The first thing you need to decide when setting up a home office is which area of the house you will be using.
Potential distraction from noise should be one of the biggest factors influencing your decision.
Set up your home office away from areas that offer a lot of distraction.
This will help you increase productivity especially if you have young children at home.
You will be spending a lot of your time in your home office, so make sure it is a place you are comfortable with and is suitable for working.