You can download a PDF of the foundation paper piecing templates and embroidery designs here.
I wont give you instructions on how to do the foundation paper piecing as there are many good tutorials out there such as the one at Want It, Need It, Quilt.
There are four separate templates, which are the reverse of the finished design. Cut each out along the dashed line. This is the outer edge to make an 8" block/mug rug (including 1/4" seam allowance). Solid black lines are sewing lines.
Each section is numbered with the order you should attach the fabrics and labeled either "Or" for orange or "Bl" for black, but of course you can use what ever colours you choose. Note that "Left House" and "Right House" refer to the sections of the house as you are looking at the finished mug rug above. I just cut scraps of fabric the required size as I went along, I didn't cut out fabric templates before starting.
Once you have completed the four separate templates, trim any excess fabric down so that your piece is the same size as the paper. You can then join all the pieces together. Join the three house sections first and then add the roof. Once that is complete you can remove your foundation paper.
The embroidery is done using 2 strands of embroidery floss and backstitch, with satin stitch for the ghost eyes. For the grave stone, I ran my stitches right down into the seam allowance.
Now your 'top' is all complete you can sandwich it with your wadding and backing fabric. I machine quilted 'in the ditch' around the outside of the house and around the door/windows in black thread.
Then you can attach your binding and you're all done!
My binding is cut 2-1/4", attached to the back then folded over and machine sewn (topstitched) to the front. Someone had asked me to give tips on attaching binding, but I think I'll just do a separate tutorial on that one, so stay tuned! If you are desperate to finish your mug rug, there are lots of other great binding tutorials out there, that's where I get a lot of my information.