I don't think big tiles make a room ook bigger (sometimes even the opposite). Color, light, contrasts and even texture does. Pick the tiles you really like and find a grout color that will look good with all the tiles and colors you pick.

Hi Courtney, Thanks so much for your reply. Sorry to have taken so long to answer. We have been a bit busy here, especially with a brand new granddaughter born this past week. I have not bought new furniture for the room as my husband is not well and finds the old furniture so comfortable. I have been trying to freshen it up with new accessories instead. What you have suggested looks very nice and down the road we might do that. I appreciate your input.

An entire wall of built-in cabinets and hooks and cubbies for your crafting stuff (and perhaps filing-type stuff and printer for the office). Take a good look at what you have and think about how best to organize and store it and what could be displayed to be pretty and what should be hidden behind curtains or doors. A fold down ironing board on a wall or back of a door somewhere would be great. A nice desk and filing cabinet for the office side... or perhaps a great big table in the middle under the window, wide enough to function for both of you facing each other? A nice curtain rod would make a big difference too. Preferably just about floor to ceiling. I'd put a splash of colour on the walls and keep the curtains simple, but you could go vice-versa too. Something like this: [https://www.houzz.co.nz/photos/modern-bungalow-phvw-vp~4999540[(https://www.houzz.co.nz/photos/modern-bungalow-phvw-vp~4999540)

Here is a layout indicating some minimum dimensions for usability. I would recommend you go larger especially if two people are often going to be using the space at one time. This also does not account for window space or furniture or storage.