Seems to be a reasonable price for me.

1 of: Nikon 55-200mm f/4-5.6G ED IF AF-S DX VR Zoom Nikkor Lens [Electronics]
http://www.Amazon.com/gp/product/B000O161X0
Sold by: Amazon.com, LLC
218.82

1 of: Nikon D60 10.2MP Digital SLR Camera with 18-55mm f/3.5-5.6G AF-S DX VR Nikkor Zoom Lens [Electronics]
Sold by: Amazon.com, LLC
$599.00

I have my eyes on D60 and D80. I missed when they have above deal for $719 with other seller.
Op's deal was $839 from last week, so I end up buying Canon XSI with two lens IS and non IS for $739 last week.
D60 and XSI are great camera.. So, I end up just choose the cheapest buy. I would get D60 w/2 lens $719 when compare to Canon's XSI w/2 lens for $739. Because, I would prefer 2 VR lens over 1 IS and 1 non-IS lens deal.
I have monitor D60, D80 and XSI camera for a month now. It looks like each week it will drop $5 to $10. So, longer you wait the cheaper price you get.

tram said:poisonz said:I have my eyes on D60 and D80. I missed when they have above deal for $719 with other seller.
Op's deal was $839 from last week, so I end up buying Canon XSI with two lens IS and non IS for $739 last week.
D60 and XSI are great camera.. So, I end up just choose the cheapest buy. I would get D60 w/2 lens $719 when compare to Canon's XSI w/2 lens for $739. Because, I would prefer 2 VR lens over 1 IS and 1 non-IS lens deal.
I have monitor D60, D80 and XSI camera for a month now. It looks like each week it will drop $5 to $10. So, longer you wait the cheaper price you get.
I will wait for 81 weeks and get paid ($10 drop per week).
lol... I would wipe all out if is $20

sreeku said:D60 is only 10.2 mega pixels. XSI is 12 mega pixels.
Isn't that about like saying that this sports car goes 165 mph and that one goes 175 mph so definately buy the faster one regardless of anything else. There reaches a point when the average person can no longer make use the differences.

I would consider waiting for the eBay/MS Live 30% promotion to return. I picked up a D60 kit with the 18-55mm lens including some additional items (4GB SD card, bag, tripod) for $440.30 after Live Cash Back. No CA tax and free shipping also.

paolobeltran said:I would consider waiting for the eBay/MS Live 30% promotion to return. I picked up a D60 kit with the 18-55mm lens including some additional items (4GB SD card, bag, tripod) for $440.30 after Live Cash Back. No CA tax and free shipping also.

It was at 30% just a couple of days ago. It's at 20% as we speak.

Live search CashBack is 30% again

Do note, if you are thinking about the D60 that the CCD as a result of higher resolution has poorer low light performance than the D40 CCD. The D40 while only a 6MP camera performs mush better in low light than the D60. The larger pixels in the 6MP sensor are able to collect more light in the same amount of time. While many disagree with Ken Rockwell, he is an outstanding professional photographer and he refers to the D40x and the D60 as slightly downgraded D40. As far as the XSi vs. D60 question there is little comparison from a sensor perspective. The XSi has much better low light performance because it uses a CMOS type sensor. The reason to choose a D40-D60 is because you like the feel and functionality of the Nikon not because you are looking for a better sensor. In order to get a comparable sensor to Canon XSi or XTi you need to move to the Nikon D90 which is quite a lot more expensive and adds a lot of other high end features. It is really not wise buying to assess these cameras based on megapixels. You really need to go to your local camera shop and check them out.
I personally just bought a D40 from PC Connection at 399. I plan to spend another $100 on a flash and then $250-300 buying the 18-105VR lens.
Here was my rational, keep in my I am not even an amateur, I just wanted a fast flexible camera. (by fast I mean short time from grab to shoot)
1. Nikons, in general, are cheaper, lighter and smaller in the hand. Good for carrying when I chase my kids.
2. Canon has no lens equivalent to the 18-105VR(250) or 18-200VR ($600)lenses. The closest alternate is the 28-135IS(350), However the difference with the ~1.5x zoom multiplier is significant at the low end. The 28mm becomes 42mm, really not much of a wide angle (Nikon is 27mm). With the 18-105 you will rarely need to change lenses, much less hassle and much better price.
3. Nikon has a clear path to DSLR video, I am a home user not a pro and I want video. Canon probably will do this but there is no commitment. Eventually, I will probably upgrade to a new body with video and I want to keep my 18-105VR lens from above.
4. The D40 body is really cheap and has great low light performance. I need to be able to take pictures of my kids in my house, preferably without flash. I don't print 16x24" prints very often so shouldn't notice the lower MP.
5. Lastly, WRT the lack of a lens motor. I am planning to use the kit lens or a significantly upgraded lens, as above. In either case they will be compatible. The few lenses that are not very available with the internal motor are lenses that tend to need manual focus anyways, such as macros. For those that really need a low aperture Prime, they are available and cheap, just buy a new one. Again eventually I will upgrade to a body with the motor but I don't see myself ever needing it.

Perhaps I am too pragmatic. I did a bunch of research and think I made a wise choice. Good cheap camera with good lenses a clear upgrade path.
Perhaps this will be helpful to someone.
H&B

BTW, If you want a two lens solution on the Nikon I hear the 18-55VR and 55-200VR are both great lenses. Didn't interest me as I want a single lens solution.
Wyatt