I want the Canon EOS 50D, which was released at the end of August. The body's MSRP is 1300 USD, so we'd need a few hundred minimum on top of that for glass.
This is why I never bought a nice camera before—the models below this just seem so weak by comparison.
On the other hand, we could probably get two of the 1000Ds for the same price as one of these.
Or we could go for a 400D, since they're no longer front-of-the line, we might actually be able to afford one.
Wow, you can get a refurb'ed body for $400 from Future Shop. I don't really think a camera is something I would want to get refurbished, but it's something to look at.
Ah, the 1000D with the kit lens is only 600 CAD at Future Shop. It might bother you, however, that it doesn't have live preview—you can't use the screen as a viewfinder.
Ah, at Henry's it's on sale for 500 CAD, down from 550. Their shipping might be worse, though. Oh, that's with a different lens, or something. The 400D is on sale for 580 CAD.
Anyway, I conclude that the 400D and 1000D are not entirely implausible choices, and they should be seriously considered before one concedes to purchasing a... lesser brand.