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Newbie seeking guidance

There are a lot of advantages to having a DLSR over a point & shoot type camera. But in the category of parents who mostly want the camera for children, two situations stand out.

1) Due to the way the DSLR is designed (with the reflex mirror in the image path), it is able to bounce light into dedicated focus sensor which are MUCH FASTER to lock focus than using the image-sensor for focusing (which is how point & shoot cameras focus).

A big complaint among many parents who own point & shoot cameras and try to photograph their children is that there's a delay between the time they press the shutter button and the time that the camera actually takes the shot. This is usually due to the time needed to assess and lock-in focus. By the time the camera takes the shot... the child may have moved and the parents either lost the moment or the child moved in such a way that they are no longer accurately focused.

Since DSLRs are MUCH faster at focusing, you end up being fast enough to get the shot.

2) DSLRs have physically larger and more sensitive imaging sensors. There's a generalization that larger sensors are actually more sensitive to light ... they can shoot in lower amounts of light with less "noise" in the image.

3) DSLRs have interchangeable lenses... that's more of a big deal to enthusiasts and professionals. As a parent you'll probably want to get the one good lens that works best for you and stick with it. These cameras are often sold as a "body + lens" kit. That kit lens is usually an 18-55mm f/3.5-5.6 lens. That's a general purpose lens that's good for just getting started. If you want to shoot in lower light and get a better "look" to your images, you might opt to buy a 50mm f/1.8 or f/1.4 lens (the lens does not "zoom" but the they collect more light and can create a shallower focus range (which we call "depth of field") which allows us to deliberately blur the background. A nice softly blurred background with a tack-sharp subject tends to be more appealing. At some point as your child grows and perhaps participates in sports, etc. you may want a longer zoom lens and since the lenses are interchangeable... that will be an option for you.

You did mention the V word (video). So I should comment on that.

All DSLRs will shoot video. But DO NOT confuse that with meaning that they work "like a camcorder". If you want camcorder type capabilities then you're better served actually buying a real camcorder. The biggest challenge with DSLR video is that the camera either does not do "continuous autofocus" (like a camcorder can) or if it does... the performance of continuous autofocus is less reliable (the camera does "focus hunt" where you see it test a few focus changes before it finally figures out which way to go to fix the focus as your subject is moving around.) This means they are really best for subjects which are not on-the-move. There is one exception to this... Canon's new 70D has new focus technology on the sensor which allows it to focus much in the same way that a DSLR normally focuses for still shots. It's ability to do continuous auto-focus is exceptionally good for a DSLR. BUT... it's not under your $1000 budget. The "body only" is $1100... and the body with the kit lens (admittedly a better kit lens than the entry-level cameras get) is $1450. It's considered a mid-range camera... not entry-level. It retains all the features of the entry-levels but begins to introduce features normally only found on pro-level bodies (hence mid-range.)

With that said... unless you really can afford that higher price tag, skip the 70D and go with an entry level body because for photographic purposes (everything besides video) you'd be really hard-pressed to tell the difference in the images shot with the entry-level bodies vs. that body.

I shoot Canon but I'm not hung up on brands. Right now I actually think the entry-level Nikon bodies are just a bit ahead of the entry-level Canon bodies... but frankly the cameras on the market today are all so very good that I very much doubt you'd be disappointed with any of them. Do not over-agonize that you'll have some buyer's remorse. When one camera outperforms another in some respect... usually there's some other in way in which the second camera outperforms the first. Nobody wins in every area. Really the BIGGEST difference between a photographer who gets fantastic looking images vs. the ones who don't... aren't the gear ... but rather the fact that one photographer took the time to learn how to capture better shots (skill.) Owning a good camera will not somehow magically cause a person to be a better photographer.

I do tend to suggest either the Canon or Nikon brands over the others (Sony, Pentax, etc.) This is because those two brands own so much of the market and the camera really should be thought of as just one part of an overall camera "system". There is vastly more accessories available and 3rd party product support for Canon and Nikon than there is for anything else.
 
Thanks to everyone who responded so far. All input is helpful.

To expand a little on my needs. I have an older house and the lighting is very poor, especially in the winter. That being said, as pthrift put in his list, would a standalone flash be important to get as well?

In a word: yes

The on-camera flash has very limited use.

All "on camera" flashes tend to be extremely tiny. They have limited power and and are good only for fairly close shooting distances. To have good light, you want good shadows too... surface contours create a highlight/shadow detail that adds dimensionality to an image. If the light is coming from the same direction as the lens then the lens doesn't really see the shadow. This makes subjects look flat.

Also... when light originates from a pin-point source, you get well-defined lines transitioning from light to shadow and that actually looks bad. We like soft gradual transitions from light to shadow... not fast abrupt "edgy" looks.

The one very simple fix... point the flash head up at the ceiling (this presumes you have a white ceiling). The flash hits the ceiling... and this scatters the light back down onto your subject from above create a very soft lighting look with gentle shadows. If you are too close to the subject you get "raccoon eyes" (the shadow caused by the fact that eyes are set back under the brows). We use a tiny reflector to bounce a small amount of light forward to fill in the shadows.

Lighting actually does more to improve the look of a shot than the lens. Learning to bounce (this obviously only works indoors) is a very easy and simple technique to create much better lighting.

When shooting OUTDOORS... point the flash directly at your subject, but de-power the flash slightly. This causes the subject to primarily be lit by the ambient light (such as the sun) but causes the flash to "fill in" the dark shadows so that they appear as gentle shadows (the difference between highlight and shadow is small... rather than huge.)

This is another advantage of DSLRs over point & shoot cameras... the DSLR actually has a hot-shoe for attaching an external flash. A *few* point & shoot (generally only advanced point & shoot models) have hot-shoes for flash. The vast majority of point & shoots have no option for external flash... you get the wimpy and harsh looking built-in flash and that's it.

I have a friend who hated his on-camera flash for indoor use and didn't think you should use a flash outdoors during the daytime. It was late afternoon (strong sun to one side). I took his camera from him, attached my flash (to his camera), set the flash compensation to -1 (each unit of "1" either doubles or halves the power... so -1 means I told the flash to fire at 50% of whatever power the camera would normally want to use)... and snapped a photo of him, and handed it back for him to see. The following day he bought his own flash. He saw ONE example that so completely changed his opinion of flash photography and he was sold on why you want a flash. But again... owning the flash is one thing... knowing how to use the flash to control the light, when to bounce, when to adjust the flash power, etc. is what you really want to get to. But the basics are really pretty simple.
 

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