Do you need five bedrooms? Is the downstairs bedroom only a bedroom, or is it also a second office, craft room, etc? Do you also plan to have a finished basement?

It's a big home, but I'm not sure what the focal point might be, in some of the rooms? Do you want a fireplace in the living/dining room...or are you concentrating on the view? What's on the back wall of the family room? I can't read the print...is the TV on the wall to the right (between the windows?) I'd rather have it on the wall to the garage...maybe some cabinets, too.

Is the master sitting room also a nursery or office? It's great if you can combine spaces, even if you just have it as a 'fall back' position if costs get too expensive and you have to start making some cuts.

Also, are you sure your mudroom will work best, off the garage? You have a lot of bedrooms, so I'm guessing you have kids...what if they're playing outside? Where will they enter? Through the garage...or maybe the kitchen? Would it be better to move the mudroom to an area easier to access, from the backyard?

So many things to think about. It's a nice home, but give it some details/character to make it special and fit your family. The bedroom upstairs, with the window seat, is a good example. Maybe do more details/built-ins like that? Just a thought :)

To answer your questions...
the family room is 1.5 stories so the tub windows will look out over that level.
The downstairs bedroom is a guest room and upstairs bedroom with pocket doors is a family library/study room for our two kids.
my husband is severely asmatic so we are not having any fireplaces as they would never be used. We will have a large backyard to look at.
the back wall of the family room is window seats with storage
below.
my husband really wants the master sitting room to have a quiet place to read,watch tv etc in peace.
yes,
we will have a finished basement.
the garage is where we will usually come in from the car or getting dropped off from school in a few years. If they are messy from the backyard, they will just have to go around.

the

I think having dual access to the guest room (albeit through the guest bath), is a good idea. I am wondering though if you should tweak that a bit and not have the toilet in the view from the guest room bed.

The only other thing that I see is that the master closet is quite a distance from the master bedroom and accessible only through the master bath. Analyze how you dress, and if you will get fully dressed in the closet and bath. Some people do. But I would really consider switching the master closet and the laundry room and having the laundry/mechanical somehow accessible from the hallway and making the current laundry the master closet. It would involve moving the Master Suite door and combining rather than compartmentalizing Laundry, Linen, and Mechanical.

My current house has a smaller master closet so my everyday clothes are in the bedroom dresser. I am thinking that if my clothes are all in the closet, the daily routine would be go to the bathroom, shower, get dressed so I think the closet position works. I think we are going to move the mech closet and linen and make our closet bigger so it can have a penninsula with full length mirror.
That way everything will be right there to get ready.