I think it's really just a matter of personal preference. For example, in my home office, I have a window that abutts a corner, much like the one that segbrown has pictured in his first photo he attached. And another window 24" away from that first window. Both windows are located behind a desk with a rolling chair. I created cornices for the windows, and b/c both windows already have wooden blinds on them I bought a pre-fab panel that I plan on cutting in half and using both of the halves on the outer sides of both windows. Functionally, having two panels on BOTH sides of EACH window would not work for me, as the drapes are likely to be caught in the wheels of the rolling chair. So, I just improvised- especially since the panels are going to be faux anyways. Again, its a matter of personal preference. What do YOU want? You're the one that's going to have to live there :)

well, it just depends what you want. if those are real oak floors, you can always have them patched in, but that means the rest of the floor will need refinishing. For sure I'd put in some windows along that wall, and try and have the sink under it. Cabinets. you can do inexpensive or high end. I wouldn't nix the idea of a carpenter custom building some for your space. RTA cabinets are actually decent. hire someone to install. If you're on a budget, I prob wouldn't use HD or Lowes. you're paying them to be the middleman contractor, and they sub out their work. Sometimes their countertops are a decent price though. talk to a kitchen designer or an actual kitchen refinishing company. I found a great one on Yelp (all 5 stars) and they were amazing. I had mine painted, but they also did custom carpentry, refacing, vent hoods, and everything in between. If you could find a company like that, I'd go that route. walk around a stone yard to see what's avail for countertops/islands. Some people like ikea. It just depends the look you want. the rest of the house is very nice. looks like you have plenty of room. don't know why they did such a tiny kitchen with all of that room! however, for 30K, you're going to have to DIY, learn to DIY, or learn how to shop for bargains. I'd still list your current kitchen for sale. someone would want it. they can come in and take it apart and charge 1K for everything. (to demo all of that, you're looking at over 1K anyway! ) hiring a KD for a custom layout design wouldn't be a bad idea

Hard to understand why a northeastern exposure would get a lot of sun. Perhaps a small amount in the early morning in midsummer, but it has to be out of the sun after that. If it's more eastern, than northern, a little more morning sun. My solution would be to plant small shade trees not to far from those windows.

A top down/bottom up shade would allow you to let light in at the top but have the bottom covered for privacy.