HANG PICTURES // Cut scrap paper to the size of the frame and mark the nail location on the paper. Using painter's tape, move the paper templates around the wall until satisfied. Then hammer the nail through the marks. Remove the paper template and hang!
This is a nice-looking living room with smaller rug. Perhaps the key is to frame the rug with sofas / sofa and armchair combo / sofa and the window. And another trick is to fill up the room so the size doesn't look awkward.