beachy nautical with red white and blue is a way to go. above pic gives that feeling and agree that a rug on top of the red is a good idea, as it feels outdated, but I think the style of beachy is important to understand. you could.paint walls white, keep your blue sofa, add a different chair, maybe a white slipcover chair...

Some option

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Or if to go crazy and incorporate purple rug in coastal wibes

Why not? This is inspro photo from Coastal living magazine

Or teal instead blue

I wonder too if the rug should have a little red in it to knock down the impact of the carpet... my eye goes to the rug more than the carpet in this example... it seems like with a solid rug, my eye still focuses on the red carpet... just a thought.

agree, why not go bold! your room definitely could use some rattan too

Your carpeting is very bold in the red color, so I think if you are going to layer a rug it is better to have a significant amount of red in the rug. And then build the design around that.

One rug example/possibility. And this rug ties in with your current paint color, also.

https://www.roomvo.com/share/96f3ry

some fun art

Do you know if you have hardwood under the rug?

Then bring in some pillows along these lines.

These are pillow/color possibilities, also.

I just saw this pic in your ideabook and this would be a great direction for your beachy living area.

Cape Cod Summer Home · More Info

I would keep your blue sofa and add an area rug like this. It's very reasonably priced at $280 for a 9x11, which would cover a good part of the rug. It's out of stock now, like so many things, but it would be a good direction to head in I think.

https://www.wayfair.com/rugs/pdx/bungalow-rose-penton-oriental-redbluebeige-area-rug-fyd2127.html?piid=27504838

Then pick up the light blues, sand color and reds in your pillows.

Hi yayagal. I am not sure about hardwood under the rug. My living room is combo with dining room which is tiled.

I would suggest save up and change the floor first.

I think that carpeting will never look coastal. Even if you overlay an area rug, the areas still showing will always draw your eye and detract from your theme. Instead of buying new grey furniture, use your current blue furniture and use the money instead to replace the carpeting at least in that room.