Seen it before but couldn't say where. A vaguely similar, but more elongated pattern, is available here http://www.overstock.com/Home-Garden/Hand-Made-Geometric-Pattern-Ivory-Gray-Wool-Art-Silk-Rug-5X8/8573249/product.html

Before replacing your curtains as this can be quite expensive for such a large window, if they are in good condition, add a band of extra fabric to the bottom in what ever suits you, your existing curtain track can then be moved up to the ceiling for good looking full length curtains without the large round eyelets, could save you a lot of money, I would look at replacing/removing the sheers cheers

Hi the walls are magnolia, the floor is light floorboards. There is also dark wood bookcases and fireplace, dark TV entertainment unit and a old chest which is black. I have a vintage brass coffee table that I love. The only other sitting furniture I'm not that keen on keeping. I am thinking navy or grey sofa. I do love teal but worry that I might get sick of it!

Look for a piece of carpet and get it edged. Ask at carpet shops to see remnants or off a new roll