The important thing to remember in furnishing smaller living areas is produce an area that is cozy and beautiful and yet easily doubles as a very functional part of the house which can serve a multi-purpose role. Cluttering the living room is a bad idea so you need to be clever about your furniture choice and go only for those that serve at least a dual purpose. Sofa beds, futon sets, sectional couches come in mind when you want such furniture.
Decorating the interior of a small living room requires you to consider the space available so that the room when completed looks airy, bright and cheerful. In modern day homes, the high cost of real estate has led to rooms in apartments being smaller and this in turn restricts the sort of designs that you can execute for the living room.
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Often paint colors are associated with particular design styles. Modern furniture looks good in rooms painted white, beige, gray, sage and other neutral colors. Country style rooms feel homey when painted in colors named for things found in nature such as wheat, grass, sky and apple.
First, you should pick an interior design theme which appeals to you but which will also add appeal to a tiny space. Having a good amount of clutter in the living room will make the place feel smaller so avoid decorating themes that clutter up the room.
Fortunately, with smaller homes becoming more and more a popular option due to the rising prices of real estate and floor space, some furniture designers and manufacturers are actually coming up with more and more furniture designs with the small home in mind.