Do you want a point-and-shoot or a professional-quality? If the latter Amazon has a pretty good deal on the Nikon D40, round $400. I have the D60, not too different, and LOVE it.
I have the D-80 and i love it. I think all the nikon SLR's are great. Its all a matter of what you want to spend, and what kind of offers/deal are out there. Be sure to shop around because some stores offer great pkg deals. When you find what you want, price shop for a while because patience will pay off.
My goodness, I currently have a smorgasboard of cameras and do need to downsize.
Pentax K10D: an awesome little camera that I got in a kit (camera and 2 lenses) for $499 with $150 rebate. Easy to use as a point and shoot, yet able to produce decent quality pics when you need a little more camera.
Canon: Now, the canons aren't mine, they belong to my photographer friend who allowed me to use them extensively while I was looking to upgrade my pentax. I used the 10D, 40, and 5D. All of them were great but I have smallish hands and short fingers, so manipulating the controls while keeping my eye in the viewfinder wasn't working for me.
Nikon D200: my final choice. I'm still going through the learning curve on that one but I'm getting great pictures! It's a heavy camera, as were most of the ones I've used including the little pentax, but smaller bodied. The weight doesn't bother me at all.
Canon Elf: It's my only point and shoot. It zooms, it has a macro feature and it take pictures of high enough quality to be used by my press photographer friend in situations where his big cameras wouldn't fit, ie in a cookie jar, partially submerged in a swimming pool, to take an underwater picture of a girl who won some special swimming award. Awesome little camera, highly recommended by me if it's a point and shooter you're looking for. Fits in the pocket/purse nicely, too.
My conclusion would be if it's an entry level SLR digital you're looking for, you can't get much better than the Pentax (check the reviews on www.dreview.com ) and if it's a point and shoot, then my little Elf is just fun camera that has great quality.