Saving $$$

So my fiancé and I are expecting a little one in May. We are in desperate need to save money! We are considering moving into a 1 bedroom apartment to cut the cost of rent. But with a new baby im worried that is not appropriate..Im not that experienced with baby's. So do they need their own room at such a young age? Will having the crib in the same room as us be bad? Keep in mind we will only be there for 1 year maybe...MAYBE 2 and if it is going on 2 years i would then move the crib into the living room so he/she can learn to sleep alone.