Now with more photos I have some questions: why wainscoting is so high? What happened with windows in sitting area? Can you move table to kitchen as currently don't have space for sofas. Can table be rotated so you will have more of square area for sitting?

I understand that everything is new and you put a lot of effort to put it all together. And you did amazing work. But high wainscoting is really messing around proportions in that area. Also it will be a problem with art placing. What I think you can do is paint wall above same color so it would blend better. In addition remote small plank on the top that stand out, so it more flat on the wall. Now with furniture placement, I can see table cant get closer to kitchen. But without rotating table the only space you have now if for one sofa, no rug as it will go to table area. I know it a lot to ask, but would you consider rotating it and moving in line with entry door? The benefit would be to have nice area to set up siting set. You will not dance as much around table. It is still close to kitchen. If not, we can talk about eather replacing sofas with one longer one and 2 chairs? Or something different but I don't think you can use area where current rug is with chairs. It is uncomfortable to enter room by walking inside sitting area.

Forgot to mention, to create more siting spaces, I think 2 chairs by the large kitchen window with small rounded table between them would be great.

I think the table is beautiful. Personally, I'd remove the sofas, center the table, and upgrade the seating to something fabric covered and more comfortable. That includes the stools -- of which you have too many and it looks crowded. Focus on making the seating as cozy and comfy as possible and assume that family and friends will sit at the table or counter while enjoying this room. Oh and yes two comfortable matching accent chairs to the right of the counter next to the windows.

The space with the rug -- looks to me more like an entry hall and I'd use it as such. With that big of a family you're going to need space for coats and boots and bags. You could do a round table in the center to use as drop space with a big floral arrangement on top. This round table could then come in handy at Thanksgiving when you need even more seating.

I'd stash the sofas away for now as there just isn't space for them. Unless you maybe could use one next to the windows (instead of two chairs). Then when your family starts shrinking because the kids are leaving the nest, collapse the table down, rotate it, and bring back the sofas.

Just some examples of stools, with modern flair. I think area with rug need to continue to be entry, but can be used for extra seating very well. Get 2 chairs, similar to your original selection, set them on the side by labrary entrance. I would select same 2 chairs in the kitchen. You would be flexible to set them together in same area if needed for party. I would keep 2 sofa in same space, eventually maybe think about long sectional or long sofa. But for now, I would use get 2 ottomans as side tables with removable tray, so you can use them for extra seating. Also place 4 ottomans as coffee table to get even more siting for kids.

Just some examples. I would use cocombination of navy, green, and some small yellow accent in pillows. Get some beanbag and sheepskin rugs (artificial) on the back of sofa for comfort

I'd do something like this for the bar stools -- and in fact, have very similar stools myself!

https://www.houzz.com/products/blake-stool-pacific-blue-bar-height-prvw-vr~104608987

Leather or vinyl is very practical for stools and kids. The back is more comfy than backless. The blue ties in with the blue in your room.

Really nice bar stools Jennifer. I was just concern with larger design, specially with full back, it will look very crowded if getting same number of chairs like before (I believe 7). Also I would keep trying to line them up everytime someone used them... On another note, do you have any art for the walls above sofas? Anyone in your family like to paint? I think it would be great to set up gallery wall that continue to second wall above another sofa?

I actually think you have too many stools to fit there as it is. Have you tried seating 7 people? It seems they'd be knocking elbows and knees. Maybe one of the experts can give you the measurements needed for stool seating and recommend.

I'm no artist. We are still filling in our walls too. It's good to be patient and take your time with that. Overall I'm more inclined towards big impactful pieces of art than gallery walls, but I have seen galleries which are nicely done.

I feel like you could do one long rectangular piece. Or better, a long "found art" type of object. Like an antique canoe. That would be cool. (full disclaimer: I've always wanted to mount a kayak on my wall for some odd reason). Or just the paddles. Or something farm related. A rake? Or tobacco baskets? Do you have any flea markets nearby? I'd go hunting for something 3D, interesting, and long. And UNIQUE. Preferably without any words. No word art. Unless you find an antique sign that just happens to have your last name on it.

What about a dough bowl filled with plants for a centerpiece?

https://www.lizmarieblog.com/2015/03/dough-bowl-centerpiece/