Paint the walls in a bright color, such as yellow or ivory, to freshen up the space.
Create an inexpensive customized chalkboard. Measure off a rectangular or square-shaped space that is suitable for your homeschool needs. Spray the area with a double coat of spray chalkboard paint.
Hang a 6-by-6-foot white laminated paneling on a wall other than the chalkboard-painted wall using nails to create an inexpensive white board. Use dry-erase markers to write on this wall.
Place bookshelves around the walls of the room; the size and amount of shelving depends on your space and needs, but consider that you will most likely acquire a lot of books for your classroom.
Set up a plastic milk crate filled with hanging folders to organize all of your students' paperwork. You can also use a metal filing cabinet for storing paperwork.
Provide each student with a plastic pencil box or empty shoebox to store office supplies. Use a plastic caddy with multiple drawers for organizing supplies, such as crayons, calculators and rulers.
Provide your younger child with a student desk if you are interested in a more traditional classroom setting. Place the desk in front of the chalkboard or dry-erase board.
Situate a work table in the center of the room. Arrange office chairs around the table for the homeschoolers and yourself.
Add beanbags or oversized cushions for each student to one corner of the room. Use this area for a reading nook or for seating when watching videos.
Designate an area for the teacher. Include a small table or office desk that has an open layout and a chair.
Set up a card table to hold computers, printers, audio tape recorders and other electronics for the computer station.
Place a table with a glass top in another area of the room. Provide dry-erase markers and allow students to use the table when working in groups, for creating art or as a doodle pad.
Purchase a water table that can be filled with water or dry objects, such as beans, rice or pasta, and used for sensory development or science projects.
Place a globe on the center of the work table or on top of a bookshelf, or purchase a standing model globe. Use the globe for class discussion about subjects such as geography, social studies or current events.
Hang a strand of twine across one wall at a height that is reachable by the students. Place clothes pins across the twine. Allow students to hang their artwork, exams or photos on the twine for display.
Decorate the walls by hanging education-related posters, such as manuscript letters, sample calendars, images of geometric shapes or the periodic table. Change the posters as the classroom learns new information, so the students are not bored with the posters.
Mount a solar system mobile -- either purchased at the store or made by your students -- in the room. Place stuffed toys in the likeness of ocean and land animals all throughout the room to be used as impromptu science models, storybook characters or theatrical props.