I'm not an expert, but your option 1 reminds me a little of my current layout. I thought I'd share what my designer came up with in case it sparks some ideas: My designer's plan: And here is the thread in the bathroom forum where people brought up some other interesting ideas: [https://www.houzz.com/discussions/layout-help-dsvw-vd~2922340[(https://www.houzz.com/discussions/layout-help-dsvw-vd~2922340) With option #1, are the closets wide enough to be functional as a walk-in? My current closets are 3x3, the depth feels like a waste of space, so I'm aiming for shallow reach-ins. Seems like your existing closet is narrow and deep, so you may already have a good idea how that works for you. With option #2, I like that you can have a window in the bathroom. The bathroom is nice and big...but I think I'd rather have some of that square footage for closet space or in the bedrooms. What about using some of that bathroom space in option #2 for a reach-in closet? If the room is 8x10, you would have the width for a 5-6' bathroom and give up 2' for the closet.

Depends on your skill level. How are experienced are with demo, framing, drywall, spackling, trim work, etc? If you are getting a bank loan it may be against the loan agreements. Your building dept may not allow it as you wioll more than likely need permits and a C of O. As you mention electrical work would need an electrician. Realistically if you need to ask if this would be DIY'able it probably is really not a good idea to attempt.

You have some real issues with picking a style so maybe get a handle on that. Venetian plaster is IMO a very formal traditional look and not something I would use with epoxy floors.The sofa and those 2 gaming chairs don’t belong together ever. I do not see the bed and I am not sure which wall is shared by the bedroom and LR IMO this space has great potential but you need a cohesive plan

I’ve seen warm(er) and organic colors and can recommend a couple Instagram accounts for inspiration if you’re interested.A lot what I see now is very light beige, pale tan walls with white, grey and beige tones on furniture and decorative items. A lot of very matte surfaces. I think you could look into introducing more textures and layering materials.