So what if your living room is in blue? Knit yourself an accent pillow... and it can be:
a) an accent piece to bring in a spot of other colors.
b) a conversation starter (ie, "wow, that's a beautiful and bright pillow you have there!" "I know, I made it myself")
c) that pillow that you let your husband and children use to sleep on. My mom's pet peeve is that everyone actually uses her accent pillows as - get this - PILLOWS! OMG! So we now have two sets of pillows. The ones that are purely for decoration and so help you if she catches you sleeping on them; and the old ones that we are allowed to sleep on, play on, build forts out of, pillow fight with, etc.
The point is, if you're really wanting to knit something that color, and you have an idea that you like, just do it.