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I think you could take an awesome cue from Chezerbey. They're also in Seattle and transformed a bungalow of a similar age. I think your house could likewise look modern and fantastic!

http://chezerbey.com/

Good luck!

I don't know what you consider "affordable", but a great resource for unique artwork is college and university student expo's. They sell large pieces of art that would normally go for $1000 dollars for a few hundred and you know you'll have something that no one else will!

I would suggest you take a look at your local school's calendar. They usually show in the final two months of the school year, so in March or April.