I wear almost exclusively knits, and I frequently find interesting knit fabric at Emma One Sock, like this mod graphic lightweight wool knit (still some in stock here). I widened the crew neck and made a cowl collar.
I love sewing with knits; it goes so fast! Only three main pattern pieces, and I've been using a stretch overlock stitch on my Babylock Ellure. It mimics a serger I think ( no, I still don't own one):
For a cardigan I used the same crewneck shape but added an inch to the center front and cut it into two pieces. I bought this missoni-esque sweater knit from EOS last year. Love the colors.
The trim is a satin binding that I found at Mood Fabrics. I was going to put buttons down the whole length but was too lazy after the first buttonhole. I kind of like it worn open.
Once I traced my daughter's size for her dress, I ended up with a basic T-shirt template that has endless possibilities. Here is a simple long-sleeved shirt. The fabric is a ribbed cotton knit I found on clearance at a local fabric store, $2 for the bolt end. Can't beat that.
Don't forget I'm still running the Madelinetosh May promotion in my Ravelry store. 20% everything with code "madmay2013" through May 11.