Looking to buy a camera

I'm looking into starting photography and really want to buy a Nikon or Canon digital camera. Since I'm just starting, I don't want to spend hundreds of dollars on it, probably no more than $400. I don't want something crazy fancy, just something with good quality and resolution. Please let me know what cameras of either of those brands are ones you think would be good for starters!

My recommendations:

<$200: Canon SX130IS
<$300: Nikon P300, Canon S95, Canon S100
<$400: Nikon P7000, P7100, or Canon G12
<$500: Olympus XZ-1
>$500: Pick any DSLR you like.

For the specific cameras I mentioned, most include manual exposure controls, fast lenses, and a couple of them even have manual focus capability and customizable white balance, not something normally seen in a compact camera.

Skip mirrorless cameras - such as the Sony NEX, Olympus and Panasonic Micro Four/Thirds cameras, or the new Nikon 1 cameras (will be available soon). While there's nothing wrong with them per se, and they work well enough, the main issue I have with them is that they cost almost as much as a DSLR system once you buy a few lenses. Unless you really need a small size (for travel perhaps), they are not as cost effective as a DSLR.

Also skip bridge cameras (Canon SX30IS, SX40IS, Nikon L120, P100, P500, and Fuji S2950) as they suffer from the combination of higher than necessary MegaPixel count sensors and ridiculously high power zoom lenses. The overkill in these two areas serve to reduce photo quality.

There are two Myths surrounding compact cameras - and bridge cameras in particular:

Myth #1. The more MegaPixels the better the photo. While the photo has a higher resolution, the low-light capability suffers, mostly in the form of noise. Also many compact cameras do not have sufficient processor speed to quickly process such high data rates, so you can end up with horrendous shutter delays. For compact cameras, 10Mp is ideal, 12Mp is maximum.

Myth #2. The higher the zoom the better. There's no such thing as a perfect lens, and the higher the power, the more compromise. For lenses 4x is ideal, anything above 7x is going to have optical issues, as there will usually be un-sharp areas along the lens's focal length.

While there are so many compact cameras on the market I have surely missed a few good ones in my recommendations. But the ones I listed are the ones I know best - and some that I have owned.

Compact camera lens comparison: http://www.althephoto.com/lenses/digital-zooms.php

I would look on Craigslist for a used camera that is older… Remember, it's about the optics, but a good sensor is important too, and there are some nice old models

Look for a S2IS, they do not die because of E18 as easily, I have one and it's quite good and I use it a good chunk, has yet to die unlike my A490 did when the battery cover and lens a year and a half later

Here's a modern camera if you want a new one
http://usa.canon.com/...ershot_s95

Here's a Nikon
http://www.nikonusa.com/....TechSpecs