How deep is the overhang on the island for bar stools? Would you want the dining chairs and stools to match, or coordinate? What sort of colors for the sofa and chairs near the door?

That table isn't too wide for the space. It's too wide for the placement. Which means the chandelier needs to be removed or repositioned.

Yes, the chandelier needs to be replaced and maybe repositioned.
I would like the bar stools to be primarily for my kids to be able to do homework and help in the kitchen. (To leave the table free for eating dinner without having to clean up homework before dinner.)
The overhang is only 12” and the entire island is 165” long.
My table is 42x84 and almost feels too small in the space.
The wall to the island is 120”.
I don’t feel like I need the table chairs and island stools to match but just both look like they belong.
I like the idea of just two chairs by the window for now - I can always add later.

I am posting some photos from the previous owners so you can see the space with more furniture in it. I think it is too much and want a bit simpler look. But, I thought it might be easier to see the space relationships.

Any storm damage? Just watching the news..wow!

Previous owners did overload the space, but some of their choices...reupholstering the Empire salon set in that fabric...thumbs up on that one and I do like the multi modern lighting over the island.

Going to suggest you add no more hanging lights. Over the table, have some recessed lights installed..dimmer mandatory. The small crystal light by the chairs, do the same.

For a vignette at that end of the room, add a table a lamp. Replace the sconce with something simple. Lose the curtains and rod. Windows are pretty enough to be bare.

I don't mind the two chairs you have...fabric seems to match the color of the floor. Add two colorful lumbars, a floor plant, and a table with lamp into the mix.

Going with a burnt orange for the accent color...lamp, counter stools, lumbar pillows, these on sale at Pottery Barn.

When we moved in and renovated our down-size ranch, the first thing I bought for the dining table (part of the living room) was a concrete table. Loved it then; love it now. I was stymied about what to choose for chairs. Finally settled on these metal Windsors from overstock, with the idea I would replace when I found chairs I loved. That was five years ago and there they sit. The look is perfect, comfort it fine, sturdy and wipe 'em down after a meal. These may work for you now with your young brood.

Found this photo...thought about getting a cleaner, simpler look...how about the correct size in a Saarinen?

No damage, thankfully! Great ideas, thanks!