You have a lot on your plate. It's not necessary to decide everything all at once unless you are paying a decorator and contractor to swoop in and do everything. Since the living room ideas are not flowing, I would hold off on making a plan. You'll learn things and get inspiration while you are working on the other rooms. I'm not sure of the style of your house but careful about adding trendy or expensive permanent changes that might clash. Your bedroom wood wall looks a modern farmhouse element and your kitchen cabinet style and finish look a bit Tuscan. If you are dying to make new purchases for the living room, I would start with a great rug and build from there. You have a great space and it looks very livable. There is no need to jump in and make a bunch of changes right away.

@partim1, @havingfun No there wouldn't be a TV in this room. Please see fourth wall pic below. in that pic you can see the main entrance door on the right. The opening on the top left of pic is to Dining Room. The second picture is taken standing at the front door.There's big picture window behind those curtains. No we don't need those 2 opening on either side of the fireplace. We have another opening to get into family room behind this room. We're open to any colors i think as long as everything goes well together.seating maybe 3-4. Thanks guys.

Thanks everyone... @Olychick, I was concern the TV would get nothing but glare from the windows with that configuration. The windows are on the west side and receive all the afternoon and evening light., which I like and use.. @decoenthusiate, I agree if I can manage to get a sectional and possibly updated chairs I may be able to use them as the focal point. Or the area rug first and built off it. Budget is around $1000 which is doable utilizing second hand market.... Once I work out the details; the style of pieces and color.... I can purchase items as they become available. Color and style of the pieces are what I am attempting to put together. Here are the dimensions For the sectional, I was considering something basic like this, with a sofa table behind

Giavanna, I think your best best is to first settle on a look you're going for. Go through Houzz photos (do a search on Open concept living rooms) and create an ideabook of things you like. Do you like modern styles? Traditional styles? It looks like you have kids, so family friendly will likely be important. I think we need a bit more to go on before we can give you good advice.