The great thing about somebody elses baby is that you actually have the time to make things for her! There are so many free patterns for baby clothes on the internet and making for little ones is SO quick, easy and cheap compared to making things for adults. You have none of those fitting problems and can put the tiniest scraps of fabric to good use.
Have a look at my Pinterest page for inspiration. There is everything from baby clothes, to making slippers or sewing your own teepee!
These cute little booties were pretty quick to make – and even quicker to make a second pair once you have the hang of it. Here is a link to the pattern I used: https://uk.pinterest.com/pin/302937512404384728/
But these ones (a slight variation on the same idea) are lovely too: http://www.niftythriftythings.com/kimono-baby-shoes/
The trousers I just made up (and the fit wasn’t great to be honest) but you could try this one here which look very similar:
Another lovely site to look at for baby clothes is www.made-by-rae.com. Many of the patterns are to buy but there is a free pattern and tutorial for baby knit leggings which are super cute. The whole site itself is very inspiring with lovely fabrics and a personal blog.
The fabric I used is a lovely, soft stretch jersey from Fabworks. £5 / metre I think, and they had it in a green/blue colourway too. They have a really fabulous selection of jerseys. The trousers are edged in a washed pink broderie anglaise also from Fabworks.