I found a lot of inspiration on Project Nursery. I picked a color scheme first and the rest fell into place.
Light nuetrals with pops of bright color. Very contemporary, fun and eclectic.
I designed the room on a budget with the crib being the biggest purchase. The dresser is from Ikea (I just changed out the knobs). The lamp, ottoman, rug, piggy bank and butterflies are all from Target. I got the crib bumper from zulily.com (one of my favorite sites for kids gear). You can't tell the actual wall color in some of the pictures, but it's a pale grey.
My favorite item in the nursery has to be the tissue paper pom-pom balls. It gives the room a really fun and modern feel. My daughter loves looking at them. I also love her crib bumper.
It is possible to create an expensive looking room on a budget.