Our house was built in the 20's. A few years later they closed in the "sleeping porch" and we now have a beautiful round parlor with five 5X7 windows, walnut french doors into the living room and a big closet that holds a "real" Murphy bed, with a tag that says 1915. The bed turns out of the closet so easily, then it folds down. We bought a full size mattress from Sears. I spent 7 weeks on it with a broken ankle. Our old house really only has 2 bedrooms, but this was advertised as a bedroom, too. I prefer to call it the parlor/guest room.

I love love murphy beds. Let's face it, sofa beds are hard as a rock for a sofa and impossible to sleep on those awful mattresses. The only sofa bed worth anything is from American Leather, which is on the high end. You get the best of both worlds with murphy beds because it has a very comfortable regular mattress which is made up before closing and saves an incredible amount of space. I specify them all the time and my favorite is Clei available from Resource Furniture. The Clei system has a beautiful sofa and the bed comes down over it. Available in different style sofas and wall units with lights and storage. If floor space is an issue, take a look at murphy beds which come out horizontally. The projection when opened extends 70" into the room as opposed to a 90" for a vertical bed (the head at the wall). The horizontal bed is only about 67" in height and not to the ceiling, so the cabinet is not so imposing. Another approach is to search craigslist in your area. People are always moving up from a studio and deals are to be had! The cost of a murphy bed is in the mechanism, it's very easy to have a carpenter build a cabinet around it. https://www.clei.co.uk/clei/atoll_000.htm# https://resourcefurniture.com/product-category/transforming-wall-beds-by-clei/ https://bredabeds.com/horizontal-urban-murphy-bed.html?gclid=Cj0KCQjwpPHoBRC3ARIsALfx-_Kq1pcwEFUX69h6XJBj0I_7P3DmWay9E0qVwQBgdY71YVGCR1j5Dm0aAuQZEALw_wcB

Lula FL my first thought was actually a mirror, but you would have to find a really lightweight one. do they make sticker mirrors? But yes, something like that, a quilt, a tapestry or a rug depending on your taste would work. they do actually make mirrored stickers. but goodness knows how hard it is to apply them to something and have it look nice: https://www.amazon.com/Mirror-Stickers-Coerni-Self-adhesive-20x39/dp/B078JKZYT9

How do you use the room when it's not acting as a guest room? I see the main point of getting a murphy bed being able to flip the room between guest room and a second purpose like an office or a play room. If this were me i'd care most about how it looks when guests are staying there so I'd pull down the bed and then style the room around that in terms of choosing colours to tie in to bedding, placing pictures over the bed etc. I don't really see how having a sofa in the room can work alongside the murphy bed without overcrowding it -- but why do you need one there? I see you have it folded down like a daybed. If someone likes to take naps in here, couldn't they just fold down the murphy and nap on that?