I think the tv unit is fighting with the timber floor & a rug would look nice with maybe this rug? http://www.catwalkrugs.com.au/sanderson-dandelion-duck-egg-olive-45808 picking up some of your cushion colours. Do you want to keep the tv unit? If you could integrate the tv with a wall unit depending on your style of choice to match a coffee & side table plus a tall lamp & either a mirror or painting too. Maybe lighter toned furniture could work.

Loving your space and flooring. We recently bought a white unit 2400 long. I had planned to have a cabinet built in at a later stage taking up the whole wall but have now decided that I like the option of having space at the ends for decorative pieces eg: the plant and accent chair. Also there is plenty of storage with the existing unit. I went for white to blend in with the walls to make the floor is more of a feature and I could then add colour accents in the room without it all being too much.

practicallity wise with young kids shaggy is going to be a nightmare ..wool is good as warm in Winter..and hypoallergenic.. Harvey Norman have great rug sales sometimes 40% off just keep an eye out for them.. I don't buy wool I just buy what looks nice and is practical.. 2 of my kids have eczema and they find wool rugs rough and itchy..we used to have a wool rug at our old place..so I only buy synthetic now..

Removable wall decals would brighten up the walls. You could change the kitchen cabinet handles and change them back when you move out. It's surprising how much difference new handles make. Lighting makes a huge diff - maybe change the lampshade or add some floor lamps? I agree with others about area rugs (climate permitting). Also some indoor plants never go astray.