I would go for q modern coastal theme.

Agree with Dytecture on going modern coastal but country moroccan sure would be interesting:)

Coastal theme woud be much easier given all the white you have. You could do a "temprary" colorful backsplash using contact paper over thin sheets of masonite. Colorful seat cushions at the table and throw pillows on plain couches. Colorful artwork and lampshades, too Have fun

Thank you for your comments so far. I agree we need to add some colour and it looks like coastal is the way to go. Do you think my placement of furniture should change?

I think the placement is fine but the rug isn't coastal and you need a coffee table.

For color I would try to keep it light and airy. I suggest light grey and white with coral or aqua accents. It would be inexpensive to inject color with patterned sheers on the windows as well as some fun throw pillows and placemats. I would also put some sort of simple colorful centerpiece on the kitchen table. Luckily coastal style is popular right now since it's summer. That means that accessories will be readily available and inexpensive.

If you confine the more expensive items to grey and white such as a new rug and the more overtly coastal accessories are the less expensive rugs then you won't be tied to the coastal theme if you ever tire of it. Everything else is so neutral that it can go in many directions in the future which is smart when you live in a rental.

Thanks so much for your comments that's really helpful.

I think your furniture placement choices are appropriate for the floorspace. I have to agree with the given suggestions that the existing rug does not work with the theme.

Combination 1
How about combining a sisal rug
with an ottoman for a double duty coffee table? Here's an example of one that is small and upholstered in colours you can replicate in accessories.



Combination 2
Or how about combining a beautiful coastal themed rug with an acrylic coffee table or a nest of 3?

rugs


Another suggestion
I noticed that your 3 seater is pushed right into the corner. Have you considered pulling it out a little to accommodate another side table and lamp?

Hope this inspires the inner decorator in you!

I liked your idea of putting another table at the end of the three seater. I was considering putting a hall table behind the 2 seater but I don't know if it will look too cluttered? The rug will definitely go and I think I'll take the suggestion of a natural fibre rug - which will be easier to look after with a 21/2 year old :)

A larger rug would look more grounding. Pick one you love and pepper the colors from the rug around with accessories.
To maximize space a banquette would be more functional than the chairs. A tall back for the banquette would also add dimension. Check out this blog to make it yourself: http://blog.krysmelo.com/2012/10/10/diy-banquette-seat-ikea-hack-dining-room-makeover/

Thanks I love the banquette idea, it looks great.

Hi---soft color palette and bold patterns would be a nice combo of both styles... CheerS!
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I didn't think of that. Thank you. What do you think of maybe a rug like the one in this picture?

Since you have a toddler I strongly recommend upholstering a banquet in oilcloth or vinyl so any messes can be wiped up. You also might consider one with a lift up top or a place underneath for baskets to maximize storage.

What if you would put the Tv by the oposite wall where the white couch is. Leave the one facing the window but the one where the tv will be, facing the tv, make a separation from dinning to living. That way the table could be farther from the counter and get some stools.Also where the tv was there should be space for another piece of furniture I like the Morrocan myself but what about stripes? The Morrocan houses are mainly white that is why their textiles have so much colour. They have wonderful pieces of fabric that look great on the walls make them look like tapestries. They do have tapestries but are a little more expensive. On this site in the Ideabooks search box put morrocan textiles and you can find amazing ideas.I'm still not sure if my idea of changing the couches will work. It is hard just looking at the picture but.... Have fun

I was going to put a table and lamp in the corner, but after moving the furniture and painting the art above the sofa, I was too tired to go shopping. Maybe you can just imagine them there?

Lol! I think I get the drift, thank you. That really helps to get a visual.