Your kitchen cupboards look like they are in good shape. I would definitely update the kitchen with a new light over the table and you may want to put the money into new flooring in the kitchen and extend it through your living room/family room with the fireplace. Possibly replace the wooden window valance with Roman shades or natural blinds. It's in pretty good shape for a "Fixer".

Remove wavy valances over windows, lighting, consider painting paneling, brushed nickel cabinet hardware.

Here are some of our expert blogs about fixer-uppers and DIY. I hope they help! Your new home is charming, by the way. -Andie, Purehome.com

http://blog.purehome.com/2011/the-quick-and-easy-kitchen-cabinet-painting-method/

http://blog.purehome.com/2013/ugly-tile-tile-paint-bringing-sad-spaces-back-to-life/

http://blog.purehome.com/2013/5-relaxing-bedroom-ideas/

Pure Home: Wow! I love the one on painting tile! The bathroom has tile and wallpaper, so that will definitely help when we tackle that room :-)

Sorry, but somehow my comment ended up in your idea book for this one.

They look like nice cupboards. Take down the wooden valances over the windows, along with all that "stuff" above the cupboards - makes your kitchen look junky. Paint the wood paneling white. Paint the ceiling fixture white until you get a new one.

Thank you! I was definitely thinking of taking down the wooden valances. (The items in there are actually the prior owner's.)

The only thing I would do is paint the paneling a nice Colonial blue, and buy one of those old dark maple kitchen tables with the captain's chairs to go under that wicked light fixture! Leave it in a time warp and focus on more important things. Once you start tinkering- 1K here, 2K there- it becomes too livable and a sin to rip out what you just put in. Leave it be and do the whole thing when the time's right and you've had a chance to really plan out the room.

PS- if the paneling is real, give it a good clear coat to protect it before you paint it. You may want to restore and re-use it somewhere else.

Paint is the cheapest fix ever, for almost everything (not so great on tile or things you have to scrub).
If it were my place in the country, I would paint the kitchen cabinets a soft sage green - it is neutral and it can work with any color scheme / color story you want in the future, but it will add so much light to the space, it is charming for a country place and unique. Here's a great one - http://www.benjaminmoore.com/en-us/paint-color/harbourtown
and all the walls for now, including the wood paneling a pale buff - http://www.benjaminmoore.com/en-us/paint-color/sandywhite
with creamy white trim http://www.benjaminmoore.com/en-us/paint-color/mountainpeakwhite

Yep I'd take down the scalloped valances. I'd probably pull up all the carpet left in the house and throw it out and use the wood floor underneath even if I had to paint it. In the living room, your gray stone fireplace is the right gray to use for the floor, except two shades lighter - match the hue of the gray to the stone, but then go up the card to a shade about three darker than white. Paint, poly on top with two coats. Keep the vinyl floor.