I honestly don’t understand the hype about HAVING to move the living area to the south. What does your daily routine look like? Do you lounge around in the living room during the day? In a small family (and elsewhere ;)), the living area is mostly only used in the evening or on rainy weekends. During the day, people work, cook in the kitchen, do crafts or eat at the dining table, or do homework. The living room can be a bit smaller, for example, because you mostly just watch TV in this area. And the sun gets annoying there!
It is a problem to place a child’s bedroom a) next to a living room b) next to the terrace. And now you come and want a) the living room in the south and b) the terrace in the north.
If you don’t like Velux windows, then build your bungalow with an offset gable/shed roof, so you can catch the sun from the east in the northwest-facing living room in the resulting gable. Maybe then there is also space for a small mezzanine in the living room that you can use as a workspace.
Or build an 8-meter-wide house with a bay window centrally on the west side. That way you can a) catch the sun through the side windows that are on the south and north sides and b) stroll to the north terrace. Possibly even covered in that area.
I also don’t understand the problem with a south-facing terrace. Nowadays, small seating areas are everywhere, used according to the position of the sun. You might even find yourself directly on the street on a cozy bench because the neighbors are all so nice to chat with. People usually don’t sunbathe on the terrace but somewhere under a tree or a pergola in the middle of the garden.
Or, or, or...
Light also comes through a north-facing window :D