Tubegroover--
The question posed was, What are the good DACs for under $1,000? I think when it comes to digital sound, what you want, first and foremost is accuracy. To a great extent, this would go for all source equipment.
If you want to color the sound of your source equipment with your preamp or amp, fine. But why not start with an accurate representation of the signal first? This approach will also yield a more controllable, consistent output across all your sources.
My philosophy, since you asked, is simple. Generally what I do is buy used equipment on the basis of specs and, to a lesser extent, reviews. I buy online, listen at home and if I'm not satisfied, I sell the equipment. YMMV.
Also, I am certainly not opposed to colored sound if that's what you like. The problem with the marketing of all high-end audio is that creating distinctions between various gear requires either added color, deviations from response curves, distortion or noise variation. If you start with clear and accurate you will always know what you are getting.