There lots of canon user here at AQ
Canon DSLR entry level is 400D, the price should probably/hopefully go down once 450D is out (very-very soon). Not sure if IT show start selling 450D.
It was my first DSLR, bough it December'07 2nd hand with kits lense for $900 with more than 6 months warranty left. I send it to Canon service center for checkup and sensor cleaning. It is not suppose to be free, but somehow I don't need to pay anything. maybe because still under warranty
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