I got mine from Circuit City for less than $700 (kit.) last one too, got two year insurance, meaning i can run over the camera and play football with it and I can still get it replaced. Taxes and all around $9xx. The kit lense is pretty good IMO. For starters. Once you get the hang of it you're going to want to move up into a better one.
Click my Flickr link on my sig, those shots were taken with the stock lens first page and the top half of the second, ignore the first three shots, they were taken for someone and are dark.