There are a few excellent rigs at $1500--the Marantz, the Clearaudio, Rega P5, and some I'm less familiar with from Pro-Ject and Music Hall.
01-25-11: Fatgh0st
Maineiac: You may be getting closer already :-) I've already started thinking about how I can edge my initial budget up closer to $2,500 by getting rid of something else.
So tell me, what does an extra $1,000 (from $1,500 to $2,500) open up for me in terms of options? Should I still just stick to the $1,500 for starters?
At $2500 the choices expand with VPI offerings, the Rega P7, more sophisticated models from Pro-Ject and Music Hall, and a couple that have reputation of challenging the high priced spread--the Well Tempered Amadeus and the Townshend Rock 7 with damping trough option (though by the time you get a tonearm it's more like $3500 or more).
If you want it simple and good, I'd go for the Marantz TT-15S1 with included, mounted, set up, balanced and aligned Clearaudio Virtuoso wood-bodied MM cart (it's an $800 cart). Audio Advisor has a closeout demo on sale for $1359.99. Clearaudio makes the Marantz turntable, so there should be exceptional turntable/arm/cartridge compatibility.