Is there available space on the 2nd story to put the laundry? I think your idea of reclaiming the back porch sounds great. Any photos or updates would be great so we can help!

I recently moved washer and dryer from a small kitchen into a large walk-in closet off the bedroom. It's worked well, no lugging sheets around, no piles to walk around in the kitchen. A slight bit more dust in the closet. If you do this, go for the stacked washer/dryer if you can, to save closet space.

Moving the laundry room to the second floor can be an expensive choice depending on what type of plumbing/gas/ electrical and construction you have on that floor. It will be money well spent to have a licensed contractor look at your project and give you a realistic view of the cost and changes that would need to be made.