Great natural light! I'd want to keep that nook as well. The window and door trim look lovely. I'd certainly want to keep vintage feel for the space but that's me. Budget will determine the project scope. Hard to share ideas without knowing your budget or goals.

We want keep the uppers and windows are new.
Hoping hard wood under linoleum
The back door is Dutch door which I want to keep.
If we can do for 5k would be great excluding appliances

Do you have an Ikea nearby? Their kitchen cabinets are affordable with great hardware. I'd want drawers for the lowers. They have affordable countertops as well. Butcher block would make sense in a 40s kitchen. Start collecting inspiration pictures and shopping around for items to see what's realistic for you in your location. Are you doing much of the work yourselves? Stripping paper, painting, removing the vinyl flooring (unless it's really linoleum? The two terms get used interchangeably but they're very different materials.), replacing the fan...can be DIY projects which would save you a lot of labour costs. My advice: do not start anything without a whole room plan and every item onsite. A lot of supply chain issues right now translate to unavailable products, especially in construction.

I would remove ceiling fan and wallpaper. Then paint and deal with the flooring (seems a section is already ripped up). I would wait until I had the money to replace all cabinets. Then I would extend bench towards door. Another issue with upper cabinets is the distance between uppers and lowers (18 inches is standard).

What kind of look are you going for? Were you trying to keep the 40's esthetic? The following is based on keeping the vintage feel.

It looks like your floor is similar to the one we just uncovered and refinished. Is the vinyl over a subfloor? If so, you may be lucky and the floor may be in good shape underneath the subflooring.

Keep in mind if you keep the uppers you need to find slab cabinets with a partial overlay. Full overlay will not match. If you want to keep the uppers I would try to use the lowers too unless they are in bad shape. Please uncover the painted hinges!

I would go with a bigger stove it looks like you can fit at least a 36" range or larger. AGA makes a 40" stove that would fit right in with a 40's vibe. I would remove that wallpaper but I am liking the Wedgewood blue color along the baseboard. It might be cool to use that color for a narrow or drop leaf table and find a print that coordinated to use in the nook seating area, add a white bench on the other side.

Thanks👍

i think i'd live with it until I was ready to do the proper things. You will tire of the cabinets as you'll want drawers w glides . You will tire of the gap around stove and want counter right up to it. You will note only a few fridges fit into that opening so different sized opening will be inevitable. You will want a dishwasher. I think I'd get a bakers rack or chrome rack or something and use wall space between bench and door. someone is doing something with sheet vinyl. if its exploratory and you have to continue then figure out what needs doing for hygienic reasons ....I got down on hands and knees once when in a home we bought old vinyl had been taken up previously but the heart pine needed finishing and it was in good shape. so I sanded and did the 3 coats of ben moore satin poly. it goes pretty fast. you can do it. only if space is a modest size the key is the condition . we didnt have to replace any boards . put all your stuff into those generous upper cabs and any bottom spaces which arent too old /grungey or inflexible. a small bistro table and some cushions on the bench will be nice. Just use the kitchen for a while. It will be "time" eventually to have at it. the nice newer windows and door w character will leave you a step ahead .

I would go with some cute retro appliances like a cherry red Smeg stove and fridge. New countertops & black splash wood help. Hope you got some wood floors under that old flooring. In other words, embrace the 1940’s charm and character. Love the Dutch door!

https://www.houzz.com/photos/bold-and-bright-kitchen-midcentury-kitchen-phoenix-phvw-vp~90035058

We are planning on flipping this house which I should have said in initial post

If you're flipping, you have a choice between a mediocre/bad flip or a good flip.

I think you know what you need to do. And it's a full gut remodel.

There's nothing inherently special about the cabinets that will make them attractive to prospective buyers. And it's going to be very, very difficult, frankly impossible, to make the kitchen look updated without screaming I'm being cheap. And nothing screams this as loud as a flip that kept original upper cabinets and put in new bottom cabinets.

Thank you,This is what I have been telling my husband

I agree with Tom S. Especially you will have to place your new cabinets to allow for current appliances (at least a 30" refrigerator. standard stove, perhaps an 18" or rollaway dishwasher.

I had 2 layers of vinyl and the original 1941 linoleum over my subfloor, which was pine (not hardwood) but we were able to fill in staple/nail holes with wood filler, sand, stain and poly - it turned out well. We had to patch in the lower inch or so of the door casings, since they had been cut shorter for the vinyl installs.

Since you want to flip, my usual suggestion of Ikea cabinets might not work with your timeline since they are having backorder issues - but there are some other similar options, like KlearVue at Menards (which are also frameless, my preference), other big box "off the shelf" cabinets, and some other online sellers like Cabinet Authority. They might also have delays, I don't know.

Look into changing out the vent to a more modern toekick vent which will be compatible with new lowers.

However, with supply issues, your timeline, and your budget (replacing the windows was an excellent move though) you might have to content yourself with things you can handle yourself - the floor, prettier ceiling lights (don't have to be costly), removing wallpaper, painting and cleaning/repainting the cabinets - so that it is fresh and attractive, and leave new cabinets to the buyers.

Thank you !

How much is the budget and how much increase in the selling price do you expect? Why would someone buy this house instead of another house? Location, size of house or lot, school district, price, quality, vintage charm, limited choices, garage...what makes this house stand out in the market? I would rather buy an original kitchen than a cheap flip but you need to know your target market.

Either do as little as possible or replace all the cabinets. If the cabinets to the right of the stove can be moved, move them to leave space for a standard stove. Remove the cupboard over the existing fridge so you now have space for a large fridge. I would use an apron front sink and solid surface or laminate countertops. Add an exhaust fan and a colorful backsplash.

If you are in a starter house market and your improvements won't bump the price tag out of range of your expected buyers, consider doing the gut job. With low interest rates, monthly payments are cheaper than rent in many markets so buyers like the opportunity to buy a nice house and not worry about financing for future upgrades. If you go that route, spend a little more and do a nice job;  10% extra money spent can make a huge difference in results. In any case, don't make changes unless they raise the sales price at least 50% more than the cost so don't spend $10K on the kitchen for less than $15K added to the market value.