Install a drop ceiling, also known as a suspended ceiling. Drop ceilings provide an effective way to close off a vaulted ceiling. These types of ceilings involve installing a metal grid and inserting tiles inside each grid square.
Build a loft bedroom to close off the ceiling. Lofts are a common way people use the space provided by a vaulted ceiling because they add to the number of bedrooms in the home and make a great space for guests.
Install a catwalk to break up the large expanse created by a vaulted ceiling. Catwalks can create the illusion that the ceiling is lowered because they break up the space. They can be used to attach lower light fixtures and connect the rooms on the upper levels.
Build a ledge or soffit to make the ceiling appear lower. A large soffit or ledge can overhang an area, such as the dining room table, and make it seem as though a ceiling has been installed there. These overhangs are useful because you can hang chandeliers or other accent lighting.