It’s not awkward to let clients know in advance that you work at home.
What is weird is if customers call and hear screaming kids because you didn’t tell them proactively.
Just set expectations and let your results and reputation precede you.
Your customers are probably family-people, too.
They’re probably married.
They probably have kids.
When you run a virtual company/work from home, you can be just as successful as your competitor with the big fancy commercial offices.
Embrace technology and remote work. Just do it professionally.