I grew up in a family of nine. Most of the time we lived in military housing, which was assigned based on rank, not the size of the family. At one point, we lived in a 3 bedroom, one bathroom house, with a galley kitchen and a combination living/dining room, with a tiny pantry/utility room off the kitchen for the washer and dryer. No attic or basement. The age range of us kids was newborn to 12. The master bedroom had two sets of bunk beds and the 4 oldest boys slept in there. Mom and Dad had the next biggest room, with the current baby. My sister and I had the smallest room, which was a bit cramped with a crib and a twin sized bed. As for getting ready in the morning, we had a shower schedule, with some of us showering at night and others in the morning. (In part because no water heater was going to be able to provide enough hot water for 7-8 showers in a row.) I know that there wasn't much extra room, but my memories of that house don't include any idea that it was too small for us (I estimate that it was about 1,750 sq. ft.). Mostly, it was the 1960s and we just didn't have a lot of stuff. Otherwise, we'd have been hurting. My suggestion is to declutter stuff before the move. Then declutter again. In a small space, it is difficult to hold on to stuff that you aren't using right now. So clothes you are saving for the next kid to grow into, toys that aren't being used right now, but a younger kid might want in 2 years--consider letting those go. You'll have to pay to move them and then you will have to find storage space for them, unless they can be stored in one of the outbuildings. Be flexible in how you look at your new space. That porch room, since it is heated, could become a playroom. Or an office. The kids are getting to the age of homework--maybe you will need to fit desks into their rooms instead of the dressers. Could one of the outbuildings be set up as a play space, at least for the older kids, for at least some of the year? If at all possible, I'd move there with your current furniture and live in the space for a few months before making any big changes. You need to see how you really use the space to know what furniture you will want to let go and what new furniture you will want to replace it with. My parents always ended up making a shopping trip after we'd been in a new house for three months, to buy the things that would make living there easier--a kitchen cart in one house, storage cabinets in another, a smaller coffee table or kitchen table. (Just so you don't think the military kept us in inadequate quarters all the time, a few years and houses later, we moved into a 6 bedroom, 3 bath house with two pantries, a music room, a 3 season porch, parquet floors, window seats, french doors leading from the living and dining rooms onto a lovely front porch, basement and attic with tons of built-in closets and cabinets, a room for the maid (which they must have had in 1850 when the house was built) and a tunnel connecting the house to the garage, the former stable, so the occupants could get to their transportation without getting cold or wet. That was military housing on a tiny little base in Philadelphia. )

I was going to say get a sectional too. I think it would work great. But, if you want to keep your sofa, I would leave it where it is and put two chairs next to each other where your husband's chair is now. I would put a tiny table between them. I would center the TV on the at wall and if you can get more of a closed cabinet, maybe in a color, I think that would look good. Can you paint the room? If so, I would paint it a soft color. Maybe the blue you like? I wouldn't re-mat your painting. I think it pops with that rose color. Maybe that should go over the fireplace. I agree that some window treatments would really warm up the space. I would hang them way above the windows to visually lengthen the windows. Maybe in a soft color in a geometric print (like a trellis). Might be able to find at Homegoods or somewhere like that. What about something like this for above your island? It is transitional. From Shades of Light.

I disagree with most. I believe the tan / golds with the grey look beautiful together. As a matter of fact they compliment each other. So don't work against it , work with it and enhance it! This is a nice room that is in harmony with the very colors your are struggling with.

Thank you! My home style I would say is traditional. Def not modern. Budget is fairly open right now. Nothing crazy. Prob on furniture around 5000 total. What do you think about how to arrange furniture in this room? And lighting? We can move things around once we take the sheet rock down. Thx!!