Buy secondhand as much as you can!
Babies grow so fast. It makes no sense to me to pay full price for things they'll barely use!
My husband and I made an education savings fund our priority for baby and have kept a really strict budget on the nursery spending. It's very easy to go overboard because everything for babies is so damn cute, but resist!!!
Every single one of my girlfriends with a baby told me that they could not believe how much stuff for baby did not even get used. It's so wasteful and it creates so much clutter. And if you look into how much interest will accumulate on money you put away for baby now, it's pretty impressive.
That year with baby that you are putting money aside for is worth so much more than a fancy new pram or crib. I think you totally have your priorities straight.
I must admit that I also get the Bargain Baroness thrill when I score deals secondhand. I love saving money on stuff like that and putting the difference aside for baby. All the internet sites are great. I scored a huge deal on a secondhand stroller. Just do an inspection of it and make sure it's in good condition. Car seat and mattresses are probably best new, I agree. But again, if it came from someone you know and trust, you can use your own judgement there.
Two other things that have been hugely helpful to us:
1) pooling baby gear with friends. Cost = nothing. Access to a whole bunch of stuff: swings, jolly jumper, nursing cushion, sling, breast pumps, etc. It lets me try things out before I decide if they are a necessity or if they suit me and baby. As long as they are treated with care and cleaned well, everyone benefits. And I'll add items of my own to the pool to be passed on to other new mums.
2) consignment shops. We have a few in Calgary where you get store credit for things you bring in and can apply that to future purposes. You cannot beat the deals on clothes. Lots of gear in there, too. I do this for clothes for myself and it saves me a fortune as well as keeps me stylin'!
Sorry, I'm a little zealous about the secondhand stuff, but it's so much smarter for the planet and your wallet, and it doesn't mean that baby will be dressed in rags. There is a ton of great stuff and it's not hard to find. Have fun with it!