This is sometimes the most daunting task. General rule of thumb: if you don’t need it, ditch it! A few pieces of furniture is all you need. For your living room, I suggest a sofa or small sectional, a side chair and a coffee table. As for the bedroom: bed (king size not recommended), side tables, narrow dresser. Done! Look for furniture that have low profiles and clean lines to give the appearance that your room is also taller than it is. Furniture with bare legs (no skirts to the floor) give the illusion that you have more floor space than you actually do. Also, keep the fabrics simple. No patterns or faint patterns are best. Make sure that, when placing the furniture, you leave as much space as possible between each item to create walking space.
Images via 1,2-Shoebox Decor, 3-unknown