Glenn, that's exactly how my parents raised ranch is arranged... except bedrooms to the East and stove to the West. Their house is tight, but not insulated to the extreme. I like sleeping in cool-cold temperatures though so.
You will notice a huge reduction in oil consumption though, even if you can't turn the heat off completely. I'm living only on the first floor of an uninsulated, rather large, very old farmhouse with the woodstove at one end and my bedroom at the other. I keep the heat at 58 degrees and the heat cycles very infrequently, even when it's below 15 outside. If I had to guess I'd say it comes on once every four hours, maybe. Enough so that the radiators get cold to the touch between cycles.
That's good to know Marc. What's a typical (decent brand) wood stove and install go for?