Wow love some of those pics Siriuskey! Thank you for the ideas. I struggle with whether to keep walkways 'clear' in this house - for example the two doors either side of kitchen and the deck door all create these weird walkways. (See arrows on drawings) Is it a smart move to 'block' them with say a couch, or an island bench, or the dining table? (See random furniture placement in pictures showing these options) I have uploaded a drawing with the current walls that we propose removing in green highlighter and showing where the current front door is. As you can see it's a wasted space and strange detour past laundry toilet and storage! I have sketched what I think you mean by entry next to bed 3- would you leave a small office room to one side and create a hallway or leave open and place miners lounge against west wall. Am I interpreting it all as you imagined?!

Rather than changing the look of your already great looking home, focus on maintenance rather than aesthetic 'improvements'. Too many 'modernise/improve/change exist. style' rather than spending the money on actually fixing their home. As Dr. has said, sort the asbestos. No tradesman will work on the dwelling until they have removed asbestos from where they're going to work, even if its just those few affected walls, it'll be removed and require re-cladding. You could use Fibre Cement (Hardie) sheet with the battens again, then as budget recovers complete the asbestos removal. I like the existing batten and sheet cladding. It'll look awesome once completed and freshly painted, new landscaping, etc.

With a North facing house the sun makes the front of house quite hot but only on those few days a year when it is over 40 with no sea breeze and I love the heat so ceiling fans work for me. The back of the house is much cooler and the winds generally come from the ocean side but can be from all directions at times as we know. On the west side of the house it is only app 1m to the fence line and so the option of having the garage on that side isn't viable. Sorry I am not up on terminology so when I said the set back was 7 odd metres that is the current set back from the front of my house to the road. The council requires 3m for house and 4.5 for garages. I have been looking more at mid century modern design and I don't really like it so I am looking at ways of changing up the bland facade to disguise the fairly flat roof line. With those in the know could I add a front porch and somehow blend the roof line into my current one to look more like this style? I realise it means saving more to afford it so on top of my current budget. I am just not sure how the roof line of the porch would look at the back end (how it would attach to my roof and look from the side and back) I wouldn't want it to look like it was just stuck on at the front. Would I carry that through to back of house so end up with a witches hat roof or is there a better way you can see this working. Once again thank you for all of your input I can't tell you how much I appreciate you taking the time to help me :)

Pottsy99 - here’s the pic I wanted to share. My original Reno floorplan - minimum disturbance of existing asbestos cladding inside & out - but extending footprint requires council approval so I reworked it into the floorplan I posted here I the first place. Thanks for your suggestions. That kind of thing is down the track at some point!