Hi, I know there are so many things to take into account and it's hard to get perspective from a photo. The white you can see is an extension with building paper, and the red is the existing building which is two story. The exterior is wide weatherboard planking, the windows are silver aluminium with very little trim. The doors in the front of the picture are French doors from bedrooms that will open to an enclosed courtyard ( yet to be built of course) The roof will be a light grey/brown but you won't see it much because of the flat roof style. There will be decking and ballustrades covering half of the new extension.

There are many options for changing the look of your house. I would replace the windows with larger windows. You can put in tall windows and keep the same width. This doesn't require any structural changes. If you widen the windows you will need a structual analysis. However, if you want to really change the look, you could widen the openings and put in french doors on each side with a new balcony for each, or a balcony across the front. The balcony can be very shallow 6" or deep enough for a chair. It can be cantelevered. I would go for a contemporary look. I found some images to share for inspiration. If you decide to make the changes, I suggest that you hire a local Architect to help you acheive something really nice..........Your house has a lot of potential.

The blue is awesome (grey is too trendy)! The reason it stands out to you is perhaps because it's the only real colour there. Bring in the blue in a window treatment, a small appliance that sits on the counter, a pretty tray or area rug. Also, it is more appealing often if there are more than 2 colours - so right now you have a white and blue colour scheme - bring in red or orange or fushia - something from the other side of the spectrum (like you did with the yellow flowers but in a more permanent way)!

Provided there is 1200mm clear between the breakfast bar and the opposite bench then by rights, you should have ample room and if that's the case, I think I would opt for the design with the kitchen on the eastern side. My reason; you get a much greater feeling of open plan by having the dining and lounge on the North/South plane. I like the large WIP in this one - on paper at least. The second plan somehow feels wrong. I personally don't like the idea of having the breakfast bar being located in the lounge. If it were me though, I would ask for a 3D CAD plan of both kitchens [to walk through on the computer] before making up my mind on which one to opt for as it gives you a much clearer vision of what the finished kitchen will be like rather than looking at a flat plan.