I think your plan to replace the sectional is a good one. I always choose a 2-seat or 3-seat couch plus accent chairs before a sectional. So much more versatile.

I can’t tell - are there 2 bay windows? Also, how many people will be using this room on a regular basis?

Beautiful floors.

Thank you!!

Yes there's two bay windows: one behind the sectional and the other where the chair is. The picture of the dining table is now replaced with the sectional

I can't see the TV console but am assuming it's at the opposite end of the room from the dining table. Your floors are gorgeous, but you could use a couple of area rugs both to add texture to the space (it looks downright echo-y right now) and to help define the different purposes of the room. Put one 6 x 9-ish rectangular or oval rug under the dining table, and one rug under the family room space with the sofa and arm chairs (something like 8 x 10 or 9 x 12 -- its hard to judge the size of the room from your pictures, but you definitely need an area rug that's larger than the square one in front of the arm chair). Choosing rugs that work together will not only delineate the two purposes of the room, but also conversely give the whole space a more cohesive feel.

That's the opposite end where the TV console will be going. We are getting rid of everything in this room. We will be adding a 9 by 12 rug