Garage and estate sales, and craigslist, should have some good options, especially if you are patient and can transport. Second hand furniture is very inexpensive.
+100!
Bought my first house 3 years ago. Between mainly warehouse sales, closeout sales from Home Decorators (division of Home Depot) plus the employee discount of a friend that worked for them, and Craigslist stuff, I have spent less than $3,500 for my entire house furniture (2 bedrooms, family, living, dining room) and furnishings.
The best part of Craigslist is that not only are the prices much lower (assuming it's in good quality, which can take some shopping around), but the range of styles is so much greater than what you can find in stores! Found a great modern dining room set for just $300 (spent $275 more for a new, larger glass top). My sister was going to give me her old dining room set, but it had 5 chairs. Looking at what it would cost to buy 4 new chairs to make a set of 8 chairs (4 and 4), it would have been MORE money to do that with just the cheapest Wal-Mart chairs, than to get a great dining room set I loved with 6 chairs and a fill-in bench.
I much prefer CL over estate/garage sales because you usually have no idea what is at the sale before you get there, and with just one trip to an Estate sale and back home (60 minutes), in the same amount of time you can look at hundreds of postings on Craigslist.
So now, when I someday get married, I can easily list everything on Craigslist if I had to unload it and probably get not too much less than I paid for most of the stuff, and not have any heartburn over throwing out/selling something that I originally paid thousands for.
When my grandma passed on 2 years ago, I elected to not take any of her furniture, even though the manufacturer (Karges) is the "last great American furniture company". She had some great pieces (dining room set, master bedroom set, coffee tables), but it didn't really go with much of my decor, and even though the stuff is ridiculously expensive and beautiful (thousands for just a coffee table, tens of thousands for a dining room set), I didn't want to 'pay' that much for it. Might keep an eye out for Karges stuff if I ever see it on Craigslist...