Draperies and Top Treatments - drapery help

After 10 years of living with blinds I'd like to install drapes on my family room windows to soften the look. The big window measures 74"W by 66" L It is 84" to the floor from the top of the window, and 94.5" to the floor from the ceiling. The window frame buts right against wall on the right and has 2" of wall space on the left. I think this emilimates the option of a decrative rod since there would be no room for the finials on the right. The second window is 36" W by 66" L on another wall. I would like to have lined drapes that can close, because it is the tv room. And also have sheers underneath because it is a southwest window, to filter the light when the drapes are open. I think this means I need a combination rod, that traverses for the drapes, and pinch pleat drapes. Unless you can suggest other options. I am trying to decide if I want cascade valances or not. I can't find ready made drapes that hang from the ceiling for that width of window. So they would have to hang from just above the window to the floor. The valances hang 22" long, and the window is 66" L. Will this block out too much light? Is this even in style right now? I was thinking 3 valances should cover the width on the big window and 2 on the little one. The other question is the pinch pleat drapes I like come in a width of 96" for the pair. Is this too much drape to put on a window that is 74" wide with no room to extend the curtains on the side, or will it look more full and rich. For the smaller window the drapes com in 48" width which should be fine as there is room on the sides. Any ideas are appreciated.
Here's a link to the drapes with valance
http://www.sears.ca/gp/product/B0013Z1AJG/ref=wl_1_6/105-1575643-2164424?ie=UTF8&searsBrand=core

Hi and welcome to the forum! You could mount 2 rods or use the combination rod, which would be easiest since you'd only need to hang one. You can mount a decorative rod if you prefer, and just butt the end up to the wall without the final. This is done on occasion and looks fine. If you use a regular traverse rod (combination or not) you would have to hang a valance to hide the rod since they're not especially nice looking.
Altho panels alone are popular right now, valances are still in style, and whether they're used or not seems to be a preference thing. The valances in your link actually hang 16" long and shir down to 22" wide (meaning they take up 22" of the width of the rod), so they shouldn't be too long, and 3 on the large and 2 on the small should work fine.
As for the width of the pair, that's a tough one. I don't know how much they'll swish down to or if you want light in the room at times. If they'll be closed most of the time, they'll probably work, but if you want to open them often, then with the excess width and no stackback room, it may look too much.

Unless you have a very large room and high ceilings, the featured window treatments would likely be overwhelming. Plain, simple panels hung from ceiling to floor provide the illusion of greater height and keep decor simple. That is, unless, the large window and it's view are the focal point of the room, then a little something extra can emphasize them. Keep in mind, too, what mood you wish in the room. Casual? Formal? Romantic? Window treatments should also match your decorating style. See: http://www.home-decorating-made-easy.com/window-treatment-ideas.html

Thanks for the help. I now have a better understanding of all things drape related. I think I have decided to go with grommet pannels. They will stack neater, and less bulky at the sides of the window due to my limited wall space. They will look less formal in my family room and better suit my decor, and they are 88" long which will be 4" above my window frame and hang to the floor. This will look better than hanging either from the top of the frame to the floor, or from the ceiling to the floor, which would be overwhelming.
I also discovered a finial that is minimalist, so that it's protrution won't interfer with the wall.(Hopefully) So the next step will be to find a sheer to layer underneath. I think I'll look for rod pocket. I assume it would look best if it were the same length as the drapes. Since 88" is an odd length, if I bought longer sheers and had to hem them am I better off taking the length off the top, and recreating the rod pocket or simpily hemming them shorter (assuming I do this myself)?
Also is it best to get a double rod or does it matter if they are two separate rods? Perhaps, the rod for the sheer doesn't even need to be a designer rod?

You can use a double rod or two rods, whichever you prefer, whichever is easiest. If you go with two rods, get a clear sash rod for the sheers. It'll be pretty invisible and it mounts close to the wall. You need at least 2" between layers for clearance and if you go with the grommet panels, measure how much fabric goes to the back when opened, so it doesn't rub against the sheers. The sheers should be a 1/2" shorter than the panels.