My first steps would be to rip out the carpeting (it's dated and a dull brown to boot) and the valance (stuffy). With floor torn out, time to demo popcorn ceiling! If you have hardwood underneath, refinish it, else install engineered hardwood in a mid-honey color. I'd leave beams and wainscoting as is (or clean and seal if needed). Then choose your color scheme. An easy way is to find a piece of art you love and let it inspire you with coordinating colors. Even easier is to find a print fabric you love with colors that you also love and pull your main, trim and accent colors (for paint and fabrics from that). Curtains should be real curtains with rings on a rod, floor length, sized and scaled generously so they can stack clear of the glass. Not sure what furniture you have currently....