So here's what to buy off DC's Craigslist today. It all starts with this awesome couch for $450.
Put a rug under it. This one is 8X 10 and around $200. I can't remember.
And put this $15 floor pillow - 24"X 24" -- on the rug. Yes, they work together.
I'm going to assume you have a couple of suitable end tables. So now you need to buy some groovy lamps. This porcelain lamp is $15, I think, and just needs a new shade because this one is clearly hideous. It's got wonderful 3-D delicate flowers on the base. Get a black drum shade. The teak lamp is $50.
You need a dining set (I am presuming open-plan living here... a loft or a studio) -- a table that's a little rough around the edges offsets all the slickness of that awesome white couch. If you went for something new and shiny, you're in danger of looking like a showroom. This table is $150 -- oak, classic. Just wax the top.
Buy these chairs (table not for sale, which is fine because it's loathesome in both tone and shape): all four are $160. They scream out for the round table above. We're all about juxtoposition today. Most days, actually.
Sum total if my math is right: $1090. (not including the black drum shade, which you can get here for $45. http://www.arcadianlighting.com/pg-p8822-01.html You may have to jury rig the fittings since that one is for a pendant light.)