Well, the table itself is a decent table (not great, but not bad - somewhere around the Rega P3 class, based on my research). However, your weak link is the tonearm. A Rega RB300 would be a step up.
However, in as that as you are just trying to get something to play your records on, I would think trying out the (used) Koetsu Black would be a good idea. (Hey, at only $500, which is 1/3 the new price, that is a good price, assuming it is in decent shape.) The Black tends to make all music sound good, as it is a very lush cartridge. (Kind of like tubes makes all music sound good.) If you eventually decide that analog is something you want to get into more, you can always upgrade the table (and its tonearm), to something better, and you'll still be able to hang onto the cartridge and phono preamp. The Black is a high end cartridge, but it can be bettered, albeit not for $500! The same can be said of the ARC PH-3 phono preamp. However, they both can be the cornerstone of a very good analog system. (If I was to put them in a Stereophile class system, I would put them both somewhere in Class "B", with the ARC being a solid Class "B", and the Black being a "B-" - IMHO.) Certainly not in the same class as your digital gear, but close enough that you will not feel you are missing a great deal.
And if you get into this in the right way, and if you don't mind the record cleaning rituals, you'll discover that analog really is better than digital. (My friend has a Audio Aero Capitole II cdp, (one of the best CDPs available), which sounds incredible, but his analog system just sounds better all around.
I was in your shoes exactly a few years ago. I was trying to find a decent turntable to play all my LPs from 20 years ago on. I had pretty much decided to get a Rega P3. I went and discussed this with my local dealer (Brian @ The Analog Room), and he basically said that while the Rega is a good table, it would not be up to the level that I was trying to achieve. He recommended that I jump up to the next level. I ended up with a Basis 1400 and a Rega RB300 tonearm. (FYI, the Rega Tonearms are tough to beat until you start spending some real money. The 300 is good, but the 600 is really good, as it has better cabling.) Brian recommended the Koetsu Black, but I did not want to spend the money, and so I got a Benz Micro Glider II. (A decent cartridge, but a bit too analytical for my tastes. It was kind of like listening to a CD, which is okay, but not what I wanted.) When the Benz got accidentally broken, Brian gave me 50% credit for it, on a trade in, and so this time, I took his advice and got the Koetsu Black. All of a sudden my eyes were opened as to what analog was all about! Since then, I have upgraded my turntable to the Basis 2001, and I have upgraded my tonearm to the Basis Vector M3. (I already told you about my cartridge upgrades.) I have also upgraded my preamp/phone preamp to the Ayre K-1Xe, with the phono boards. (The only thing that bugged me about my system was the tube rushing. As my analog source got better and better, I was able to hear the tube rushing more and more. Therefore, I went solid state, and I have never been happier. However, IMHO, to get solid state to sound as good as tubes takes a large amount of money, so beware of just heading in that direction. I recommend tubes until you can spend a couple of thousand $ on a phono preamp.)
Again, I will point out that the biggest thing you can do for yourself is to get yourself a RCM. Even a cheap vacuum RCM system will make your listening enjoyment skyrocket. Trust me on this. (I can't believe I just said "Trust Me" on election day!)
My two cents worth.
