D40 upgrade to D7000?

I have Nikon D40 now. Thinking of upgrade to D7000. Do you think is a smart move? (+/-20% of D7000 budget is not issue). Also, what do you think about Nikon 18-200mm VR2 len?

This would be a good upgrade provided all your lenses will fit and work. I don't use Nikon so I don't know much about there lens system. I, of course, don't know how many lenses you already have so I'd also say it's smart to stay within the same system rather than start all over again by switching to Canon.

That would be an excellent upgrade.

The 18-200 mm VR lens is an excellent one lens solution too.

Sample shots from the 18-200 mm VR lens:

And a video sample made with the D7000

It's a big upgrade. If you have any small technical problems remaining in your shooting you will be confronted with those. Whether or not it's a good idea depends on what that D40 is not doing for you.

The 18-200.it's the ultimate in convenience but it does not excel in anything.

If you don't need the extra 4mp have you considered moving to the D300s instead? I know certainly in the UK the Nikon D7000 is about £100 more than the D300s, which represents bad value; yes you may be getting a newer camera, but it's a consumer camera rather than professional one.

The better body construction, more robust shutter and 7fps is certainly an advantage. Less ISO range to play with but personally above 1600 is pushing it with a crop body anyway. And more pixels always increases noise.