is lovely with a beautiful view!

I think white washing the ceiling would be a great compromise and far less expensive than painting white

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I feel for you! I would be torn. I do love the wood ceiling but some of it could be toned down. The white wash idea is really intriguing! I also like what lisedv posted above showing walls all painted and just the beams painted. That might be a great direction, since it has been stated how tricky and potentially costly painting the ceiling might be.

I think others talking about furniture updating and even playing with placement will be very helpful in transforming this space.

What an amazing room this will be!

Lisdv I think leaving the ceiling as is and painting the rest is very intriguing! As I am diving deeper into this I wonder how my windows will play into painting the wood since the vinyl casing is a light beige color. The mystery behind the curtain is a door leading to a 3-season room. The door is relatively new and was pretty pricey so would like to leave. The curtain is on there since it is a full view door and my pup would bark at his reflection at night!
I have attached some additional pics as well as a rudimentary sketch with measurements. A couple of things to note:

1. TV pretty much has to stay there as anywhere else to the east of it will get too much reflection on it.
2. Would like to keep the existing shades, as shown on the 2 windows. The other 3 main windows are the same color and they were pretty pricey, but they also act as an insulator.
3. Am seriously considering installing an electric fireplace between the two windows to help keep the space warm in cold weather.
4. I am good with all new furniture; but have to admit that red rocker recliner is super comfy! : )
   
   

I wouldn't touch those ceilings!

Sue, I found these photos online of almond and beige windows with white trim. The kitchen photo mentioned the trim was done in BM White Dove, a warm white. I think this could work in your room.

As for the wood ceiling and white beams and walls, here was my inspiration photo:

Lisedv the inspiration pic is lovely! I wish I could tone down the orange. I am going to reach out to some painters tomorrow to get some numbers for budget purposes but would really love to brighten up the space.

Good idea. I've done it in a basement years ago and other than a special primer (Zinsser) it really wasn't a big deal.

Here are some suggestions for a furniture layout for your room with a beautiful view. I did move the TV to the opposite wall because that wall was wider and the TV doesn't overlap the front window like on the opposite side. If the glare on that side is a problem, you can install solar shades (you can still see outside when they're pulled down). I show it on a stand if you're unable to hang it on the wall. I've added the electric fireplace with a mantel from your wish list. Here's the plan also showing a few suggestions. I chose a navy scheme because it flowed with the adjoining room and it's a good choice for by the water location...

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White ceiling, black beams, white walls, this tone floor and black wood work. Definitely replace the fan with a chandelier.

Lisedv, interesting that I also thought about the mid room placement of furniture, but of course envisioned it facing the existing TV and new fireplace. Love the navy suggestion, and will look to incorporate with accessories, pillows etc. Dark furniture with a blond pup isn’t a good mix.
I’m leaning heavily toward painting all woodwork except the ceiling, both for cost saving and the fact that the peak has some significant gaps that would require some major caulking and regular upkeep. I’m still debating if I continue the white from the wood along the other walls, or something different.
I love all of these suggestions, and can’t wait to talk to a painter to see if my dream is possible!