Here is a felt purse I made for my friend's daughter Anna who turned three last month. I must admit most of the purse was hand-stitched so I didn't get to practice much with the Singer but it did come in handy for assembling the two sides and adding in the zipper. I thought it would've been too ambitious to make a small dress for her, plus she'd probably outgrow it by the end of the year!
I did think that a 3-year old might not have much use for a purse but who knows, maybe in a year or two she might like it. In the meantime I figured she could at least make use of the little felt hairclips I put inside.