A puja room, or pooja area, is an indispensable part of Hindu home and the position of the Pooja room in house is very important. Usually, the puja room faces east or west side. Puja area usually never faces north or south. The ideal position according to many scholars is to position the puja room in the north-east corner (ishan kone).
The idols and pictures of gods and goddess should be placed facing west or east. The idols and portraits should not be placed on the ground. It should be placed on a small table or should be hung on the wall.
Toilets should be never near the Puja room.
It should be remembered that God is there in all corners and in all directions and in everything. Realizing this is more important. A puja room is meant to be quiet place where you can contemplate and realize that all is Brahman.