I run a Canon 50D here, and would be just as happy with a 60D. Canon's middle tier line sits between the Ti consumer series and the single digit (5D, 6D) professional models. They have decent durability, and have enough heft to feel like a real camera (with the stability that comes from a solid size and weight), a set of controls that makes both automatic and manual use accessible and easy to adjust. And the price will leave you plenty of room in your budget to accessorize.
This last fact is vitally important for the reason others have already given - spend the money on good glass! A Ti3 and an L lens gives much more potential than a more expensive body and a stock 18-55 zoom. I don't run very high quality lenses (yet), and it shows in some of my images. The cheaper lenses lack the aperture for low light or indoor situations, which means I have to crack out the flash more often. (And by the way, get a good shoe flash - don't rely on the built-in pop up unless you have no other choice). Outdoors in good light, a larger aperture gives you more flexibility for depth of field effects, and faster shutter speeds for action shots. For many amateurs, the value of a wide aperture isn't stressed nearly enough.
Major agreement on getting the 50mm 1.8 lens. At around $90-100, it's a bargain! it takes great indoor shots and portraits. Just be willing to stay mobile to compensate for the lack of zoom.
This last fact is vitally important for the reason others have already given - spend the money on good glass! A Ti3 and an L lens gives much more potential than a more expensive body and a stock 18-55 zoom. I don't run very high quality lenses (yet), and it shows in some of my images. The cheaper lenses lack the aperture for low light or indoor situations, which means I have to crack out the flash more often. (And by the way, get a good shoe flash - don't rely on the built-in pop up unless you have no other choice). Outdoors in good light, a larger aperture gives you more flexibility for depth of field effects, and faster shutter speeds for action shots. For many amateurs, the value of a wide aperture isn't stressed nearly enough.
Major agreement on getting the 50mm 1.8 lens. At around $90-100, it's a bargain! it takes great indoor shots and portraits. Just be willing to stay mobile to compensate for the lack of zoom.