http://houzz.com/photos/57981

Just because it's tiny doesn't mean it can't have style! Do a Houzz search on tiny powder rooms....

Thanks beachlily! I agree - can definitely have style. Can't wait for the renovation, just need ideas on tile - I'm REALLY new to owning a home and feel this is very permanent, don't want to make a mistake!

I would loose the tile you don't need it in a powder room. Also consider taking your cabinet out and having a floating vanity supported by corbels, and a half guitar shaped counter top out of stone, corian, or butcher block, to go across the whole wall where the cabinet and the sink is. Choose a great wall paper and mirror over the whole vanity instead of the corner, this will make the room feel larger. Also you have good lighting! Good Luck