I'm struggling with how to layout my dining room. It's the main room of our open layout in a bilevel house and gets the most use and traffic as it's open to the kitchen and the back yard and deck area where we entertain a lot. But I can't figure out how to arrange the furniture (and what furniture to buy) to make it both functional and beautiful. I started with using it just as a dining room, but because we spend a lot of timing hanging out and entertaining in the area, we've realized the need for a living space as well so our guests are not sitting at the dining room table while I cook or standing around because there isn't a sitting area.

I've attached some images of the room empty, and to show how it's open to the stairwell and the kitchen. I've also attached an image of the dining room table I have (love the antique feel in a very "new" home) and how I've positioned it to allow the rest of the room to be open for a seating/living area.

Any help on how to make this work? I've thought about two matching love seats or small couches facing each other (or a couch and two chairs) to make a conversation area...but it feels awkward or blocks the window which is the focal point.

As far as budget, I don't want to go too far past $2,000 to finish furnishing the area.