Take inspiration from traditional European farmhouse interiors like this Romanian traditional interior. Simple wood floors, and furniture with an abundance of bright colours and predominance of red in traditional woven designs. R McN
This is a nice-looking living room with smaller rug. Perhaps the key is to frame the rug with sofas / sofa and armchair combo / sofa and the window. And another trick is to fill up the room so the size doesn't look awkward.