As soon as you sign those papers to close the deal for your first “new home,” you begin to think about all the new furnishings you’ll require.

Whether you create a budget or not, you’re bound to be faced with tough decisions on where to splurge and which furnishings will “do for now.”

Here are my thoughts…

Spend: Couch

If you’re moving into a one-bedroom condo, or even a small two-bedroom, chances are you’ll only have one large couch and perhaps a loveseat or chair in your living room.  While I’m a firm believer in “re-use” and “recycle,” I think that certain spaces require certain pieces of furniture, and many older couches aren’t made for condo living.

Couches with large or wide arms take up too much space, and anything with a slanted back puts wasted space in between your wall and the couch itself.  Condo couches should have arms no wider than 3-4 inches, and be long and NOT deep.

You spend a lot of time sitting on your couch, especially if you’re a bachelor.  Spend some money on a couch you know you’ll have for the next five years.

Save: Bed & Mattress

So many people decide they need a new bed when they get a new home, but I’m not sure I agree.  The life-cycle of a good mattress is longer than most people think, and if you’re worried about the “look” of your bed or mattress, consider that most guests aren’t snooping around in your bedroom.

If you are going to spend on a new bed frame, get something that is compact, thin, and low to the ground if you’re moving into a small condo.  Nothing makes a bedroom feel smaller than a massive bedframe, which gives new meaning to bed-ROOM, since there is space for little else.

Spend: Bathroom

Jazz up the bathroom as much as you like, because there is nothing worse than a dirty, ugly bathroom.  Whether through the eyes of a guest or homeowners themselves, a dungy, bland bathroom is so uninviting.  Spend a few bucks on a nice outer shower curtian and shower curtain hooks, and close that curtain when you’re finished in the morning to give the room some warmth.

Spend on new hand and bath towels and a bath-mat, all of the same color as that new shower curtain so you can get a theme going for the room.

A new medicine cabinet is a must, and see if you can cut a hole in the wall in which to mount the cabinet to save a few inches of depth through the use of a recessed cabinet.

I need to say this again: there is nothing worse than a dirty, ugly bathroom.  Spend some money here.

Save: Kitchen

I bought all my dishes, cutlery, and gadgets from Ikea and EQ3, and I stand by my decision.  A plate is a plate, and a fork is a fork, unless you’re old enough to appreciate “the finer things in life,” and if this is your first condo and you need the finer things in life, well, then I guess you’ve got your own issues to deal with.

Ikea is NOT cheap crap, despite what some people think, although the name itself has a certain stigma of “single bachelor.”  But as I learned through friends last year, when you get married, you get all new kitchen-ware through the gift registry at your wedding.  New plates, new bowls, new serving trays, new knives, and new cook-ware.  So what is the point of spending money NOW for something you’re going to replace in a couple of years?

A can-opener at Ikea is $2, and a can-opener at an “upscale kitchen store” is $15.  They both open cans, and they both sit in a drawer almost 24 hours a day.

Spend: TV

This one comes with a caveat, however, since I recommend spending on a new flat-screen TV, but NOT spending on a brand name.

Condos are small, and thus anything that requires space should be scrutinized to assess alternate options.  An old-school “box” TV is too large and is not very versatile, and it either requires a corner of the room, or it sticks out three feet from the wall.  A flat-panel TV is sleek and sexy, and actually helps the resale value of your condo since it gives the unit that “step up from the rest” feel.

A few of my friends poked fun at me when I spent $799 on a Maxent flat-panel, HD plasma TV, but the same 42-inch unit would have cost $2200 if it were Panasonic or Sony.  The difference in quality is negligible, and unless you’re a “gadget guy,” I really think you’re wasting money paying for a brand name.  Do your research, but save where you can.  I got my couch AND flat-panel TV for less than a friend of mine spent on a TV of the same size.

Get the new flat-panel, however, no matter what.  Consider it a housewarming gift to yourself.

Save: Patio Furniture

If you have a 4-foot by 15-foot balcony, or a 400-square foot terrace, I still think you should buy lower-end furniture.  Our winter is too long to try and preserve the furniture year after year, and the wear and tear is unavoidable.  You’re not home during the day to take cushions inside when it rains, and if you live in a high-rise condo, the wind is going to bounce your chairs all over the balcony.

Just like with my examples above, when you’re older and more established, ie. when you have kids and a backyard, you’ll probably splurge on nice wicker patio tables & chairs with cushions and all the bells & whistles.  But in the meantime, just get something functional that will do the job.

Save & Spend: What Is Important To YOU?

That could be a leading question, since to some people everything is important and they need “nice things” in all aspects of their lives.  I wrote about this last week in my “Needs vs Wants” post (click here).  But I firmly believe that if you’re going to SPEND on one home furnishing, you need to SAVE on another.  It’s an equilibrium, or at least it should be.  If you’ve always wanted a hand-carved antique coffee table, then go for it, but it means you need to settle for Ikea or hand-me-downs from your parents in other areas in order to afford it.

We all know it’s far easier to spend money than it is to save it, and costs add up if you’re not careful.

You probably have two full months in between when you signed your Agreement of Purchase & Sale to when the deal actually closes and you take possession.  Spend those two months researching the costs for various household furnishings that you require, and make informed purchase decisions.

If you don’t your first mortgage payment is going to be a nightmare…