Right at the $1000 mark there are now a couple entry level 1080p units (Optoma HD20 and Vivitek H1080FD).
I've been keeping up more with the 1080p units, so I don't know what the current best bang for the buck in 720p is.
Projector Central has a list of popular ones to start your research though.
http://www.projectorcentral.com/home-theater-multimedia-projectors.htm
Epson and Optoma might be a good place to start.
There are a lot of other considerations in addition to what model of projector you want to buy.
Contol over ambient light in the room is probably the biggest concern. If you have a room with a lot of windows in it that you can't cover up, and will not be limited to nighttime viewing, then you might be out of luck. In general, projectors are getting brighter and more accurate at those brighter settings, but ambient light is still a big detriment to picture quality.
You'll also need to be able to set up your projector in the room somewhere opposite your screen area. This could mean mounting it to the ceiling or simply placing it on a shelf. Depending on what screen size you want, the location of the screen relative to the mounting height, and the throw distance from the mount to the screen are going to determine if a projector has the right capabilities to give you the screen you want.
Other costs in addition to the projector itself include a screen (not totally necessary if you have a flat white wall to project onto... and there are several other affordable options), mounting hardware if needed, and long cables may be needed to get the signals to the projector. Also, if you don't have one already, a sound system of some kind will be necessary (hopefully you have this covered).
Before you get too wrapped up into the specific product research, make sure you know about the basic considerations to decide if front projection will actually work in your room.
If you can set it up, it's likely to be a very positive experience for you.
