The living room will feel much cozier if the couch and 2 chairs are snugged into a tight conversation area around a coffee table. Lamps in corners of the convo area. Decluttering all the small decor items and adding ONE powerful, full size piece of art over mantel would help tremendously too. Actually, given restricted space above mantel, I would probably remove it altogether to allow enough space for the right art. Tan slipcovers aren't needed....I would stay with the stripe, or if you really have to change for some reason, go for a real color pulled from sofa upholstery, such as a dusty blue. Open firebox can be filled with e.g. decorative pile of birch logs or shielded by a simple screen with an attractive, yet subdued finish (to not compete with art).

It’s really hard to tell from the pictures, but it looks like you have the furniture out too far from one another because you are trying to put them against the wall. You want to center everything on the fireplace and shoot for no more than six feet between your seating pieces. Once you bring everything closer in, I think you will need to eliminate one of the chairs or replace them with another loveseat.

Several issues I immediately notice with this room: (1) You have a sectional that is far too large for the space it is in. (2) You have disparate colors (tan walls, gray sofa) that don't particularly work well together, and you like pink. ;) I would use a neutral color, like a soft off-white, to tie the gray and tan in together. I really like the second rug grover axle suggested, as it uses a neutral (the off-white) as the main color, then pulls in the pink you like, some grays/greiges, and also a bit of teal from your family room. I also agree that you should remove that corner piece of your sectional, and put a square end table there. Right now, it looks as if you've shoehorned that sectional in there. Removing the corner piece will allow you to move the section against the stairs in a little, giving that space some breathing room. I would suggest drapes in a natural/off-white linen or linen-look fabric. No sparkle/shiny material. Get throw pillows in natural/off-white, maybe one or two max in blush pink, and then throw in a teal. Your sofa material does not lend itself to shiny/satiny, so look for more natural textures. The velvet you like would work, but look for plain pillows, no additional sparkly beads, etc.

Patricia Colwell Consulting: Floor, Mannington "Century Pebble" LVT, needed to be rigid core. Looks like terrazzo, light gray/tan. Thanks for reminder about "stuff". We are wanting to keep the space fresh. Getting new furniture, decor is taking weeks, even months these days. Only piece I'm emotionally attached to is table from family but that will get update. The space out door will have a deck, then be integrated into green space, plantings of perennials (pinks/whites), trees, bird baths/feeders, open country, sunsets. New fire pit. Privacy isn't a huge issue but will want to have an option. It's also NORTH exposure/back yard, gets mid to late afternoon sun. Trees and distance to the neighbors. Room is for relaxing, decompressing, restoring, staving off winter blues, enjoying a meal with nature. I want to read/art/music, my guy wants tv (I don't but I won't win that battle). It will have a Tiara II Heat N Glo direct vent gas stove in the corner. It is very comfortable.