I agree - go with a good brand - I'd add DeWalt to the list people have
already started. I got mine (DW618) reconditioned on Amazon - check
them out - stock varies, but there are some good deals sometimes. I
think I'd agree it's better to pay at least $100 for a real brand,
fixed-base router to get started rather than going cheap for a kit by
craftsman/ryobi etc. Definitely go with 1/2" collet.
Also, while we're on the topic of routers on a budget, I built my
router table for about $12 - I bought the dust collection attachment
from Lee Valley and cam levers from Rockler, and collected kitchen
coutertop, 2x4 legs, hardboard, and mdf from people's trash piles on
the street. Got some flat plastic rulers and inlaid them in the top
for fine fence adjustments. Heavy, sturdy, straight, cheap. Plenty of
plans online to get you started.
Overall, be safe and have fun routing!
Andy