The house is a ranch 30x60 it had no flow, no hallway, you moved from room to room every room had at least 2 doors in it. It had a load bearing wall splitting it in half long ways. The front door opened into living room, living room had front door, side door and 2 doors into 2 bedrooms. We had a tree fall on our house so we used this as an opportunity to reconfigure the space to include a hallway, enclosed the porch on the side for laundry and pantry, added a vaulted front porch that opens into the foyer. It was a 3/1 that we turned into a 4/2. We needed the bathroom and bedroom more than we needed a bigger living room or so we thought. Here is a before with tree on top. Lol. After is without the tree. We may need to push the the living room and kitchen wall out on the backside of the house.

I can see your dilemma first. What a beautiful room! Seems to be more of a seating area than a family room, correct? And yes, unfortunately, the size of the furniture is too big for that space. Let's fix that! Put the rug back, lol. The size you had seems appropriate. Without it, it looks like your furniture is floating, or the movers just plopped it down. Furniture placement needs rugs to help delineate the space. You Should only need the front of the legs( of all furniture touching the carpet). Try layering a more modern/ or your style of rug on top of it, and this will give you some inspiration for your style and the rest of the decor you want to put into making it less formal- which I think is what you're saying. Move the piano in front of the windows; it is a beautiful piece and needs a focal point, not tucked away on a wall. Add one more picture below it, use one of the chairs on one side(maybe the side closer to fireplace- add a floor lamp and a small table. Add some greenery next to the piano/ closer to the entrance- something tall- you will have to play with this since I don’t have a floor plan and the size of your furniture. The other chair has to go from your grouping. Sorry. You can also try moving it to where the piano was with another bit of table. You need to free up some room. Too many big pieces, all pushed together. Add window treatments to the window- something off-white and make sure they kiss the floor. I would almost paint your casing black (only those two where the piano will hopefully go). This would tie back into the piano and make it much more architectural. Add a more modern mirror to your fireplace Here is some inspiration, don’t mind my sharpie drawing. Adding more accessories like / throws/ pillows/vases that are more your style will make it look less formal. Right now, it’s giving me some library vibes. My apologies for any grammatical errors, Typing, and brainstorming all at once. Haha I hope this helps!

This is a great room. Although there might be a slew of suggestions about new furniture and placement of pieces, I think you should feel good about the way it looks. I'd add a potted tree somewhere near the doors to outside. I would also remove everything from the shelf under the horse pic and from the shelves to the right of the TV and get some bolder, more visually impactive objects to place there that have earth tones in them to relate to the colors in the sofa. Perhaps some large pottery items or nice handwoven bowls.

MCM pictures for inspiration? I am more of a traditionalist, so it was interesting to look at MCM on Houzz. I found quite a few examples and think maybe you are putting the cart before the horse so to speak! Select your rug first any foremost, and do it in person so you can see the actual colors and size. The size of the rug should allow for all the furniture to sit on the rug, or just the front legs of all the furniture pieces....find THE rug, then select furniture, paint, accessories from there....but the rug seems to be the first thing chosen for MCM aesthetics. 1. Rug similar to one suggested in comment above; right on! 2. Three colors in area with subtle rug.....aqua, lime yellow, all alligned on the color wheel....any three colors in a row could work. 3. The rug with solid colors of furniture in green blue grey all next to each other on color wheel. Rug is amazing. Or this could be a broadloom carpet cut and bound to fit? 4. Rug is it! 5. Rug is great! Furniture lay out stunning too. Using colors opposite each other on color wheel for max impact. 6. Monochromatic; easy to select and work with.....black and white are your neutrals and frame the space. 7. Again the rug, with simple furnishing and lots of white frame. You are going to have a lot of fun with this!