While you can find reasonable digital SLR's under $1000, that will usually get you the body alone. Then you'll have to add the price of lenses which, depending on what you need, could be much more than the camera.
I'd say that for your price range a Canon Digital Rebel XTi or a Nikon D80 would be a good choice. The Canon is about $300 less than the Nikon and you can get the Canon with a kit lens - 18-55mm for just under $900. The lens alone is about $140. That will get you taking photos but you'll probably want to add better lenses. Plus you'll need items like Compact Flash cards, a camera flash, a carrying bag, etc.
Personally I favor Nikon but in the price range you have Canon offers the best deals.